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Houston positioned to lead in Carbon Capture Utilization (CCU), study shows

The View From HETI

Jane Stricker reflects on four years at HETI. Courtesy photo

With global demand for energy production while lowering emissions continues to grow, Houston and the Gulf Coast region are uniquely positioned to lead with carbon capture, utilization and sequestration (CCUS). A new study developed by the Houston Energy Transition Initiative (HETI) in collaboration with Deloitte Consulting explores how the region can transform captured CO₂ into valuable products while supporting continued economic growth and industrial competitiveness.

Key takeaways from the report include:

Houston and the Gulf Coast are uniquely advantaged to utilize and store carbon.As a global hub for chemicals and refining industries, Houston has access to world-class infrastructure, a skilled workforce, and access to global markets. The region also has one of the nation’s highest concentrations of industrial CO2 and creates the opportunity to capture waste material streams to deliver lower carbon intensity products that continue to deliver economic benefits to the region.

While carbon capture and sequestration (CCS) projects continue to advance, CCU requires coordinated action across policy, infrastructure, technology and market demand to scale successfully. Utilization and sequestration are complementary strategies that support and protect investment deployments. CCS acts as an early foundation while markets and infrastructure evolve toward broader CO₂ utilization, and CCU is essential to developing low-carbon-intensity value chains and products.

“Our collaboration with Deloitte highlights how Houston and the Gulf Coast continue to build on the strengths that have long made our region an energy leader. Houston’s infrastructure, workforce, and industrial ecosystem uniquely position the region to scale CCU,” said Jane Stricker, Senior Vice President, Energy Transition, and Executive Director of HETI. “With supportive policy, continued innovation, and strong industry partnerships, we can accelerate CCU deployment, create new low-carbon value chains, and ensure Houston remains at the forefront of the global energy transition.”

Download the full report here.

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This article originally appeared on the Greater Houston Partnership's Houston Energy Transition Initiative blog. HETI exists to support Houston's future as an energy leader. For more information about the Houston Energy Transition Initiative, EnergyCapitalHTX's presenting sponsor, visit htxenergytransition.org.
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Jane Stricker reflects on four years at HETI. Courtesy photo

HETI leader reflects on four years focused on the energy transition

The View From HETI

It’s hard to believe only four years have passed since I joined the Greater Houston Partnership to lead the Houston Energy Transition Initiative. We talk about COVID years feeling simultaneously like just yesterday and a lifetime ago, and my time at HETI feels quite similar. The energy and climate landscape has evolved dramatically over the last few years, but one constant has endured…Houston remains at the heart of the energy industry.

When I joined HETI at the start of 2022, I could not have imagined the impact we would have over the next four years. Our vision, laid out in 2020 by then Partnership Chair Bobby Tudor, was bold – leverage Houston’s energy leadership to accelerate global solutions for an energy abundant, low-carbon future. Our mission was clear – ensure the long-term economic competitiveness of the Houston region in a changing energy landscape. Our strategy, developed with strong support from McKinsey, was sound – build a coalition of industry, academic and community partners to position Houston as a leading hub for energy and climate innovation, commercialization and economic growth.

And Houston’s energy leaders, across business, academia and community, came together to deliver that strategy. Bobby Tudor’s timely vision created an anchor for Houston’s energy community that allowed us to broaden the energy and climate discussion to one focused on meeting growing energy demand and reducing emissions. That vision was a catalyst for changing the perception of Houston from oil & gas capital to an “all of the above” energy capital with a thriving energy and climate tech innovation ecosystem. Houston is where you can work collaboratively to build new energy value chains and ensure an affordable, secure, and lower emissions energy mix for our region, our country, and the world.

In this fast-moving energy environment, it can be easy to focus on what to do next without taking time to reflect on the work and celebrate the wins. We took the opportunity at the end of 2025 to reflect on five years of impact. As we developed that report, I thought about how fortunate I have been to lead this work for the last four years. HETI’s impact has been incredibly meaningful for our region, our members, and the new companies and founders building the next generation of energy technology and talent. As my time as executive director comes to an end, HETI’s work continues. The need remains clear: more energy, less emissions, and continued collaboration that brings together innovation and infrastructure, policies and markets, and hard tech together with human ingenuity.

