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Expert examines how far Texas has come in energy efficiency

Guest Column

Texas continues to lead the nation in clean energy adoption and grid modernization. Photo by Moritz Lange on Unsplash

Texas leads the nation in energy production, providing about one-fourth of the country’s domestically produced primary energy. It is also the largest energy-consuming state, accounting for about one-seventh of the nation’s total energy use, and ranks sixth among the states in per capita energy consumption.

However, because Texas produces significantly more energy than it consumes, it stands as the nation’s largest net energy supplier. October marked National Energy Awareness Month, so this is an ideal time to reflect on how far Texas has come in improving energy efficiency.

Progress in Clean Energy and Grid Resilience

Texas continues to lead the nation in clean energy adoption and grid modernization, particularly in wind and solar power. With over 39,000 MW of wind capacity, Texas ranks first in the country in wind-powered electricity generation, now supplying more than 10% of the state’s total electricity.

This growth was significantly driven by the Renewable Portfolio Standard (RPS), which requires utility companies to produce new renewable energy in proportion to their market share. Initially, the RPS aimed to generate 10,000 MW of renewable energy capacity by 2025. Thanks to aggressive capacity building, this ambitious target was reached much earlier than anticipated.

Solar energy is also expanding rapidly, with Texas reaching 16 GW of solar capacity as of April 2024. The state has invested heavily in large-scale solar farms and supportive policies, contributing to a cleaner energy mix.

Texas is working to integrate both wind and solar to create a more resilient and cost-effective grid. Efforts to strengthen the grid also include regulatory changes, winterization mandates, and the deployment of renewable storage solutions.

While progress is evident, experts stress the need for continued improvements to ensure grid reliability during extreme weather events, when we can’t rely on the necessities for these types of energy sources to thrive. To put it simply, the sun doesn’t always shine, and the wind doesn’t always blow.

Federal Funding Boosts Energy Efficiency

In 2024, Texas received $22.4 million, the largest share of a $66 million federal award, from the U.S. Department of Energy’s Energy Efficiency Revolving Loan Fund Capitalization Grant Program.

The goal of this funding is to channel federal dollars into local communities to support energy-efficiency projects through state-based loans and grants. According to the DOE, these funds can be used by local businesses, homeowners, and public institutions for energy audits, upgrades, and retrofits that reduce energy consumption.

The award will help establish a new Texas-based revolving loan fund modeled after the state’s existing LoanSTAR program, which already supports cost-effective energy retrofits for public facilities and municipalities. According to the Texas Comptroller, as of 2023, the LoanSTAR program had awarded more than 337 loans totaling over $600 million.

In addition to expanding the revolving loan model, the state plans to use a portion of the DOE funds to offer free energy audit services to the public. The grant program is currently under development.

Building on this momentum, in early 2025, Texas secured an additional $689 million in federal funding to implement the Home Energy Performance-Based, Whole House (HOMES) rebate program and the Home Electrification and Application Rebate (HEAR) program.

This investment is more than five times the state’s usual energy efficiency spending. Texas’s eight private Transmission and Distribution Utilities typically spend about $110 million annually on such measures. The state will have multiple years to roll out both the revolving loan and rebate programs.

However, valuable federal tax incentives for energy-efficient home improvements are set to expire on December 31, 2025, including:

  • The Energy Efficiency Home Improvement Credit allows homeowners to claim up to $3,200 per year in federal income tax credits, covering 30% of the cost of eligible upgrades, such as insulation, windows, doors, and high-efficiency heating and cooling systems.
  • The Residential Clean Energy Credit provides a 30% income tax credit for the installation of qualifying clean energy systems, including rooftop solar panels, wind turbines, geothermal heat pumps, and battery storage systems.

As these incentives wind down, the urgency grows for Texas to build on the positive gains from the past several years despite reduced federal funding. The state has already made remarkable strides in clean energy production, grid modernization, and energy-efficiency investments, but the path forward requires a strategic and inclusive approach to energy planning. Through ongoing state-federal collaboration, community-driven initiatives, and forward-looking policy reforms, Texas can continue its progress, ensuring that future energy challenges are met with sustainable and resilient solutions.

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Sam Luna is director at BKV Energy, where he oversees brand and go-to-market strategy, customer experience, marketing execution, and more.

