Texas launches new investigation into Houston's power utility following deadly outages after Beryl

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Texas' attorney general launched an investigation Monday into Houston's electric utility over allegations of fraud and waste following Hurricane Beryl, adding to the mounting scrutiny after widespread power outages left millions without electricity for days.

The latest investigation of CenterPoint Energy comes after state regulators and Republican Gov. Greg Abbott have also demanded answers about storm preparations and the response to Beryl, a Category 1 hurricane that knocked out power to nearly 3 million people around the nation’s fourth-largest city.

The storm was blamed for at least three dozen deaths, including those of some residents who died in homes that were left without air conditioning in sweltering heat after the storm's passage.

“My office is aware of concerning allegations regarding CenterPoint and how its conduct affected readiness during Hurricane Beryl,” Ken Paxton, the state's Republican attorney general, said in a statement. “If the investigation uncovers unlawful activity, that activity will be met with the full force of the law.”

The utility pledged its support of the investigation.

“We look forward to cooperating with the Texas Attorney General or any other agency and have made clear our commitment to upholding the values of our company,” CenterPoint spokesperson John Sousa said.

Paxton did not cite any specific allegations of waste or fraud in his announcement and his office did not respond to requests for comment.

Abbott has demanded answers from CenterPoint for what he called its slow restoration efforts and poor communication with customers in the days leading up to the storm. The state's Public Utility Commission has launched its own investigation, and lawmakers grilled the company’s top executive over its failures at a hearing last month.

CenterPoint has largely defended its storm preparedness and said that it deployed thousands of additional workers to help restore power. The utility provider has also begun a monthslong plan to replace hundreds of wooden utility poles and double its tree-trimming efforts after the governor pressed for swift action.

Beryl damaged power lines and uprooted trees when it made its Texas landfall on July 8. It’s the latest natural disaster to hit Houston after a powerful storm ripped through the area in May, leaving nearly 1 million people without power.

Many residents fear that chronic outages have become the norm after Texas’ power grid failed amid a deadly winter storm in 2021.

CenterPoint has previously faced questions over the reliability of Houston's power grid.

In 2008, Hurricane Ike, a Category 2 storm, knocked out power to more than 2 people million and it took 19 days to fully restore electricity. The city of Houston created a task force initiative to investigate the company's response and determined it needed to automate parts of its grid to minimize outages.

CenterPoint received millions of dollars in federal funding to implement this technology years ago. However, according to executive vice president Jason Ryan, it's still a work in progress.

Some utility experts and critics say the company hasn’t adapted its technology fast enough to meet the extreme weather conditions Texas will continue to face.

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It will take days to recover from Hurricane Beryl. Photo by Brandon Bell/Getty Images

Houston residents face high temperatures after storm Beryl leaves millions without power

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The return of searing heat in the Houston area has deepened the misery for people still without power after Hurricane Beryl left residents in search of places to cool off and fuel up as the extended outages strained one of the nation’s largest cities.

More than 1.7 million homes and businesses in Texas lacked electricity Wednesday morning, down from a peak of over 2.7 million on Monday, according to PowerOutage.us. State officials faced questions over whether the power utility that covers much of the area had sufficiently prepared.

Texas Lt. Gov. Dan Patrick said that a sports and event complex would be used to temporarily hold up to 250 hospital patients who are awaiting discharge but cannot be released to homes with no power.

Beryl, which made landfall in Texas early Monday as a Category 1 hurricane, has been blamed for at least seven U.S. deaths — one in Louisiana and six in Texas — and at least 11 in the Caribbean. It weakened as it moved deeper into the U.S. and early Wednesday was a post-tropical cyclone centered over northeastern Indiana.

A flood watch was in effect for parts of Illinois, Indiana, Michigan, New York, Vermont, New Hampshire and Maine. The storm spawned suspected tornadoes in parts of Indiana and Kentucky.

In the Houston area, Beryl compounded and repeated the misery of May, when storms killed eight people and left nearly 1 million without power.

