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Get a Free QuoteThe TBPP allocates $1.8 billion from the $10 billion Texas Energy Fund to install standardized solar + battery + generator backup systems at hospitals, fire stations, water treatment plants, nursing homes, shelters, and evacuation-route gas stations. Every funded system must sustain 48 hours of island-mode operation without grid recharging or refueling.
$1.8B
Program Funding
48 hrs
Island Mode Required
$500/kW
Max Grant per kW
2.5 MW
Max System Cap
Important Context: The TBPP is a state-funded program from the Texas Energy Fund — it is separate from federal tax credits. The Section 25D residential ITC expired December 31, 2025. However, TBPP-funded commercial installations at eligible facilities may still qualify for the Section 48/48E commercial ITC if owned by tax-paying entities and construction begins before applicable deadlines.
The TBPP is the largest state-funded critical infrastructure backup power program in US history, allocating $1.8 billion from the $10 billion Texas Energy Fund to ensure essential public facilities never lose power during grid emergencies.
Winter Storm Uri in February 2021 left 4.5 million Texas homes without power for up to four days. Hospitals evacuated patients in freezing temperatures. Water treatment plants lost pressure, triggering boil-water notices across the state. Nursing homes operated on emergency generators that ran out of fuel. Over 200 Texans died.
The ERCOT grid — which operates as an electrical island disconnected from the Eastern and Western Interconnections — has no ability to import emergency power from neighboring states. This structural isolation means that when ERCOT fails, there is no external backup. Critical facilities must have their own.
In November 2023, Texas voters approved Proposition 7, establishing the $10 billion Texas Energy Fund. The TBPP carves out $1.8 billion of that fund specifically for behind-the-meter backup power systems at the facilities Texans depend on most during emergencies.
Unlike programs that fund only batteries or only generators, the TBPP requires a standardized three-component backup package at every funded facility:
Daytime generation reduces generator fuel consumption and recharges batteries. Solar extends total island-mode duration far beyond battery-only or generator-only configurations.
Provides instant switchover (no gap in power), peak shaving during normal operations, and nighttime discharge when solar is unavailable. LFP chemistry preferred for fire safety at occupied facilities.
Natural gas or propane generator ensures extended runtime beyond battery capacity. Generator handles sustained heavy loads (HVAC, elevators, surgical suites) that would drain batteries rapidly.
The TBPP is governed by PUCT Project No. 59024, which establishes the rulemaking framework for the program. The proposed rule was published in December 2025 with a public comment deadline of January 30, 2026. The final rule is expected in spring 2026. All program details in this guide reflect the proposed rule as of the comment period — final program parameters may be adjusted based on stakeholder feedback.
The TBPP targets facilities whose failure during grid outages poses direct threats to public safety, health, and emergency response capability.
Acute care hospitals, emergency rooms, critical access hospitals, and dialysis centers that must maintain life-safety systems during extended outages.
Fire stations, ambulance dispatch centers, and EMS facilities that serve as first responder command posts during emergencies.
Municipal water treatment plants, wastewater processing facilities, and critical pumping stations that maintain public health infrastructure.
Licensed nursing facilities and assisted living centers with vulnerable populations who cannot self-evacuate during prolonged power failures.
Designated emergency shelters, community centers used as cooling/warming stations, and Red Cross shelter locations.
Fuel stations located on designated hurricane evacuation routes that must remain operational for mass evacuation events.
Eligible facilities must be located within the ERCOT service territory. Facilities served by municipal utilities outside ERCOT (such as Austin Energy, CPS Energy in San Antonio, or electric cooperatives) may have different eligibility criteria. The final rule will clarify these edge cases. Approximately 90% of Texas electricity load is within ERCOT.
TBPP systems must meet strict technical requirements to ensure reliable 48-hour island-mode performance at critical facilities.
Systems must sustain critical facility operations for a minimum of 48 continuous hours without any grid recharging or fuel resupply. This is the most stringent island-mode requirement in any US state program.
Individual site installations are capped at 2.5 MW total system capacity (solar + battery + generator combined). Larger facilities may apply for multiple interconnection points if loads can be segmented.
All TBPP systems must be behind-the-meter installations. Systems cannot export energy to the grid or participate in ERCOT wholesale markets. This is backup-only infrastructure.
The TBPP requires a three-component standardized package: solar PV for daytime generation, battery storage for load shifting and short-duration backup, and a generator (natural gas or propane) for extended outage resilience beyond battery capacity.