As I prepare to hand the reigns to HETI’s new SVP and executive cirector, Sophia Cunningham, at the end of March, I have been reflecting on the impact this role has had on me. Four years ago, I could never have imagined the opportunities, experiences and relationships this role has enabled. I am truly grateful for the support and engagement of Houston’s business and community leaders, the visionary leadership of Bobby Tudor, Scott Nyquist, HETI Members, and the Greater Houston Partnership in creating this initiative at exactly the right moment in time. I am incredibly proud of the HETI and partnership team members who have delivered with purpose and passion, and I greatly appreciate Houston’s energy and climate leaders and champions who have supported my agenda, challenged my thinking, broadened my perspectives, and worked with HETI to demonstrate the power of partnership in developing, innovating and advancing the ideas and technologies needed to meet this challenge for our region and the world.

As excited as I am to see where this next chapter takes me, I am even more excited to see where the work of HETI goes from here. I am still optimistic that the challenge of providing the world with affordable, reliable, and resilient energy while simultaneously reducing emissions is one Houston is uniquely positioned to meet.

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This article originally appeared on the Greater Houston Partnership's Houston Energy Transition Initiative blog. HETI exists to support Houston's future as an energy leader. For more information about the Houston Energy Transition Initiative, EnergyCapitalHTX's presenting sponsor, visit htxenergytransition.org.
HETI's latest progress report shows the region is delivering. Photo via Getty Images

HETI discusses Houston’s energy leadership, from pathways to progress

The View From HETI

In 2024, RMI in collaboration with Mission Possible Partnership (MPP) and the Houston Energy Transition Initiative (HETI) mapped out ambitious scenarios for the region’s decarbonization journey. The report showed that with the right investments and technologies, Houston could achieve meaningful emissions reductions while continuing to power the world. That analysis painted a picture of what could be possible by 2030 and 2050.

Today, the latest HETI progress report shows Houston is not just planning anymore — the region is delivering.

Real results, right now

The numbers tell a compelling story. Since 2017, HETI’s member companies have invested more than $95 billion in low-carbon infrastructure, technologies, and R&D. That’s not a commitment for the future—that’s capital deployed, projects built, and operations transformed.

The results showed industry-wide reductions of 20% in total Scope 1 greenhouse gas emissions and a remarkable 55% decrease in methane emissions from global operations. These aren’t projections—they’re actual reductions happening across refineries, chemical plants, and production facilities throughout the Houston region.

How Houston is leading

What makes Houston’s approach work is its practical, technology-driven focus. Companies across the energy value chain are implementing solutions that work today:

  • Electrifying operations and integrating renewable power
  • Deploying advanced methane detection and elimination technologies
  • Upgrading equipment for greater efficiency
  • Capturing and storing carbon at commercial scale
  • Developing breakthrough technologies from geothermal to advanced nuclear

Take ExxonMobil’s Permian Basin electrification, Shell and Chevron’s lower-carbon Whale project, or BP’s massive Tangguh carbon capture project in Indonesia. These aren’t pilot programs—they’re multi-billion dollar investments demonstrating that decarbonization and energy production go hand in hand.

From scenarios to strategy

The RMI analysis identified three key pathways forward: enabling operational decarbonization, accelerating low-carbon technology scale-up, and creating carbon accounting mechanisms. Houston’s energy leaders have embraced all three.

The momentum is undeniable. Companies are setting ambitious 2030 and 2050 targets with clear roadmaps. New projects are reaching final investment decisions. Innovation ecosystems are flourishing. And critically, this progress is creating jobs and driving economic growth across the region.

Why this matters

Houston isn’t just managing the energy transition—it’s proving what’s possible when you combine world-class engineering expertise, integrated infrastructure, access to capital, and a commitment to both energy security and emissions reduction.

The dual challenge of delivering more energy with less emissions isn’t theoretical in Houston—it’s operational reality. Every ton of CO₂ reduced, every efficiency gain achieved, and every technology deployed demonstrates that we can meet growing global energy demand while making measurable progress on climate goals.

The path forward

The journey from last year’s scenarios to this year’s results shows something crucial: when industry, policymakers, and communities align around practical solutions, transformation accelerates.

Houston’s energy leadership isn’t about choosing between reliable energy and environmental progress, it’s about delivering both. And based on the progress we’re seeing, the momentum is only building.

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Read the full analysis here. This article originally appeared on the Greater Houston Partnership's Houston Energy Transition Initiative blog. HETI exists to support Houston's future as an energy leader. For more information about the Houston Energy Transition Initiative, EnergyCapitalHTX's presenting sponsor, visit htxenergytransition.org.
A new report predicts that Texas will be home to 30 percent of the U.S. data center market by 2028. Photo via Chevron.com

New report predicts major data center boom in Texas by 2028

data analysis

Data centers are proving to be a massive economic force in Texas.

