U.S. Secretary of Energy Jennifer M. Granholm made two big announcements at her CERAWeek address. Photo via Jennifer Granholm/X

The Department of Energy announced two major initiatives at U.S. Secretary of Energy Jennifer M. Granholm's address earlier this week at CERAWeek by S&P Global.

The first announcement Granholm revealed on Monday, March 18, at her keynote address was the DOE's latest Pathways to Commercial Liftoff report, which are initiatives established to provide investors with information of how specific energy technologies commercialize and what challenges they each have to overcome as they scale.

"We develop these Liftoff Reports through a combination of modeling and hundreds and hundreds of interviews with people across the whole investment lifecycle—from early-stage capital to commercial banks and institutional investors," Granholm says in her address.

The DOE has released eight already, and the ninth — and Granholm's favorite, she says — is on geothermal energy.

"Geothermal has such enormous potential. If we can capture the 'heat beneath our feet,' it can be the clean, reliable, base-load scalable power for everybody from industries to households," she says.

Geothermal development requires similar skills and infrastructure to traditional oil and gas, meaning the transition should be smooth, she explains, adding that the market is huge for geothermal.

"At scale, this market is significant: We're talking about at least—at least—a $250 billion investment opportunity to meet the goal that we have of 90 gigawatts of capacity by 2050," she remarks.

Granholm's address shifted into acknowledging the negative impact on communities the energy industry's history is paved with. She emphasizes how each of the Biden Administration's laws passed — like the Inflation Reduction Act and the Bipartisan Infrastructure Law — implemented requirements and incentives with communities in mind.

The administration's next initiative, and Granholm's second big announcement, is "to empower communities to build their energy future."

Regional Energy Democracy Initiative, or REDI, as Granholm describes, will "bring together companies, and community groups, and academic institutions, and philanthropy to weave equity and justice into DOE-funded clean energy projects."

The inaugural pilot will be in the Gulf South across Texas and Louisiana. She says the DOE plans to award over $8 billion to regional carbon reduction and clean energy infrastructure projects.

"These structures will provide capacity building, technical assistance to help communities match their most pressing needs with the biggest opportunities…to design and to implement Community Benefits Plans," Granholm says, "in short, really to have a say in how the historic clean energy investments in their backyards are going to benefit their people."

Granholm also noted on the progress of the clean energy sector, including how clean energy investment is three times what it was in 2018 and that in 2024, wind and solar energy in the U.S. is expected to outpace coal generation for the first time.

All this progress, Granholm explains, in light of global events and global energy supply disruption

"But our work together really has to extend beyond crisis management," she says. "Because the sooner that we acknowledge this transition for what it is—an undeniable, inevitable, and necessary realignment of the world’s energy system—the sooner we can capitalize on this incredible opportunity."

Leaders across Houston shared their thoughts on the Future of Global Energy today. Image courtesy of HETI.

Energy leaders across Houston provide a global perspective​

IT TAKES A VILLAGE

Just over one month ago, a major Houston drilling executive challenged the energy industry to embrace partnering to attain the sustainability goals of the energy transition. The sentiment echoed across multiple sessions held throughout Houston and broadcast virtually at today’s Future of Global Energy Conference presented by Chevron.

Read on for key statements made by leaders across the city at Day 2 of this three-part event, hosted by the Greater Houston Partnership, Houston Energy Transition Initiative (HETI), and Center for Houston’s Future.

SESSION 1: COMMUNITY ENGAGEMENT AND EQUITY

“My work over the past 20 years… has allowed me to connect with communities that live in the shadows of large industrial facilities,” says John Hall, CEO of Houston Advanced Research Center (HARC).

“If energy companies, and the rest of the business sector, and government could come together… we have the opportunity, if we work innovatively and creatively to mesh all of those resources together, through a process of deliberate and thoughtful conversations, and engagement with some of the most disadvantaged communities in this state–we have the opportunity, without having to spend extra money, but through cooperative collaboration and solution building… not only achieve corporate goals, but uplift these communities.“

SESSION 2: BUILDING A WORKFORCE FOR THE TRANSITION

“We have to educate younger people that are coming into the workforce where the jobs are, and where the where the jobs are going to be in the next 10-15 years,” declares Tim Tarpley, president of the Energy Workforce & Technology Council. “We do not have enough young people coming into the energy space to [back]fill the folks that are retiring. And that’s a big problem.”

Tarpley continues, “Younger people don’t always feel like there’s going to be opportunities in this industry going forward. That couldn’t be further from the truth. There is tremendous opportunity.”

SESSION 3: INNOVATION & TECHNOLOGY FOR THE ENERGY TRANSITION

“Being able to take technology from lab development to commercialization, crossing that barrier of risk–we have to do that as an industry and as a society,” explains Billy Bardin, Global Climate Transition Director, Dow Inc.

“Houston has a leading role to play in that, given the deployed assets, the expertise, the workforce development plans we heard about in the previous session with our academic partners. This portfolio of capabilities is ultimately required. At Dow, we talk about a decarbonizing growth strategy – where we want to decarbonize our assets but at the same time make safer, more sustainable materials that our customers need.”

------

“Partnerships are critical with earlier stage startups, but also partnerships on deployment are critical. When thinking about scaling up, and the challenges of scaling up, it’s really hard to find one company that can do it all,” says Jim Gable, President, Chevron Technology Ventures. “Every solution has to fit within the rest of the system. It’s not just one breakthrough that’s going to resolve the world’s challenges related to decarbonization or lowering our carbon footprint.”