To remain the world leader in energy, Houston must ensure that every household has access to affordable and dependable power. Photo via Getty Images

Energy expert on Houston's advantage: Building affordability and reliability for all

Guest Column

As the energy capital of the world, Houston has been at the forefront of innovation, powering industries and communities for generations. Many Houston families, however, are facing a reality that undermines our leadership: high energy bills and ongoing concerns about grid reliability.

Affordability and reliability are not just technical issues; they’re equity issues. To remain the world leader in energy, we must ensure that every household has access to affordable and dependable power.

Affordability: The First Step Toward Equity

According to the recent 2025 study by The Texas Energy Poverty Research Institute, nearly 80% of low- to moderate-income Houstonians scaled back on basic needs to cover electric bills. Rising costs mean some Houstonians are forced to choose between paying their utility bill or paying for groceries.

Additionally, Houston now has the highest poverty rate among America’s most populous cities. Energy should not be a privilege for only half of our city’s population. That’s why affordability needs to be at the center of Houston’s energy conversation.

Several practical solutions exist to help address this inequity:

  • We can increase transparency in electricity pricing and help families better understand their electricity facts labels to make smarter choices.
  • We can expand energy efficiency programs, like weatherizing homes and apartments, swapping out old light bulbs for LEDs, and adopting smart thermostats.
  • Incentives to help families invest in these changes can deliver long-term benefits for both them and apartment complex owners.

Many small changes, when combined, can add up to significant savings for families while reducing overall demand on the grid.

Reliability: A Shared Community Priority

The memories of Hurricane Beryl, Derecho, and Winter Storm Uri are still fresh in the minds of Texans. We saw firsthand the fragility of our grid and how devastating outages are to families, especially those without resources to handle extreme weather. Reliability of the grid is an issue of public health, economic stability, and community safety.

Houston has an opportunity to lead by embracing innovation. Grid modernization, from deploying microgrids to expanding battery storage, can provide stability when the system is under stress. Partnerships between utilities, businesses, and community organizations are key to building resilience. With Houston’s innovation ecosystem, we can pilot solutions here that other regions will look to replicate.

Energy Equity in Action

Reliable, affordable energy strengthens equity in tangible ways. When households spend less on utilities, they have more to invest in their children’s education or save for the future. When power is stable, schools remain open, businesses continue to operate, and communities thrive. Extending energy efficiency programs across all neighborhoods creates a fairer, more balanced system, breaking down inequities tied to income and geography.

Studies show that expanding urban green spaces such as community gardens and tree-planting programs can lower neighborhood temperatures, reduce energy use for cooling, and improve air quality in disadvantaged areas, directly reducing household utility burdens.

In Houston, for example, the median energy burden for low-income households is 7.1% of income, more than twice that of the general population, with over 20% of households having energy burdens above 6%.

Research also demonstrates that community solar programs and urban cooling investments deliver clean, affordable power, helping to mitigate heat stress and making them high-impact strategies for energy equity and climate resilience in vulnerable neighborhoods.

Public-Private Partnerships Make the Difference

The solutions to affordability and reliability challenges must come from cross-sector collaboration. For example, CenterPoint Energy offers incentives through its Residential and Hard-to-Reach Programs, which support contractors and community agencies in delivering energy efficiency upgrades, including weatherization, to low-income households in the greater Houston area.

Nonprofits like the Houston Advanced Research Center (HARC) received a $1.9 million Department of Energy grant to lead a weatherization program tailored for underserved communities in Harris County, helping to lower bills and improve housing safety

Meanwhile, the City of Houston’s Green Office Challenge and Better Buildings Initiative bring private-sector sponsors, nonprofits, and city leadership together to drive energy reductions across millions of square feet of commercial buildings, backed by training and financial incentives. Together, these partnerships can result in real impact that brings more equity and access to affordable energy.

BKV Energy is committed to being part of the solution by promoting practical, consumer-focused strategies that help families save money and use energy more efficiently. We offer a suite of programs designed to provide customers with financial benefits and alleviate the burden of rising electricity bills. Programs like BKV Energy’s demonstrate how utilities can ease financial strain for families while building stronger customer loyalty and trust. Expanding similar initiatives across Houston would not only lower household energy burdens but also set a new standard for how energy companies can invest directly in their communities.

By proactively addressing affordability, energy companies can help ensure that rising costs don’t disproportionately impact vulnerable households. These efforts also contribute to a more resilient and equitable energy future for Houston, where all residents can access reliable power without sacrificing financial stability.