For instance, a new report from clean energy company Bloom Energy predicts Texas will see a 142 percent increase in its market share for data centers from 2025 to 2028. That would be the highest increase of any state.

Bloom Energy expects Texas to exceed 40 gigawatts of data-center capacity by 2028, representing a nearly 30 percent share of the U.S. market. A typical AI data center consumes 1 to 2 gigawatts of energy.

“Data center and AI factory developers can’t afford delays,” Natalie Sunderland, Bloom Energy’s chief marketing officer, said in the report. “Our analysis and survey results show that they’re moving into power‑advantaged regions where capacity can be secured faster — and increasingly designing campuses to operate independently of the grid.”

“The surge in AI demand creates a clear opportunity for states that can adapt to support large-scale AI deployments at speed,” Sunderland adds.

Further evidence of the data center explosion in Texas comes from ConstructConnect, a provider of data and software for contractors and manufacturers. ConstructConnect reported that in the 12-month span through November 2025, data-center construction starts in Texas accounted for $11 billion in spending. At $12.5 billion, only Louisiana surpassed the Texas total.

Capital expenses for U.S. data centers were expected to surpass $425 billion last year, according to ratings agency S&P Global.

ConstructConnect also reports that Texas is among five states collectively grabbing 80 percent of potential data center construction starts. Currently, Texas hosts around 400 data centers, with close to 60 of them in the Houston market.

A large pool of data-center construction spending in Texas is flowing from Google, which announced in November that it would earmark $40 billion for new AI data centers in the state.

“Texas leads in AI and tech innovation,” Gov. Greg Abbott proclaimed when the Google investment was unveiled.

Other studies and reports lay out just how much data centers are influencing economic growth in the Lone Star State:

  • A study by Texas Royalty Brokers indicates Texas leads the U.S. with 17 clusters of AI data centers. The study measured the density of AI data centers by counting the number of graphics processing units (GPUs) installed in those clusters. GPUs are specialized chips built to run AI models and perform complex calculations.
  • Citing data from construction consulting company FMI, The Wall Street Journal reported that spending on construction of data centers is expected to rise 23 percent in 2026 compared with last year. Much of that construction spending will happen in Texas. In the 12 months through November 2025, the average data center cost $597 million, according to ConstructConnect.
  • Data published in 2025 by commercial real estate services company Cushman & Wakefield shows three Texas markets — Austin, Dallas and San Antonio — boast the lowest construction costs for data centers among the 19 U.S. markets that were analyzed. The mid-range of costs in that trio of markets is roughly $10.65 million per megawatt. Houston isn’t included in the data.

Although Houston isn’t cited in the Cushman & Wakefield data, it nonetheless is playing a major role in the data-center boom. Houston-area energy giants Chevron and ExxonMobil are chasing opportunities to supply natural gas as a power source for data centers, for example.

“As Houston rapidly evolves into a hub for AI, cloud computing, and data infrastructure, the city is experiencing a surge in data-center investments driven by its unique position at the intersection of energy, technology, and innovation,” says the Greater Houston Partnership.
Here's a look back at HETI's 2025 highlights. Photo courtesy of HETI

Houston Energy Transition Initiative releases 2025 year in review

The View From HETI

The Houston Energy Transition Initiative (HETI) concludes another impactful year by reaffirming our commitment to positioning Houston as the global leader in the energy transition – delivering more energy with fewer emissions. HETI continues to be focused on advancing key regional priorities, driving economic development and talent recruitment.

It was a year of changes across the energy landscape, yet HETI continued to collaborate, convene, and deliver measurable progress. Below are some of the year’s key highlights:

Sharing Members’ Impact on Decarbonization and Emissions Reductions

HETI released a report detailing members’ low-carbon initiatives and commitments, showcasing industry momentum and long-term pathways to achieving the dual challenge of meeting growing global energy demand while reducing emissions. Major findings include more than $95 billion in low-carbon investments and 20% reduction in Scope 1 emissions since 2017 by HETI-affiliated companies. The report also recommends strategic pathways for continued emissions reductions.

Advancing CCUS at Commercial Scale

HETI publicly supported efforts to accelerate carbon capture, utilization, and storage (CCUS) efforts to commercial scale. Early in the year, HETI and the Houston CCS Alliance commissioned Texas A&M University’s Energy Institute and Mary Kay O’Connor Process Safety Center to research the operational history and safety record of CCUS in the United States. In November, the U.S. Environmental Protection Agency granted Texas authority to permit CCUS—a significant win that increases the region’s competitiveness in the global energy ecosystem.

