Texas has long been defined by oil, heat, and huge infrastructure projects. Now, it’s also at the center of a growing environmental debate. Microsoft’s Stargate campus in Abilene is leading a data center boom that is drawing concern over water use, right in the middle of a prolonged drought. According to a July 2025 investigation
Once you get out of Austin Energy’s service area, the market is deregulated and competitive … so, yeah, I had a choice of like 30 different providers. AE is a monopoly that the city uses to boost the overall budget instead of providing power to residents at cost (obviously, there’s admin overhead and lineman salaries) the way every other city I’ve lived in with municipal electric service does it.
The city owns and operates AE and has a right to its profits, which go toward funding city services. AE’s rates are in the lower half of rates statewide, and I think you’ll find AE’s general fund transfers pale in comparison to the profits taken by the for-profit electric utilities, which goes to lining the pockets of shareholders and executives. I’m very glad I live in AE’s service area, their service is way better than the for-profit utilities I used around Houston.
Once you get out of Austin Energy’s service area, the market is deregulated and competitive … so, yeah, I had a choice of like 30 different providers. AE is a monopoly that the city uses to boost the overall budget instead of providing power to residents at cost (obviously, there’s admin overhead and lineman salaries) the way every other city I’ve lived in with municipal electric service does it.
The city owns and operates AE and has a right to its profits, which go toward funding city services. AE’s rates are in the lower half of rates statewide, and I think you’ll find AE’s general fund transfers pale in comparison to the profits taken by the for-profit electric utilities, which goes to lining the pockets of shareholders and executives. I’m very glad I live in AE’s service area, their service is way better than the for-profit utilities I used around Houston.