Houston as a Blueprint

Houston has always been a city of leadership and innovation, whether pioneering the space race, driving advancements in medical research at the Texas Medical Center, or anchoring the global energy industry. Today, our challenge is just as urgent: affordability and reliability must become the cornerstones of our energy future. Houston has the expertise and the collaborative spirit to show how it can be done.

By scaling innovative solutions, Houston can make energy more equitable, strengthening our own community while setting a blueprint for the nation. As the energy capital of the world, it is both our responsibility and our opportunity to lead the way to a more equitable future for all.

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Sam Luna is director at BKV Energy, where he oversees brand and go-to-market strategy, customer experience, marketing execution, and more.

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Houston-based NRG announces new CEO and succession plan

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Houston-based NRG Energy Inc. announced Jan. 7 that it has appointed Robert J. Gaudette as president and CEO. Gaudette took over as president effective Jan. 7 and will assume the role of CEO April 30, coinciding with the company's next stockholder meeting.

Gaudette, who previously served as executive vice president and president of NRG Business and Wholesale Operations, will succeed Lawrence Coben in the leadership roles. Coben will remain an advisor to NRG through the end of the year and will also continue to serve as board chair until April 30. Antonio Carrillo, lead independent director at NRG, will take over as board chair.

"Rob has played a central role in strengthening NRG’s position as a leader in our industry through strategic growth, operational excellence, and customer-focused innovation," Coben said in the news release. "He is a strong, decisive leader with extensive knowledge of our business, markets, and customers. The Board and I are confident that Rob is the right person to lead NRG forward and take the NRG rocket ship to new heights. I can’t wait to see what comes next.”

Gaudette has been with NRG since 2001. He has served as EVP of NRG Business and Market Operations since 2022 and president of NRG Business and Market Operations since 2024. In these roles, he led NRG’s power generation and oversaw its portfolio of commercial and industrial products and services as well as its market operations, according to the company.

He has held various executive leadership roles at NRG. He earned his bachelor's degree in chemistry from The College of William and Mary and an MBA at Rice University, where he was a Jones Scholar. He also served four years as an Army officer.

“It is an honor to be appointed NRG’s next CEO at this transformative time for the energy sector and our company,” Gaudette said in the release. “With NRG’s electricity, natural gas and smart home portfolio, we are ideally positioned to meet America’s evolving energy needs. I am grateful to Larry and all my NRG colleagues, both past and present, who built our great company and positioned us for the future. I look forward to leading our incredible team to deliver affordable, resilient power for the customers and communities we serve, while creating substantial value for our shareholders.”

In addition to its traditional power generation and electricity businesses, NRG has been working to develop a 1-gigawatt virtual power plant by connecting thousands of decentralized energy sources by 2035 in an effort to meet Texas’ surging energy demands.

The company announced partnerships last year with two California-based companies to bolster home battery use and grow its network. NRG has said the VPP could provide energy to 200,000 homes during peak demand.

10+ must-attend Houston energy events happening in Q1 2026

Mark Your Calendar

Editor's note: With the new year comes a new slate of must-attend events for those in the Houston energy sector. We've rounded up a host of events to put on your calendar for Q1, including some that you can attend this month. Plus, other premier annual events will return in February and March 2026 and are currently offering early-bird, discounted registration. Book now.

Jan. 7-8 — AAPG Subsurface Energy to Power Workshop

This two-day AAPG workshop explores the expanding role of natural gas, geothermal, hydrogen, lithium, and uranium in accelerating electricity capacity. Participants will examine innovative solutions designed to reduce reliance on long-distance transmission lines, pipelines, and other costly infrastructure. Throughout the workshop, attendees will gain insight into both the technical deployment of subsurface resources and the land, legal, and permitting factors that influence project development.

This event begins Jan. 7 at Norris Conference Center at CityCentre. Register here.

Jan. 19-22 — PPIM 2026

The 38th international Pipeline Pigging & Integrity Management Conference and Exhibition takes place over four days at the George R. Brown Convention Center and the Hilton Americas. This industry forum is devoted exclusively to pigging for pipeline maintenance and inspection, engineering assessment, repair, risk management, and NDE. Two days of courses will take place Jan. 19-20, followed by the conference on Jan. 21-22, and the exhibition running Jan. 20-22. Register here.

Jan. 22 — MicroSeismic - Romancing Energy Forum

This forum will feature raw, unfiltered stories from the pioneers who changed the trajectory of American Shale. Attendees will gain insights into the playbooks, decisions, data, and lessons learned behind the biggest discoveries and engineering triumphs in modern energy. Keynote speakers include Tom and Diane Gates of Gates Ranch.