TBPP-funded systems are explicitly prohibited from selling energy back to the grid. This eliminates interconnection complexity and keeps the focus on resilience rather than revenue generation.
System designs must be certified by a licensed professional engineer (P.E.) registered in Texas. The P.E. must stamp the electrical, structural, and controls design before the grant application is submitted.
TBPP funding combines direct grants with forgivable low-cost loans, dramatically reducing the capital outlay for facility operators.
Direct grant funding that does not need to be repaid. Covers a portion of installed system cost based on kW capacity. A 500 kW hospital system could receive up to $250,000 in grant funding.
Low-interest loans at below-market rates cover the remaining project cost after the grant. Loans may be partially or fully forgivable if the facility meets ongoing operational and maintenance requirements over the performance period.
The TBPP receives $1.8 billion from the broader $10 billion Texas Energy Fund, which Texas voters approved in November 2023 via Proposition 7. This is dedicated exclusively to behind-the-meter backup power at critical facilities.
| Component | Estimated Cost | Notes |
|---|---|---|
| Solar PV (200 kW) | $400,000 - $500,000 | $2.00-$2.50/W commercial installed |
| Battery Storage (500 kWh) | $250,000 - $350,000 | $500-$700/kWh commercial LFP |
| Generator (300 kW NG/propane) | $150,000 - $200,000 | Installed with ATS and fuel storage |
| Controls, integration, engineering | $100,000 - $150,000 | Microgrid controller, monitoring, PE stamp |
| Total Estimated Cost | $900,000 - $1,200,000 | 500 kW system |
| TBPP Grant (up to $500/kW) | Up to $250,000 | 500 kW x $500/kW |
Note: Costs are estimates based on 2026 commercial pricing in Texas. Actual costs vary by site conditions, utility infrastructure, and engineering complexity. The forgivable loan component covers the balance after the grant.
From voter approval to first awards — here is the TBPP regulatory and implementation timeline.
Texas voters approve Proposition 7, establishing the $10 billion Texas Energy Fund
PUCT publishes proposed TBPP rule under Project No. 59024, defining program structure, eligibility, and system requirements
Public comment period closes on the proposed TBPP rule. Stakeholder feedback collected from utilities, municipalities, installers, and facility operators
PUCT expected to finalize the TBPP rule incorporating stakeholder comments. Final rule establishes application procedures, scoring criteria, and disbursement schedules
Application portal opens. First round of TBPP applications accepted from eligible facility owners and operators
First TBPP awards announced. Grant agreements executed and construction begins on initial cohort of critical facility backup systems
Facility operators who begin site assessment and engineering design before the application portal opens will have a significant competitive advantage. Having a PE-stamped system design ready when applications open could mean the difference between first-round and second-round funding. NuWatt can begin pre-engineering assessments immediately — call (877) 772-6357.
If you operate or manage a critical facility in Texas, the TBPP represents a historic funding opportunity for resilience infrastructure.
Winter Storm Uri forced hospital evacuations. TBPP funding ensures life-safety systems — ventilators, dialysis, surgical suites, refrigerated medication — never lose power during multi-day grid failures.
City-owned fire stations, water treatment plants, and emergency shelters are TBPP-eligible. Grant funding can significantly reduce the municipal capital outlay required for resilience upgrades.
School buildings designated as emergency shelters qualify for TBPP funding. Many Texas school districts serve as Red Cross shelter locations during hurricanes and severe weather events.
State licensing requires backup power plans, but many facilities rely solely on portable generators. TBPP-funded integrated systems provide more reliable, longer-duration backup with lower ongoing fuel costs.
Identify critical loads and calculate total kW demand
Conduct a site assessment for solar PV, battery, and generator placement
Engage a licensed P.E. for system design and stamped drawings
Document facility criticality (hospital license, shelter designation, etc.)
Obtain preliminary quotes from qualified equipment suppliers
Review NFPA 855 and NFPA 110 compliance requirements
Confirm ERCOT territory status with your TDU
Prepare a 48-hour load profile showing energy consumption patterns
NuWatt provides end-to-end design, installation, and maintenance for TBPP-qualifying backup power systems across Texas.
We analyze your critical loads, generate 48-hour load profiles, and determine optimal system sizing for solar, battery, and generator components.
Our licensed engineers produce stamped electrical, structural, and controls designs that meet TBPP application requirements and NFPA 855/110 compliance.
We prepare complete TBPP application packages including system specifications, cost documentation, facility criticality evidence, and engineering certifications.