Leadership in Resilient Power for Houston’s Growth

In June, HETI hosted its first Resilient Power: Fueling Houston’s Growing Economy summit, bringing together more than 100 business and civic leaders to discuss the role of resilient, reliable power in Houston’s economic development. Cross-sector leaders explored the impacts of rising power demand driven by industrial decarbonization and digitalization, and discussed the essential collaboration between the energy and tech sectors to strengthen long-term resilience through an “all of the above” approach. HETI also published a fact sheet on Houston’s resilient power access, affordability, and reliability as a resource for partners.

Showcasing Houston’s Leadership at CERAWeek 2025

HETI participated in CERAWeek 2025, elevating Houston’s energy leadership on the world stage. The HETI House activation in the Innovation Agora attracted more than 1,000 visitors and generated over 80 economic development leads. In addition, HETI partnered with Rice Alliance and TEX-E for the fourth annual Energy Ventures Pitch Competition at CERAWeek, bringing together students, startups and energy leaders to advance innovation and investment.

Scaling Houston’s Innovation Ecosystem

As Houston’s energy innovation ecosystem continues to grow, HETI plays an important role in shaping its future. During its second year, Houston Energy and Climate Startup Week attracted more than 3,900 attendees from local and global startups, industry leaders, and investors—further solidifying Houston’s status as the world’s leading energy innovation hub.

Strengthening Regional Competitiveness

To advance technology commercialization and support the Gulf Coast’s continued energy competitiveness, HETI hosted its second annual Gulf Coast National Labs Workshop. This year’s event convened more than 120 leaders representing six national laboratories, industry partners, academia, and government stakeholders to accelerate collaboration around the region’s greatest energy and chemical challenges.

HETI’s progress this year is significant, but the work ahead is even more critical. As we move into the new year, HETI remains steadfast in its commitment to convening industry leaders, informing policy, supporting innovation, and driving economic growth across the region. This work strengthens Houston’s core energy economy and accelerates the emerging sectors that will ensure Houston continues to lead the world in energy.

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This article originally appeared on the Greater Houston Partnership's Houston Energy Transition Initiative blog. HETI exists to support Houston's future as an energy leader. For more information about the Houston Energy Transition Initiative, EnergyCapitalHTX's presenting sponsor, visit htxenergytransition.org.

This move could help the U.S. cut emissions while staying competitive in the global energy game. Image via Getty Images

What EPA’s carbon capture and storage permitting announcement means for Texas

The View From HETI

Earlier this month, Texas was granted authority by the federal government for permitting carbon capture and storage (CCS) projects. This move could help the U.S. cut emissions while staying competitive in the global energy game.

In June, the U.S. Environmental Protection Agency (EPA) proposed approving Texas’ request for permitting authority under the Safe Drinking Water Act (SDWA) for Class VI underground injection wells for carbon capture and storage (CCS) in the state under a process called “primacy.” The State of Texas already has permitting authority for other injection wells (Classes I-V). In November, the EPA announced final approval of Texas’ primacy request.

Why This Matters for Texas

Texas is the headquarters for virtually every segment of the energy industry. According to the U.S. Energy Information Administration, Texas is the top crude oil- and natural-gas producing state in the nation. The state has more crude oil refineries and refining capacity than any other state in the nation. Texas produces more electricity than any other state, and the demand for electricity will grow with the development of data centers and artificial intelligence (AI). Simply put, Texas is the backbone of the nation’s energy security and competitiveness. For the nation’s economic competitiveness, it is important that Texas continue to produce more energy with less emissions. CCS is widely regarded as necessary to continue to lower the emissions intensity of the U.S. industrial sector for critical products including power generation, refining, chemicals, steel, cement and other products that our country and world demand.

The Greater Houston Partnership’s Houston Energy Transition Initiative (HETI) has supported efforts to bring CCUS to a broader commercial scale since the initiative’s inception.

“Texas is uniquely positioned to deploy CCUS at scale, with world-class geology, a skilled workforce, and strong infrastructure. We applaud the EPA for granting Texas the authority to permit wells for CCUS, which we believe will result in safe and efficient permitting while advancing technologies that strengthen Texas’ leadership in the global energy market,” said Jane Stricker, Executive Director of HETI and Senior Vice President, Energy Transition at the Greater Houston Partnership.

What is Primacy, and Why is it Important?