This event begins at 8 am on Jan. 22 at Norris Conference Center at CityCentre. Register here.

Jan. 22 — Houston Downton Luncheon: Beyond the Barrel: Pricing, Transition, and Geopolitics in 2026

Women's Energy Network Houston Chapter hosts this January lunch and learn featuring guest speaker Ha Nguyen with S&P Global Energy. Nguyen will discuss the global energy outlook for 2026, with a focus on strategic drivers, such as decarbonization and EV adoption, and a look at Houston's crucial role in the future of the U.S. market.

This event begins at 11:30 am on Jan. 22 at The Houston Club. Register here.

Feb. 18-20 — NAPE Summit Week 2026

NAPE is the energy industry’s marketplace for the buying, selling, and trading of prospects and producing properties. NAPE brings together all industry disciplines and companies of all sizes, and in 2026 it will introduce three new hubs — offshore, data centers, and critical minerals — for more insights, access, and networking opportunities. The event includes a summit, exhibition, and more.

This event begins Feb. 18 at George R. Brown Convention Center. Register here.

Feb. 24-26 — 2026 Energy HPC & AI Conference

The 2026 Energy HPC & AI Conference marks the 19th year for the Ken Kennedy Institute to convene experts from the energy industry, academia, and national labs to share breakthroughs for HPC and AI technologies. The conference returns to Houston with engaging speaker sessions, a technical talk program, networking receptions, add-on workshops, and more.

This event begins Feb. 24 at Rice University's BRC. Register here.

Feb. 26 — February Transition on Tap

Mix and mingle at Greentown Labs' first Transition on Tap event of the year. Meet the accelerator's newest startup members, who are working on innovations ranging from methane capture to emissions-free manufacturing processes to carbon management.

This event begins at 5:30 pm on Feb. 26 at Greentown Labs Houston. Register here.

March 2-4 — The Future Energy Summit

The Future Energy Summit is a premier global event bringing together visionaries, industry leaders, and energy experts to shape the future of energy. The second edition of the conference will provide a platform for groundbreaking discussions, cutting-edge technologies, and transformative strategies that will accelerate the energy transition.

This event begins March 2. Register here.

March 10-12 — World Hydrogen & Carbon Americas

S&P Global Energy brings together two leading events — Carbon Management Americas and World Hydrogen North America — to form a new must-attend event for those in the hydrogen and carbon industries. More than 800 senior leaders from across the energy value chain will attend this event featuring immersive roundtable discussions, hands-on training, real-world case studies, and unparalleled networking opportunities.

This event begins March 10 at Marriott Marquis Houston. Register here.

March 23-27 — CERAWeek 2026

CERAWeek 2026 will focus on "Convergence and Competition: Energy, Technology and Geopolitics." The industry's foremost thought leaders will convene in Houston to cultivate relationships and exchange transformative ideas during the annual event. Through the lens of 16 dynamic themes, CERAWeek 2026 will explore breakthroughs, cross-industry connections, and powerful partnerships that are accelerating the transformation of the global energy system.

This event begins March 23. Register here.

Japanese company launches solar module manufacturing at Houston-area plant

solar plant

A local subsidiary of a Japanese solar equipment manufacturer recently began producing solar modules at a new plant in Humble.

TOYO Co. Ltd.’s TOYO Solar LLC subsidiary can produce 1 gigawatt worth of solar modules per year at a 567,140-square-foot plant it leases in Lovett Industrial’s Nexus North Logistics Park on Greens Road. TOYO Solar’s next phase will accommodate 2.5 gigawatts’ worth of solar module manufacturing. The subsidiary eventually plans to expand manufacturing capacity to 6.5 gigawatts.

For now, TOYO Solar operates only one assembly line at the Humble plant. Once TOYO Solar has five assembly lines up and running, it could employ as many as 750 manufacturing workers there, according to Connect CRE.

TOYO says the plant enlarges its U.S. footprint “to be closer to the majority of its clients, meet the demand for American-made solar panels, and contribute to the growing demand for secure, sustainable energy solutions as demands on the grid continue to rise.”

Last month, TOYO purchased the remaining 24.99 percent stake in TOYO Solar to make it a wholly owned subsidiary. TOYO entered the Houston-area market through its 2024 acquisition of a majority stake in Solar Plus Technology Texas LLC.

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