High temperatures Tuesday climbed into the 90s (above 32.2 Celsius) with humidity that made it feel even hotter. Similar heat and humidity were expected Wednesday. The National Weather Service described the conditions as potentially dangerous, given the lack of power and air conditioning.

People coped as best they could. Kyuta Allen took her family to a Houston community center to cool down and use the internet.

“During the day you can have the doors open, but at night you’ve got to board up and lock up — lock yourself like into a sauna,” she said.

An executive for CenterPoint Energy, which covers much of the Houston area, defended the utility’s preparation and response.

“From my perspective, to have a storm pass at 3 p.m. in the afternoon, have those crews come in in the late evening, and have everything ready by 5 a.m. to go out and get out and start the workforce is rather impressive, because we’re talking about thousands of crews,” said Brad Tutunjian, vice president of regulatory policy.

Nim Kidd, head of the state’s division of emergency management, stressed that restoring power was the top priority.

Patrick, who is acting as governor while Gov. Greg Abbott is overseas, said nursing homes and assisted living centers were the highest priority. Sixteen hospitals ran on generator power Tuesday morning, according to the Federal Emergency Management Agency.

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Cemvita reaches breakthrough in sustainable fuel feedstock production

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Houston-based biotech company Cemvita announced that it recently reached a critical milestone in the development of its FermOil product, which can be used to create Sustainable Aviation Fuel (SAF) and other renewable fuels at industrial scale.

The company shared in a news release that it completed a 75,000-liter industrial fermentation run at Belgium's Bio Base Europe Pilot Plant.

The campaign achieved target technical metrics for the production of FermOil, Cemvita’s renewable natural oil (RNO). FermOil is produced from industrial crude glycerin, an industrial byproduct, as opposed to traditional sugar-based feedstocks used in many bio-oil fermentation processes. It's designed to be a drop-in feedstock for creating SAFs.

Cemvita had previously advanced its FermOil production process through multiple scale-up stages before successfully reaching the 75,000-liter demonstration campaign, according to the company.

“This is not just a fermentation milestone,” Moji Karimi, CEO at Cemvita, said in the release. “It is a blueprint for how existing industrial infrastructure can evolve into circular bioeconomy infrastructure. Every biodiesel plant generating crude glycerin is a potential platform for renewable natural oil production.”

The milestone also supports the deployment of Cemvita’s industrial biomanufacturing platform, FermWorks, which integrates with existing energy and industrial infrastructure to turn waste carbon streams into SAFs and other materials. According to the release, Cemvita plans to move forward with commercial deployment discussions with partners in Brazil, Europe and in the UK. Cemvita already has a partnership with the Brazilian sustainable research institution REMA.

“We are proud to support innovative companies like Cemvita in scaling breakthrough industrial biotechnology solutions,” Hendrik Waegeman, head of business operations at Bio Base Europe Pilot Plant, added in the release. “Successfully operating at the 75,000-liter scale using a feedstock such as crude glycerin highlights both the maturity of the technology and the quality of the scale-up execution achieved by the Cemvita team.”

6+ must-attend Houston energy transition events for June 2026

Mark Your Calendars

Editor's note: Summer is here, and June brings a slate of must-attend events for those in the energy transition sector. CLEANPOWER is already underway, and the month continues with EPC Show and InnovateEnergy Week. Mark your calendars and register now.

June 1-4, 2026 — CLEANPOWER 2026 Conference and Exhibition

CLEANPOWER unites policymakers, experts, and corporate leaders to solve the challenges that none can solve alone. This must-attend, four-day conference is packed with cutting-edge discussions about wind, solar, storage, and transmission; dealmaking; networking; and fun.

This event continues through June 4 at the George R. Brown Convention Center. Register here.

