The grants will fund a total of 25 projects in 14 states, including Texas. Photo via Getty Images

The Biden administration is awarding over $3 billion to U.S. companies to boost domestic production of advanced batteries and other materials used for electric vehicles, part of a continuing push to reduce China’s global dominance in battery production for EVs and other electronics.

The grants will fund a total of 25 projects in 14 states, including Texas, as well as Ohio, South Carolina, Michigan, North Carolina, and Louisiana.

The grants announced Friday mark the second round of EV battery funding under the bipartisan infrastructure law approved in 2021. An earlier round allocated $1.8 billion for 14 projects that are ongoing. The totals are down from amounts officials announced in October 2022 and reflect a number of projects that were withdrawn or rejected by U.S. officials during sometimes lengthy negotiations.

The money is part of a larger effort by President Joe Biden and Vice President Kamala Harris to boost production and sales of electric vehicles as a key element of their strategy to slow climate change and build up U.S. manufacturing. Companies receiving awards process lithium, graphite or other battery materials, or manufacture components used in EV batteries.

“Today’s awards move us closer to achieving the administration’s goal of building an end-to-end supply chain for batteries and critical minerals here in America, from mining to processing to manufacturing and recycling, which is vital to reduce China’s dominance of this critical sector,'' White House economic adviser Lael Brainard said.

The Biden-Harris administration is "committed to making batteries in the United States that are going to be vital for powering our grid, our homes and businesses and America’s iconic auto industry,'' Brainard told reporters Thursday during a White House call.

The awards announced Friday bring to nearly $35 billion total U.S. investments to bolster domestic critical minerals and battery supply chains, Brainard said, citing projects from major lithium mines in Nevada and North Carolina to battery factories in Michigan and Ohio to production of rare earth elements and magnets in California and Texas.

“We’re using every tool at our disposal, from grants and loans to allocated tax credits,'' she said, adding that the administration's approach has leveraged more $100 billion in private sector investment since Biden took office.

In recent years, China has cornered the market for processing and refining key minerals such as lithium, rare earth elements and gallium, and also has dominated battery production, leaving the U.S. and its allies and partners "vulnerable,'' Brainard said.

The U.S. has responded by taking what she called “tough, targeted measures to enforce against unfair actions by China.” Just last week, officials finalized higher tariffs on Chinese imports of critical minerals such as graphite used in EV and grid-storage batteries. The administration also has acted under the 2022 climate law to incentivize domestic sourcing for EVs sold in the U.S. and placed restrictions on products from China and other adversaries labeled by the U.S. as foreign entities of concern.

"We're committed to making batteries in the United States of America,'' Energy Secretary Jennifer Granholm said.

If finalized, awards announced Friday will support 25 projects with 8,000 construction jobs and over 4,000 permanent jobs, officials said. Companies will be required to match grants on a 50-50 basis, with a minimum $50 million investment, the Energy Department said.

While federal funding may not be make-or-break for some projects, the infusion of cash from the infrastructure and climate laws has dramatically transformed the U.S. battery manufacturing sector in the past few years, said Matthew McDowell, associate professor of engineering at Georgia Institute of Technology.

McDowell said he is excited about the next generation of batteries for clean energy storage, including solid state batteries, which could potentially hold more energy than lithium ion.

A proposed Environmental Protection Agency rule intended to encourage industry to adopt best practices that reduce emissions of methane and thereby avoid paying. Photo via Canva

EPA sets out rules for proposed 'methane fee' for waste generated by oil and natural gas companies

pollution deterrent

Oil and natural gas companies for the first time would have to pay a fee for methane emissions that exceed certain levels under a rule proposed Friday by the Biden administration.

The proposed Environmental Protection Agency rule follows through on a directive from Congress included in the 2022 climate law. The new fee is intended to encourage industry to adopt best practices that reduce emissions of methane and thereby avoid paying.

Methane is a climate “super pollutant” that is more potent in the short term than carbon dioxide and is responsible for about one-third of greenhouse gas emissions. The oil and natural gas sector is the largest industrial source of methane emissions in the United States, and advocates say reduction of methane emissions is an important way to slow climate change.

Excess methane produced this year would result in a fee of $900 per ton, with fees rising to $1,500 per ton by 2026.

EPA Administrator Michael Regan said the proposed fee would work in tandem with a final rule on methane emissions EPA announced last month. The fee, formally known as the Methane Emissions Reduction Program, will encourage early deployment of available technologies to reduce methane emissions and other harmful air pollutants before the new standards take effect, he said.

The rule announced in December includes a two-year phase-in period for companies to eliminate routine flaring of natural gas from new oil wells.

