1:11:23 everything that you know BlackRock's talking about, oh we're going to tokenize the water or we're going to tokenize the trees. They want to... You know in that sense you could see the data centers being used as a tracking mechanism but it's not necessarily tracking people its tracking everything in the world. Every leaf on the tree so to speak. Well maybe I think it'll be great for Bitcoin mining and gyms. I think there'll be lots of nice gyms that we'll have, and this is happening in Texas at an incredible scale. And I found this interview with the chairman of the Energy Committee here in Texas. He's a good old boy but he had some really interesting insights into exactly what's going on with these data centers in Texas and about the power. So if you'd have any questions... No, I'm sorry that's not it
1:12:12 Where is it? This is the guy. Here we go. So, it's a big committee. It's a big job but on the data center front I can tell you this when when I got named chair of state affairs um of course met with public utility commission and ERCOT And, you know, ERCOT is the managing body of the state grid. Everyone needs to understand ERCOT is like an exchange like a stock exchange for power in Texas has its own grid and so that's where people buy and sell futures on power they go to get power immediately That's another thing we stopped talking about, the big energy storage systems. That used to be another political thing that has gone away What about those military-age men from China? Are they still here with their sleeper cells?
1:13:00 Well, and also we used to talk about how bad it was that Texas had its own power system. Remember that? I was like, oh how could they have their own power system? We're no good! And its like well our power system is yeah... It's like ours works if you look up what northern Indiana or Illinois Yeah Twelve days and they still don't have power from storms Tell me about it. I got family there who've been uh..I think they're getting power tomorrow maybe Yeah, it's been really bad. It continues to be ridiculous. We're probably we're outside of our cot over here most of my district is outside of our cot. We were carved out when utilities deregulated in the 90s the legislature carved
1:13:37 part of southeast Texas and the Texas Panhandle. Okay, which I'm going to that why that's a good thing in a minute but the utility commission told me in February of 25 that Texas needs to be prepared for 10 additional gigawatts power to come onto the grid in the next five years. Wow! This is massive amount of electricity yeah The only problem is we don't We don't even have the power lines to handle 10 extra gigawatts and now this guy explains what the data centers are actually after. But honestly, why are they coming here? Why is there a multi-billion dollar facility going in right down the road in Turkey? It's stranded power so back in the 90s when
1:14:23 We started getting wind farms and solar, and you see these 345 kV lines they call them the CREZ lines were put in. Those were developed to put power to the Metroplex So these data centers, what they're hunting is stranded power. So we're outside of ERCOT. We're in the Southwest Power Pool that power is being sold into ERCOT but where there's congestion between ERCOT because those lines are full so it causes congestion. There's millions and millions of megawatts of power that just evaporates into the atmosphere every day. When he says millions
1:15:05 megawatts of power. He's talking about... That wasn't evaporating! Well, he's talking about windmills that are spinning they can't get rid of their energy solar farms that's the main well West Texas mainly wind And so they have enough power. There's too much, they can't get it through the lines. Every year and so these data centers are hunting that stranded power So whether you're a data center developer or your hyperscaler That's what they're hunting because Google can solve water issue They can spend any amount of money they want What they can't recreate is the grid in that stranded power
1:15:43 That's the main, that is the driving force of why data center builds when it builds. The other factors that come in typically lands cheaper up here. It's relatively flat and thank you sir Bemrose yes I meant thousands of megawatts not millions that would be a little much but really it's into the 500,000 gigawatts even this is insane what they're trying to do You know i said that a year ago bureaucracy told me that Texas needed was going to have 10 more gigawatts. Well, just in the golden spread triangle up here you know I represent more co-ops than any member of the legislature just in Golden Spread alone there's 48 proposed gigawatts of new power just for data centers
1:16:30 trying to get built out here statewide we have almost 500 now they told me 10 a year and half ago yeah we have almost five hundred proposed up new gigawatts of power. Now number one The reality of this is, I told you all these developers are hunting that ERCOT interconnect. Well there's not enough capacity in ERCOT for all that to be built out. I passed a bill last session called Senate Bill 6 that was designed to kind of slow this down and it has in one way because everybody that's applying for
1:17:11 ERCOT interconnect had to go back through what PUC calls batch, this batch study. And everybody that thought they were going to get an interconnect this year is still being studied. So that begs the question... Why are they building? You know, even the one in Turkey. Now they've got a plan to get an interconnect and get whatever amount of power they've applied for but they don't know that they're getting it so why are they building these things Well, whoever gets InterConnect is going to make billions of dollars and there's only like 12 or 15 customers. And it's people like Google, Amazon, Oracle, Meta, OpenAI the hyperscalers they're not going these guys are going we're signing a contract and you're gonna be our... We're gonna rent the data center space from you
1:18:04 They're telling everybody you get the interconnect and the power. We're your customer Yeah, we're here so you know I don't think most people in the state legislature Believe more than about 15% of what of what's being proposed actually gets built out exactly take the money Take the money Go for it. Even Abbott's like, oh yeah we got to slow this down because Politically back to the midterm I don't think they have the workforce to make this stuff You know to get all these things made there's no way and you look where is Turkey Texas? You know it's between Amarillo Lubbock in Wichita Falls that that is literally the middle of nowhere true, you know so you gotta get people out there, you know and
1:18:52 Well, that's what you know. What you saw up in North Dakota and South Dakota when they bring these people in they make a little city and bring these people into build these things but you got to have all kind of infrastructure just for the workers. Well there you go but isn't this just like the oil boom? We had all of Midland was dead then also pops up lots of money to be made take it from those guys take it from Wall Street stop being stupid about it It's free money, I'm telling you. Take it now! Take it from Google. Take it from OpenAI. Take it from BlackRock. This is literally the way you can take money from BlackRock Your kids can take it from BlackRock Just my opinion But of course this is politicized for the midterms Several issues are driving voters to the polls in todays primary elections Among them The growing dominance of artificial intelligence A new piece from The Washington Post analyzes how