SESSION 4: FUNDING THE ENERGY TRANSITION

“One of the vexing issues is the demand side of the equation,” posits Kassia Yanosek, Partner, McKinsey & Company. “We are in a different world today, where we have to think, ‘How do we scale new molecules?’ Green LNG, hydrogen and ammonia made from green hydrogen or blue hydrogen–we don’t have a deep market for those types of molecules. The challenge we are facing today, in addition to the supports on the supply side, is creating a market and demand for these molecules that cost more but also have a greener content.”

Ad Placement 300x100
Ad Placement 300x600

CultureMap Emails are Awesome

Houston company lands first deal from new Blackstone energy transition fund

M&A activity

Asset manager Blackstone has agreed to buy Houston-based Dresser Utility Solutions from Connecticut private equity firm First Reserve for an undisclosed amount. First Reserve has a major presence in Houston.

The deal represents the first investment from Blackstone Energy Transition Partners V.

“Blackstone’s deep resources and experience in the utility sector make them an ideal partner as we continue to invest in innovation, expand our product portfolio, and deliver value for our customers,” Dresser CEO David Evans said in a news release.

Founded in 1880, Dresser provides metering technology, digital instrumentation and software, pressure and flow controls, and infrastructure repair products for gas and water utilities and industrial customers. The company employs about 850 people worldwide.

“As demands on the energy grid continue to grow, Dresser plays a critical role as a trusted partner to utilities managing essential infrastructure. The company’s products are foundational to the safe and reliable operation of gas and water networks, and its reputation for quality has helped build longstanding customer relationships,” David Foley, global head of Blackstone Energy Transition Partners, and JP Munfa, senior managing director, said in the release.

Blackstone Energy Transition Partners has invested more than $28 billion across the energy transition sector. New York-based Blackstone closed Blackstone Energy Transition Partners Fund IV at $5.6 billion in February 2025. Blackstone Energy Transition Partners Fund III closed in 2020 for $4.4 million, according to Pitchbook.

Other notable energy transition investments from Blackstone funds include Salt Lake City-based Energy Exemplar, French electronics manufacturing company Sediver, Plano-based Westwood Professional Services and others.

Two years ago, Dresser secured a $335 million credit facility from funds managed by asset manager Blue Owl Capital. At the time, Dresser said the money would go toward capital expenses, acquisitions and corporate needs.

This is the second notable investment Blackstone has made in a Houston-based energy company in recent months. In May, Blackstone and energy heavyweight Halliburton made a $1 billion equity investment in Houston power generation startup VoltaGrid, which provides behind-the-meter mobile power generation equipment for data centers, microgrids and industrial customers.

Houston cleantech startup closes $17M round to tap into hot geothermal sector

fresh funding

Houston-area startup Hephae Energy Technology Corp. has closed a $17.8 million Series A financing round to commercialize its geothermal technology.

The round was co-led by Pennsylvania-based Susquehanna Sustainable Investments, which invests in early-stage climatech companies, and Copenhagen-based Underground Ventures, which focuses on geothermal energy startups. Alfa8, Baruch Future Ventures, Centaurus Capital LP, Elemental Impact, Exa Ventures, Future Ventures, Grantham Foundation for the Protection of the Environment, New System Ventures and True North Institute joined the round, along with existing Houston-based investor Nabors Industries. Hyphae reports in a news release that the Series A round brings the company's total capital raised to $24.7 million.

Hephae develops ultra-high-temperature downhole sensing, measurement, communications and control systems that can withstand the heat of geothermal sites, which are hotter and deeper than traditional oil and gas reservoirs. The company's Pandora210 system can operate at up to 400 degrees Fahrenheit.

Hephae reports that it plans to use the new funding to commercialize its Pandora210 tool and to launch research and development into systems that can withstand temperatures of up to 570 degrees Fahrenheit. Houston-based Fervo Energy, for instance, recently tapped its hottest geothermal well to date in western Utah, showing temperatures above 555 degrees Fahrenheit.

"Commercial deployment represents a major milestone in our mission to scalable, always-on, emission-free power globally, with a world-class team to tackle this problem," Steve Krase, CEO of Hephae Energy Technology, said in the release." This investment enables Hephae to transition from development to scale, delivering the ultra-high temperature drilling technologies needed to support the rapid growth of the geothermal industry in the US and international markets."

Hephae has been collaborating with Fervo Energy in the field. The company told the Houston Business JournalHouston Business Journal this spring that it expected its Pandora210 technology to be deployed at its Utah sites.

“Fervo is encouraged by the early progress of our collaboration with Hephae, whose novel high-temperature innovations have the potential to contribute positively to EGS economics, unlock higher-energy geothermal resources, and further cement the competitiveness of next-generation geothermal power," Elliot Howard, director of drilling and completions at Fervo, added in the release.

As the geothermal industry continues to scale, Hephae says it aims for its technology to help companies "unlock hotter, deeper resources that result in lower produced energy costs."

The Spring-based startup was founded in 2020 by CEO Steve Krase and CTO John Clegg. Krase previously launched Navigate Energy Services, which was acquired by Nabors in 2013. Clegg is also an industry veteran and has held numerous leadership positions at energy companies, including Weatherford, NOV, Schlumberger and others.