For decades, Texas has operated its own independent power grid, largely isolated from the rest of the country. However, a recent initiative from the Biden administration aims to change that by investing millions to better connect the state with the national electrical system.

Texas initially distanced itself from the national grid in the 1930s, seeking to avoid federal regulations introduced by President Franklin D. Roosevelt’s administration. But after a series of severe power outages — two in May and July of this year that left millions without electricity and a 2021 winter storm that killed over 200 Texans — federal support is on the way.

The U.S. Department of Energy recently announced plans to provide $360 million to support the construction of the Southern Spirit Line, a major electricity transmission project. This new line will link Texas to Mississippi and Louisiana, in turn connecting it to the rest of the national power grid.

The line is expected to carry up to 3,000 megawatts of electricity, enough to power approximately 750,000 homes.

“The U.S. transmission network is the backbone of our nation’s electricity system. Though our grid has served U.S. energy needs for more than a century, our country’s needs are changing,” U.S. Deputy Secretary of Energy David Turk said in a statement. “The Biden-Harris Administration is committed to bolstering our power grid to improve the everyday life of Americans through affordable power, fewer blackouts, more reliable power, and additional jobs across our country.”

Texas currently has three connections to external power grids, which are sometimes used for exporting electricity to neighboring states. The new line will triple the state’s interstate transmission capacity, enabling Texas to import power when necessary.

Construction of the Southern Spirit Line is slated to begin in 2028, with a projected completion date of 2031. While the project falls short of a full reconnection to the national grid — a solution some state lawmakers had advocated for — it is expected to provide much-needed energy to meet Texas’s growing power demands.

The state is seeing an increased strain on its grid due to the expansion of data centers, which support artificial intelligence and cryptocurrency operations.

These facilities can require the same amount of electricity as a small city, and Texas, already home to the second most data centers in the country, is set to add more in the coming years.

This development has raised concerns over the grid’s ability to handle future demand, with some questioning the long-term reliability of the state’s energy infrastructure.