“EPA is delivering on a comprehensive strategy to reduce wasteful methane emissions that endanger communities and fuel the climate crisis,” Regan said in a statement. When finalized later this year, the proposed methane fee will set technology standards that will “incentivize industry innovation'' and spur action to reduce pollution, he said.

Leading oil and gas companies already meet or exceed performance levels set by Congress under the climate law, meaning they will not have to pay the proposed fee, Regan and other officials said.

Sen. Tom Carper, chairman of the Senate Environment and Public Works Committee, said he was pleased the administration was moving forward with the methane fee as directed by Congress.

“We know methane is over 80 times more potent than carbon dioxide at trapping heat in our atmosphere in the short term,'' said Carper, D-Del. He said the program "will incentivize producers to cut wasteful and excessive methane emissions during oil and gas production.”

New Jersey Rep. Frank Pallone, the top Democrat on the House Energy and Commerce Committee, said oil and gas companies have long calculated that it's cheaper to waste methane through flaring and other techniques than to make necessary upgrades to prevent leaks.

“Wasted methane never makes its way to consumers, but they are nevertheless stuck with the bill,” Pallone said. The proposed methane fee “will ensure consumers no longer pay for wasted energy or the harm its emissions can cause.''

Republicans call the methane fee a tax that could raise the price of natural gas. “This proposal means increased costs for employers and higher energy bills for millions of Americans,” said Sen. Shelley Moore Capito, R-West Virginia.

The American Petroleum Institute, the oil and gas industry's largest lobbying group, slammed the proposal Friday and called for Congress to repeal it.

“As the world looks to U.S. energy producers to provide stability in an increasingly unstable world, this punitive tax increase is a serious misstep that undermines America’s energy advantage,'' said Dustin Meyer, API's senior vice president of policy, economics and regulatory affairs.

While the group supports “smart” federal methane regulation, the EPA proposal “creates an incoherent, confusing regulatory regime that will only stifle innovation and undermine our ability to meet rising energy demand,'' Meyer said. “We look forward to working with Congress to repeal the IRA’s misguided new tax on American energy.”

Fred Krupp, president of the Environmental Defense Fund, called the proposed fee "common sense,'' adding that oil and gas companies should be held accountable for methane pollution, a primary source of global warming.

In a related development, EPA said it is working with industry and others to improve how methane emissions are reported, citing numerous studies showing that and oil and gas companies have significantly underreported their methane emissions to the EPA under the agency's Greenhouse Gas Reporting Program.

The climate law, formally known as the Inflation Reduction Act, established a waste-emissions charge for methane from oil and gas facilities that report emissions of more than 25,000 metric tons of carbon dioxide equivalent per year to the EPA. The proposal announced Friday sets out details of how the fee will be implemented, including how exemptions will be applied.

The agency said it expects that over time, fewer oil and gas sites will be charged as they reduce their emissions in compliance with the rule.

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Reliant partners to expand Texas virtual power plant and home battery use

energy incentives

Houston’s Reliant and San Francisco tech company GoodLeap are teaming up to bolster residential battery participation and accelerate the growth of NRG’s virtual power plant (VPP) network in Texas.

Through the new partnership, eligible Reliant customers can either lease a battery or enter into a power purchase agreement with GoodLeap through its GoodGrid program, which incentivises users by offering monthly performance-based rewards for contributing stored power to the grid. Through the Reliant GoodLeap VPP Battery Program, customers will start earning $40 per month in rewards from GoodLeap.

“These incentives highlight our commitment to making homeowner battery adoption more accessible, effectively offsetting the cost of the battery and making the upgrade a no-cost addition to their homes,” Dan Lotano, COO at GoodLeap, said in a news release.“We’re proud to work with NRG to unlock the next frontier in distributed energy in Texas. This marks an important step in GoodLeap reaching our nationwide goal of 1.5 GW of managed distributed energy over the next five years.”

Other features of the program include power outage plans, with battery reserves set aside for outage events. The plan also intelligently manages the battery without homeowner interaction.

The partnership comes as Reliant’s parent company, NRG, continues to scale its VPP program. Last year, NRG partnered with California-based Renew Home to distribute hundreds of thousands of VPP-enabled smart thermostats by 2035 in an effort to help households manage and lower their energy costs.

“We started building our VPP with smart thermostats across Texas, and now this partnership with GoodLeap brings home battery storage into our platform,” Mark Parsons, senior vice president and head of Texas energy at NRG, said in a the release. “Each time we add new devices, we’re enabling Texans to unlock new value from their homes, earn rewards and help build a more resilient grid for everyone. This is about giving customers the opportunity to actively participate in the energy transition and receive tangible benefits for themselves and their communities.

