The Texas Climate Tech Collective issued its 2023 report tracking Houston's progress as a climatetech hub. Photo via Getty Images

Three Houston energy tech innovators sought to quantify Houston's growth as an energy tech ecosystem, and, after 200 survey respondents and dozens of interviews, they've created six calls to action for the city.

Taylor Chapman, Gabe Malek, and Deanna Zhang created the Texas Climate Tech Collective to issue the Houston's Climate Tech Ecosystem 2023 report. The trio revealed some of its key takeaways at Greentown Houston's Climatetech Summit last month.

"We wanted to understand how the city has evolved," Malek, who's also chief of staff at Fervo Energy, said at the event. "We went into this project with a shared belief that Houston has unique characteristics that set it apart from the other cities thinking about climate, and if we could really lean into those characteristics, develop them, and amplify them, we could help grow the ecosystem in Houston and build climate solutions ... to accelerate the energy transition."

The full report, which is available online, highlighted six key takeaways paired with six action items.

1. "Houston has a perception problem."

Houston is known as a leader in the energy industry, which positions it well in a lot of ways, but in other ways, as Zhang points out, Houston might be being left out.

"People in this community like to talk about energy because we are the energy capital of the world, so we use a lot of energy-centric terms," she says, using "energy transition" as an example. "We don't use the word climate enough."

It might just be semantics, but it could be a reason the city isn't as regarded as a climatetech leader.

"If other ecosystems are using 'climate' and 'climatetech,' we need to be using these terms," she continues. "It's like SEO but for the ecosystem."

2. "Houston needs more risk capital, especially at the earlier stages." 

Money is a huge factor, which comes as no surprise. While the city has a lot of corporations and private equity here, as Zhang explains, there seems to be room for improvement for early-stage resources.

"If you're a founder raising pre-seed, seed, or even series A, often times you have to go outside of Houston to meet those investors," she says.

According to the report, about half of survey respondents chose "access to venture capital" as one of the biggest challenges facing the ecosystem.

3. "Houston’s startup scene has improved radically."

The report found that 80 percent of responders agreed to the statement: “the ecosystem has improved dramatically over the last 5 years.” Meanwhile, 75 percent of respondents agreed that “Houston is more innovative than outsiders perceive it to be."

So what's holding the city back? According to the collective, "Shameless self-promotion of ecosystem accomplishments."

"We need to be shouting from the rooftops what is happening in this city. It's really a PR game," Zhang says.

4. "Houston’s energy resources and infrastructure have massive potential to create change, but are underutilized by the climate ecosystem."

The collective and survey respondents acknowledge that Houston has a lot of infrastructure already in place, but the call to action is for coordination of these resources.

"Greentown, Ion, Halliburton Labs, HETI — the list goes on and on, but people don't know where to start," Chapman says.

The report says the city's resources are "woefully undertapped" and "29 percent of respondents highlighted partnerships, coordination of existing assets, and Houston’s own future investments in infrastructure as potential accelerants to growth."

5. "Houston’s strong workforce and human capital are one of its greatest strengths – and it should be investing in transitioning that workforce to new opportunities."

Cultivating the workforce for the energy transition needs to be a major priority, according to the collective. The city has a talented workforce for engineering, technical, and project management talent.

"How do we reach and transition this workforce?" Chapman asks. "It's a huge opportunity and critical for Houston to ensure that its economic development continues to grow."

6. "Houston knows how to build...but needs to put expertise that towards climate innovation."

Houston as a major, sprawling city needs to continue to become "greener" in every way. While Chapman praises the city has done with its Climate Action Plan, Houston still lags other major cities like Los Angeles and New York in this way, per the report. Fourteen percent of respondents cited better climate-friendly infrastructure as a priority issue.

Chapman urged the audience to get involved locally to move the needle on more green initiatives for the city.

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Houston energy startup names former Cheniere execs to C-suite

new leaders

Houston-based energy infrastructure startup Joulent has brought aboard a new chief financial officer and new chief operating officer—both former executives at Houston-based Cheniere Energy.

The C-suite moves come three months after Joulent raised $1.75 billion from National Grid Ventures.

Michael Wortley joins Joulent as co-president and CFO. Wortley most recently was executive vice president and CFO at Cheniere, an LNG producer and exporter.

In conjunction with Wortley’s hiring, Brian Boland, who was Joulent’s interim CFO, has been named executive vice president, chief investment officer, and head of strategy.

Corey Grindal comes to Joulent as co-president and COO. Grindal most recently was executive vice president and COO at Cheniere.

“As Joulent evolves to meet the growing demand for power infrastructure, our expanded leadership team will help ensure we continue delivering the execution certainty our customers, partners, and investors expect,” Chris James, Joulent’s founder and CEO, said in a press release.