We source Silfab and Qcells commercial panels, Tesla/Franklin/BYD commercial batteries, and Generac/Kohler/Caterpillar generators at volume pricing.
Our crews handle complete installation including solar mounting, battery placement, generator integration, microgrid controller setup, and 48-hour performance testing.
Post-installation, we provide 24/7 remote monitoring, scheduled maintenance, and rapid response service to ensure TBPP compliance throughout the performance period.
NuWatt serves facilities across the entire ERCOT territory including the DFW Metroplex, Houston metro, San Antonio, Austin corridor, and coastal regions. We have particular expertise in hurricane-prone areas along the Gulf Coast and the Panhandle region where ice storms create extended outage risks.
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Start with a free site assessment. We will analyze your critical loads, determine system sizing, and begin the PE engineering design so you are ready when the application portal opens.
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Everything facility managers and municipal officials ask about the Texas Backup Power Package Program.
The TBPP is a $1.8 billion program funded by the Texas Energy Fund that provides grants and forgivable loans for standardized behind-the-meter backup power systems at critical facilities. Each system includes solar panels, battery storage, and a backup generator designed to sustain 48 hours of island-mode operation without grid recharging or refueling. The program was created by the Public Utility Commission of Texas (PUCT) under Project No. 59024.
Eligible applicants include operators of critical infrastructure facilities: hospitals and medical centers, fire and EMS stations, water and wastewater treatment plants, nursing homes and assisted living facilities, designated emergency shelters, and gas stations on official hurricane evacuation routes. Both public entities (municipalities, school districts, hospital districts) and private facility operators can apply. The facility must be located within the ERCOT service territory in Texas.
TBPP funding combines a direct grant of up to $500 per kW of installed system capacity with a forgivable low-cost loan for the remaining project cost. For example, a 500 kW hospital backup system could receive up to $250,000 in grant funding plus a below-market-rate loan for the balance. The loan may be partially or fully forgiven if the facility meets ongoing operational and maintenance requirements during the performance period.
No. TBPP systems are explicitly prohibited from exporting energy to the grid or participating in ERCOT wholesale energy markets. These are backup-only installations designed to keep critical facilities operational during grid outages. This restriction simplifies the interconnection process because no utility export agreement is needed, but it also means the system generates no revenue — its value is entirely in resilience and avoided losses during outages.
Every TBPP system must demonstrate the capability to sustain critical facility operations for a minimum of 48 continuous hours without any grid recharging or fuel delivery. This means the combined solar, battery, and generator system must be sized to support essential loads through two full day-night cycles independently. The 48-hour requirement reflects the duration of major Texas grid events like Winter Storm Uri (2-4+ days) and is the most stringent island-mode standard in any US state backup power program.
The PUCT published the proposed TBPP rule in December 2025, with public comments due by January 30, 2026. The final rule is expected in spring 2026, with the application portal opening in late 2026 or early 2027. First awards are projected for 2027. Facility operators should begin pre-engineering and site assessment work now to be ready when the portal opens — having a PE-stamped design ready will significantly speed the application process.
Yes. Individual site installations are capped at 2.5 MW total system capacity, which includes the combined capacity of solar PV, battery storage, and generator. For facilities with loads exceeding 2.5 MW, multiple interconnection points with separate backup systems may be considered, but this requires segmented load analysis and separate applications. Most eligible facilities — including mid-size hospitals, fire stations, and water treatment plants — fall well within the 2.5 MW cap.
NuWatt provides end-to-end support for TBPP applicants: site assessment and critical load analysis, PE-stamped system design integrating solar + battery + generator, equipment procurement (including Silfab panels, Tesla/Franklin batteries, and Generac/Kohler generators), application preparation and submission, installation and commissioning, and ongoing maintenance and monitoring. We have designed commercial-scale solar + storage systems across Texas and understand ERCOT interconnection requirements, local permitting under SB 1202, and the engineering certification requirements for TBPP applications. Call (877) 772-6357 for a free consultation.
Explore our other Texas-specific guides for battery storage, solar, and energy policy.
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Pricing, specs, and installation guide
Sizing, DRRS program, ROI analysis
Commercial installation guide and pricing
Statewide battery permitting standards
Complete guide to solar in Texas
The TBPP application portal opens in late 2026. Facilities with completed engineering designs and PE-stamped applications will be first in line. Start your pre-engineering assessment today.
Call (877) 772-6357 for a free TBPP consultation
Last updated: April 2026
Sources: PUCT Project No. 59024, Texas Energy Fund (Prop 7), ERCOT, NFPA 855, NFPA 110