June 4, 2026 — Energy Capital Conference

Join 300+ investors, operators, and capital providers in Houston for high-impact conversations shaping the next phase of energy investment. Hart Energy’s Energy Capital Conference is designed for senior decision-makers to meet the capital partners behind today’s deals; see where capital is flowing; strengthen the relationships that move business forward; and get ahead of where investment is going next. A pre-conference half-day workshop, titled Institutional Investing in Energy Workshop, will take place June 3.

This event takes place June 4 at the Post Oak Hotel. Register here.

June 9 — Greentown Go Make Kickoff

Head to the Ion to celebrate the Greentown Go Make 2026 cohort. The open-innovation program with Shell Catalysts & Technologies and Technip Energies focuses on catalytic solutions for industrial decarbonization and the energy transition. Hear pitches from the founders and network with a select group of startups while enjoying food and drink.

This event takes place June 9 at the Ion. Register here.

June 11, 2026 — Goals & Gigawatts Kickoff Party

Head to downtown Houston for Goals & Gigawatts: The Power of & Kickoff Party. The exciting Houston Energy & Climate Week gathering will combine fútbol, culture, climate, energy, innovation, and community for one unforgettable afternoon. Celebrate the opening FIFA match in Mexico City while connecting with professionals, innovators, investors, community leaders, and organizations shaping the future of energy and climate initiatives in Houston and beyond.

This event takes place at 1:30 pm on June 11, and the location is provided after registering. Register here.

June 16-17, 2026 — Energy Projects Conference & Expo

The Energy Projects Conference & Expo (EPC Show) is the largest event in North America for professionals working at the heart of major energy projects. The essential event for engineering, construction, commissioning, operations and maintenance across multiple energy sectors brings together five leading conferences under one roof. Conference subjects span LNG exporting, hydrogen and ammonia, midstream, petrochem and refining, and sustainable aviation fuels.

This event begins June 16 at George R. Brown Convention Center. Register here.

June 22-24, 2026 — InnovateEnergy Week

InnovateEnergy Week 2026 brings together the Energy Drone & Robotics Summit, Industrial Digital Reality Summit, and Industrial AI Nexus Summit for three days of high-powered innovation in Houston. This highly anticipated event will unite 1,500+ industrial, energy, and engineering leaders to explore the future of autonomous operations, spatial computing, digital twins, XR, AI, geospatial intelligence, and remote systems from the stars to the seafloor.

This event begins June 22 at Woodlands Waterway Marriott. Register here.

New Texas water plan does not consider data center growth, critics say

For the Future

A draft of Texas’ 2027 State Water Plan is drawing concerns from some water protection advocates who say it fails to account for one growing industry: data centers.

The plan, created by the Texas Water Development Board, will guide tens of billions of dollars in water development projects over the coming decades.

On Memorial Day, people packed Lake Travis to enjoy the water and sunshine while the lake remains near full capacity. But some advocates warn drought conditions could quickly return.

“Once we get into August, September, we'll be probably right back in the same drought situation,” said Mike Clifford with the Greater Edwards Aquifer Alliance.

The Texas Water Development Board released the draft plan in April. It recommends thousands of water projects carrying a projected cost of $174 billion over 50 years.

“We're not as shocked about the dollar amounts as some people are,” Clifford said. "To secure our water future, that's not an insane amount to ask for."

However, Clifford said his organization was surprised the draft does not specifically account for the growing impact of data centers, which can consume large amounts of water.

“If you leave the data centers out, it's not really a plan in our opinion. It's going to have to be changed and it's going to fall short,” Clifford said.

According to Data Center Map, Texas is currently home to 461 data centers.

Clifford argues the state should use projected future growth, not just historical data, when planning for long-term water needs.

“They're looking at the previous 10 years or 20 years or whatever, and we didn't have a lot of data centers in Texas,” he said.

Researchers at the the University of Texas at Austin estimate data centers could account for as much as 9 percent of Texas’ total water use by 2040, or potentially surpass the oil and gas industry that same year.

Read the full story from CultureMap news partner KVUE.com.

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