“Corey and Michael are accomplished operators with exceptional records of building and leading world-class energy infrastructure businesses, where they have embedded a culture defined by operational excellence and disciplined execution,” James added.

Joulet builds dedicated power-generating facilities that feed directly into data centers and other power-dependent facilities. This eliminates the need for companies to draw power from grids.

“With an initial multi-gigawatt development portfolio and strategic partnerships across the energy, infrastructure, and data center ecosystem, Joulent is helping remove power constraints to enable the next chapter of American innovation and U.S. reindustrialization,” the company says.

The $1.75 billion minority investment from National Grid Ventures complements Joulent’s existing partnerships.

Joulent, founded in 2023, emerged from stealth mode this summer. The company was founded by investment firm Engine No. 1.

Joulent’s first project, the Project Kilby natural gas facility in West Texas, will be co-located with a Microsoft data center. It’ll deliver about 2.67 gigawatts of power under a 20-year deal between Microsoft and Energy Forge One, a 50/50 joint venture between Chevron and Joulent.

Lithium refiner expands into Houston with new Energy Corridor office

new to hou

Battery-grade lithium carbonate manufacturer Stardust Power has expanded into Houston’s Energy Corridor, the company tells Energy Capital.

The company’s new office will serve as a project execution hub to support operations and planning for the company’s forthcoming lithium refinery in Muskogee, Oklahoma, according to a news release. The Greenwich, Connecticut-based, publicly traded company says the facility will be one of the largest lithium refining operations in the United States. The refinery is expected to have production capacity of up to 50,000 metric tons per year and seeks to address the critical shortage of U.S. lithium refining capacity.

Battery-grade lithium carbonate is commonly used in electric vehicle batteries and energy storage systems.

The company says it chose Houston as the location for its new execution hub for its rich history of expertise in engineering, a robust energy infrastructure ecosystem, and access to a leading talent pool for engineering, procurement and construction professionals. The Houston project hub will work closely with the company’s existing office in Oklahoma City.

“The Houston office strengthens our operational footprint at a critical phase of development,” Chris Celano, COO of Stardust Power, said in the release. “By building out a dedicated project management hub in one of the most experienced energy markets in the world, we are positioning the Company for execution as we advance the Muskogee refinery.”

Currently, the Houston office plans to accommodate a workforce of about 20 people with the possibility to add staff upon reaching project milestones, according to a representative from the company.

“This expansion reflects our commitment to deliver domestic, battery-grade lithium that supports U.S. energy security and industrial growth,” Celano added in the release.

In August, Stardust Power secured an offtake agreement to supply up to 20,000 metric tons of battery-grade lithium carbonate by 2030 from the Muskogee, Oklahoma, refinery to New York-based battery technology company Charge CCCV. Stardust reports that the deal adds to a separate non-binding agreement for up to 25,000 metric tons annually for 10 years with an undisclosed global trading company.

European cleantech company breaks ground on Houston manufacturing site

coming soon

Spanish renewable energy company Power Electronics broke ground on its new 53-acre Houston campus on Sept.24.

The new site is expected to create over 400 local jobs and deliver 40 gigawatts of production capacity per year. The company said in a news release that the campus is expected to be the largest manufacturing site for power conversion systems in the U.S. Power Electronics specializes in solar, energy storage, data centers and electrification technologies.

A completion date and operational start date have not yet been announced.

“For the first time in many years, the United States will be able to meet its growing need for sustainable power generation capacity and energy resilience through local manufacturing, supported by the most advanced technology in the world,” David Salvo, CEO of Power Electronics, said in the news release. “Our [40-gigawatt] Houston Campus will help shape the future of energy and AI growth globally."

Once operational, the manufacturing site will feature two buildings of approximately 150,000 square feet and 700,000 square feet. They will house production, logistics, R&D, corporate offices, training and electronic manufacturing departments.

The company says the Houston campus will be its most automated inverter production site by using advanced technologies in production to streamline day-to-day processes. Inverters convert direct current (DC) electricity that is generated by solar panels and batteries to alternating current (AC) electricity used by electrical grids.

Power Electronics' global headquarters is in Valencia, Spain, with U.S. operations in Houston, Tampa, and Gilbert, Arizona. Its North American headquarters is located at its existing North Houston office on East Airtex Drive. Community Impact News reports that the new manufacturing site is located in the Cy-Fair/Jersey Village area.

Power Electronics shared on LinkedIn that the new Houston campus represents its commitment to its American business and will allow it to serve the market with "greater scale, proximity and local expertise." It currently has more than 116 gigawatts installed in the U.S. and is working toward a global goal of 105 gigawatts of annual global production capacity.