How Corrolytics is tackling industrial corrosion and cutting emissions

now streaming

Corrosion is not something most people think about, but for Houston's industrial backbone pipelines, refineries, chemical plants, and water infrastructure, it is a silent and costly threat. Replacing damaged steel and overusing chemicals adds hundreds of millions of tons of carbon emissions every year. Despite the scale of the problem, corrosion detection has barely changed in decades.

In a recent episode of the Energy Tech Startups Podcast, Anwar Sadek, founder and CEO of Corrolytics, explained why the traditional approach is not working and how his team is delivering real-time visibility into one of the most overlooked challenges in the energy transition.

From Lab Insight to Industrial Breakthrough

Anwar began as a researcher studying how metals degrade and how microbes accelerate corrosion. He quickly noticed a major gap. Companies could detect the presence of microorganisms, but they could not tell whether those microbes were actually causing corrosion or how quickly the damage was happening. Most tests required shipping samples to a lab and waiting months for results, long after conditions inside the asset had changed.

That gap inspired Corrolytics' breakthrough. The company developed a portable, real-time electrochemical test that measures microbial corrosion activity directly from fluid samples. No invasive probes. No complex lab work. Just the immediate data operators can act on.

“It is like switching from film to digital photography,” Anwar says. “What used to take months now takes a couple of hours.”

Why Corrosion Matters in Houston's Energy Transition

Houston's energy transition is a blend of innovation and practicality. While the world builds new low-carbon systems, the region still depends on existing industrial infrastructure. Keeping those assets safe, efficient, and emission-conscious is essential.

This is where Corrolytics fits in. Every leak prevented, every pipeline protected, and every unnecessary gallon of biocide avoided reduces emissions and improves operational safety. The company is already seeing interest across oil and gas, petrochemicals, water and wastewater treatment, HVAC, industrial cooling, and biofuels. If fluids move through metal, microbial corrosion can occur, and Corrolytics can detect it.

Because microbes evolve quickly, slow testing methods simply cannot keep up. “By the time a company gets lab results, the environment has changed completely,” Anwar explains. “You cannot manage what you cannot measure.”

A Scientist Steps Into the CEO Role

Anwar did not plan to become a CEO. But through the National Science Foundation's ICorps program, he interviewed more than 300 industry stakeholders. Over 95 percent cited microbial corrosion as a major issue with no effective tool to address it. That validation pushed him to transform his research into a product.

Since then, Corrolytics has moved from prototype to real-world pilots in Brazil and Houston, with early partners already using the technology and some preparing to invest. Along the way, Anwar learned to lead teams, speak the language of industry, and guide the company through challenges. “When things go wrong, and they do, it is the CEO's job to steady the team,” he says.

Why Houston

Relocating to Houston accelerated everything. Customers, partners, advisors, and manufacturing talent are all here. For industrial and energy tech startups, Houston offers an ecosystem built for scale.

What's Next

Corrolytics is preparing for broader pilots, commercial partnerships, and team growth as it continues its fundraising efforts. For anyone focused on asset integrity, emissions reduction, or industrial innovation, this is a company to watch.

Listen to the full conversation with Anwar Sadek on the Energy Tech Startups Podcast to learn more:

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Energy Tech Startups Podcast is hosted by Jason Ethier and Nada Ahmed. It delves into Houston's pivotal role in the energy transition, spotlighting entrepreneurs and industry leaders shaping a low-carbon future.


Investors close partial acquisition of Phillips 66 subsidiary with growing EV network

M&A activity

Energy Equation Partners, a London-based investment firm focused on clean energy companies, and New York-based Stonepeak have completed the acquisition of a 65 percent interest in JET Tankstellen Deutschland GmbH, a subsidiary of Houston oil and gas giant Phillips 66.

JET is one of the largest and most popular fuel retailers in Germany and Austria with a rapidly growing EV charging network, according to a news release. It also operates approximately 970 service stations, convenience stores and car washes.

“We are delighted to complete this acquisition and to partner with Stonepeak and Phillips 66 to take JET to the next level,” Javed Ahmed, managing partner of Energy Equation Partners, said in a news release. “This investment reflects EEP’s commitment to investing in established players in the energy sector who have the potential to make a meaningful impact on the energy transition, and we are excited to work alongside the entire JET team, including its dedicated service station operators, to realize this vision.”

The deal values JET at approximately $2.8 billion. Phillips 66 will retain a 35 percent non-operated interest in JET and received about $1.6 billion in pre-tax proceeds.

“Under Phillips 66’s ownership, JET has grown into one of the largest fuel retailers in Germany and Austria," Anthony Borreca, senior managing director and co-head of energy at Stonepeak, added in a news release. "We are excited to join forces with them, as well as Javed and the EEP team, who have long-standing experience investing in and operating retail fuel distribution and logistics globally, to support the next phase of JET’s growth.”