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DOE funds Houston carbon capture cos., Texas gets more storage projects, and more top energy transition news

Four Houston companies scored DOE funding — and more top energy transition news. Photo via Getty Images

Editor's note: From new Houston cleantech projects being announced to the Energy Capital of the World ranking on an international list, these are the top headlines that resonated with EnergyCapital readers on social media and daily newsletter this week.

DOE doles out funding to 4 Houston tackling carbon dioxide removal tech

The four companies are among 24 semifinalists in the agency’s Carbon Dioxide Removal Purchase Pilot Prize program that were chosen to receive a total of $1.2 million for their commercial-scale CO2 removal technology.

Four Houston companies have received $50,000 each from the U.S. Department of Energy to further develop their carbon dioxide removal technology.

The four companies are among 24 semifinalists in the agency’s Carbon Dioxide Removal Purchase Pilot Prize program that were chosen to receive a total of $1.2 million for their commercial-scale CO2 removal technology.

The funding comes in the form of the Department of Energy’s purchase of CO2 removal credits. Continue reading.

New collaboration to build data center microgrid in Houston

The new microgrid will be built on ViVa Center, a campus that was originally developed for Compaq. Photo via vivaversesolutions.com

Two companies are teaming up to build a natural gas microgrid in Houston that will reduce emissions by 98 percent.

Provider of prime and backup power solutions RPower has teamed up with Houston’s ViVaVerse Solutions to build a 17-megawatt (MW) microgrid at the ViVa Center campus in Houston, which is expected to be commissioned by the end of the year.

The microgrid plans to employ ultra-low emissions and natural gas generators to deliver Resiliency-as-a-Service (RaaS), and this will connect to ViVaVerse's colocation data center operations during utility outages. Continue reading.

Houston company expands JV to build new power generation, storage assets

Under this deal, the joint venture, RPC Power, will build power generation and storage assets for the sale of energy and related services to ERCOT. Photo via conduitpower.co

Houston-based Conduit Power is broadening the scope of its joint venture with Oklahoma City-based Riley Exploration Permian.

Under this deal, the joint venture, RPC Power, will build power generation and storage assets for the sale of energy and related services to the Electric Reliability Council of Texas (ERCOT), which operates the power grid for the bulk of Texas.

RPC Power, established in March 2023, owns and operates power generation assets that use Riley Permian’s natural gas to power its oilfield operations in Yoakum County, located in West Texas. Continue reading.

Elon Musk sees more resistance against his multibillion dollar pay package

Shareholders of the electric vehicle and solar panel company are voting on the package, with the results to be tabulated at Tesla's June 13 annual meeting. Photo via cdn.britannica.com

A second shareholder advisory firm has come out against reinstating a pay package for Tesla CEO Elon Musk that was voided earlier this year by a Delaware judge.

ISS late Thursday joined Glass Lewis in recommending against the package, recently valued by the company at $44.9 billion but in January had a value of about $56 billion.

Shareholders of the electric vehicle and solar panel company are voting on the package, with the results to be tabulated at Tesla's June 13 annual meeting. Continue reading.

Houston's energy industry deemed both a strength and weakness on global cities report

Houston could have ranked higher on a global report of top cities in the world if it had a bit more business diversification. Photo via Getty Images

A new analysis positions the Energy Capital of the World as an economic dynamo, albeit a flawed one.

The recently released Oxford Economics Global Cities Index, which assesses the strengths and weaknesses of the world’s 1,000 largest cities, puts Houston at No. 25.

Houston ranks well for economics (No. 15) and human capital (No. 18), but ranks poorly for governance (No. 184), environment (No. 271), and quality of life (No. 298). Continue reading.

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A View From HETI

Greenhouse gases continue to rise, and the challenges they pose are not going away. Photo via Getty Images

For the past 40 years, climate policy has often felt like two steps forward, one step back. Regulations shift with politics, incentives get diluted, and long-term aspirations like net-zero by 2050 seem increasingly out of reach. Yet greenhouse gases continue to rise, and the challenges they pose are not going away.

This matters because the costs are real. Extreme weather is already straining U.S. power grids, damaging homes, and disrupting supply chains. Communities are spending more on recovery while businesses face rising risks to operations and assets. So, how can the U.S. prepare and respond?

The Baker Institute Center for Energy Studies (CES) points to two complementary strategies. First, invest in large-scale public adaptation to protect communities and infrastructure. Second, reframe carbon as a resource, not just a waste stream to be reduced.

Why Focusing on Emissions Alone Falls Short

Peter Hartley argues that decades of global efforts to curb emissions have done little to slow the rise of CO₂. International cooperation is difficult, the costs are felt immediately, and the technologies needed are often expensive. Emissions reduction has been the central policy tool for decades, and it has been neither sufficient nor effective.

One practical response is adaptation, which means preparing for climate impacts we can’t avoid. Some of these measures are private, taken by households or businesses to reduce their own risks, such as farmers shifting crop types, property owners installing fire-resistant materials, or families improving insulation. Others are public goods that require policy action. These include building stronger levees and flood defenses, reinforcing power grids, upgrading water systems, revising building codes, and planning for wildfire risks. Such efforts protect people today while reducing long-term costs, and they work regardless of the source of extreme weather. Adaptation also does not depend on global consensus; each country, state, or city can act in its own interest. Many of these measures even deliver benefits beyond weather resilience, such as stronger infrastructure and improved security against broader threats.

McKinsey research reinforces this logic. Without a rapid scale-up of climate adaptation, the U.S. will face serious socioeconomic risks. These include damage to infrastructure and property from storms, floods, and heat waves, as well as greater stress on vulnerable populations and disrupted supply chains.

Making Carbon Work for Us

While adaptation addresses immediate risks, Ken Medlock points to a longer-term opportunity: turning carbon into value.

Carbon can serve as a building block for advanced materials in construction, transportation, power transmission, and agriculture. Biochar to improve soils, carbon composites for stronger and lighter products, and next-generation fuels are all examples. As Ken points out, carbon-to-value strategies can extend into construction and infrastructure. Beyond creating new markets, carbon conversion could deliver lighter and more resilient materials, helping the U.S. build infrastructure that is stronger, longer-lasting, and better able to withstand climate stress.

A carbon-to-value economy can help the U.S. strengthen its manufacturing base and position itself as a global supplier of advanced materials.

These solutions are not yet economic at scale, but smart policies can change that. Expanding the 45Q tax credit to cover carbon use in materials, funding research at DOE labs and universities, and supporting early markets would help create the conditions for growth.

Conclusion

Instead of choosing between “doing nothing” and “net zero at any cost,” we need a third approach that invests in both climate resilience and carbon conversion.

Public adaptation strengthens and improves the infrastructure we rely on every day, including levees, power grids, water systems, and building standards that protect communities from climate shocks. Carbon-to-value strategies can complement these efforts by creating lighter, more resilient carbon-based infrastructure.

CES suggests this combination is a pragmatic way forward. As Peter emphasizes, adaptation works because it is in each nation’s self-interest. And as Ken reminds us, “The U.S. has a comparative advantage in carbon. Leveraging it to its fullest extent puts the U.S. in a position of strength now and well into the future.”

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Scott Nyquist is a senior advisor at McKinsey & Company and vice chairman, Houston Energy Transition Initiative of the Greater Houston Partnership. The views expressed herein are Nyquist's own and not those of McKinsey & Company or of the Greater Houston Partnership. This article originally appeared on LinkedIn.

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