Primacy grants permitting authority for Class VI wells for CCS to the Texas Railroad Commission instead of the EPA. Texas is required to follow the same strict standards the EPA uses. The EPA has reviewed Texas’ application and determined it meets those requirements.

Research suggests that Texas has strong geological formations for CO2 storage, a world-class, highly skilled workforce, and robust infrastructure primed for the deployment of CCS. However, federal permitting delays are stalling billions of dollars of private sector investment. There are currently 257 applications under review, nearly one-quarter of which are located in Texas, with some applications surpassing the EPA’s target review period of 24 months. This creates uncertainty for developers and investors and keeps thousands of potential jobs out of reach. By transferring permitting to the state, Texas will apply local resources to issue Class VI permits across the states in a timely manner.

Texas joins North Dakota, Wyoming, Louisiana, West Virginia and Arizona with the authority for regulating Class VI wells.

Is CCS safe?

A 2025 study by Texas A&M University reviewed operational history and academic literature on CCS in the United States. The study analyzed common concerns related to CCS efficacy and safety and found that CCS reduces pollutants including carbon dioxide, particulate matter, sulfur oxides and nitrogen oxides. The research found that the risks of CCS present a low probability of impacting human life and can be effectively managed through existing state and federal regulations and technical monitoring and safety protocols.

What’s Next?

The final rule granting Texas’ primacy will become effective 30 days after publication in the Federal Register. Once in effect, the Texas Railroad Commission will be responsible for permitting wells for carbon capture, use and storage and enforcing their safe operation.

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This article originally ran on the Greater Houston Partnership's Houston Energy Transition Initiative blog. HETI exists to support Houston's future as an energy leader. For more information about the Houston Energy Transition Initiative, EnergyCapitalHTX's presenting sponsor, visit htxenergytransition.org.

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Solidec secures pre-seed funding from Houston VC firm

fresh funding

Houston-based Flathead Forge Fund 1 has invested in Houston startup Solidec, which specializes in modular onsite chemical manufacturing.

The investment was part of Solidec’s recent round of more than $2 million in pre-seed funding. The amount of Flathead Forge’s investment wasn’t disclosed.

“Flathead Forge brings exactly the kind of domain-specific capital and operational network that a company at our stage needs. Their focus on water and critical minerals makes this a genuinely strategic relationship,” Ryan DuChanois, co-founder and CEO of Solidec, said in a news release.

Other investors in the round included New Climate Ventures, Collaborative Fund, Echo River Capital, Ecosphere Ventures, Plug and Play Ventures, Safar Partners and Semilla Climate Capital.

Solidec produces industrial chemicals, including hydrogen peroxide, formic acid and acetic acid, using only air, water and electricity. Its modular reactors eliminate the need for energy-intensive production and long-haul distribution.

“Solidec’s platform cuts cost, emissions, and supply-chain fragility at the source,” Douglas Lee, managing director of Flathead Forge, added in the statement.

DuChanois said in an email that the company plans to use the funding to "scale (its) modular chemical manufacturing platform."

Solidec recently announced a pilot project with Lynas Rare Earths, the world’s only commercial producer of separated light and heavy rare earth oxides outside China, for production of hydrogen peroxide for a Lynas facility in Australia.

Solidec, a member of Greentown Labs Houston, spun out of associate professor Haotian Wang’s lab at Rice University in 2024. Wang focuses on developing new materials and technology for energy and environmental uses, such as energy storage and green synthesis.

Greentown Labs names new COO, appoints new Head of Houston

new leaders

Greentown Labs has reshuffled its leadership, elevating Houston leaders into new roles.

Lawson Gow was named COO of the Houston- and Boston-based climatech incubator in February 2026. In his new role, he will focus on optimizing Greentown's structure, building new internal and external systems and developing a plan for growth.

Gow was named Head of Houston in July. He previously founded The Cannon, a coworking space with eight locations in the Houston area, with additional partner spaces. He also recently served as managing partner at Houston-based investment and advisory firm Helium Capital. Gow is the son of David Gow, founder of Energy Capital's parent company, Gow Media.

Kelsey Kearns, who previously served as Director of Community Strategy at Greentown, was named as Gow's replacement in the Houston-focused role. As the new Head of Houston, she will lead daily operations, work to connect the city's climate and innovation ecosystem and founders, strengthen partnerships and accelerate solutions.

"I'm honored and grateful to step into this new role," Kearns said in an email. "My goal is for Greentown to thrive so our founders can thrive! That means supporting their connection to the capital, pilots, and customers they need to grow while building partnerships across Houston's innovation ecosystem. I want Greentown Houston to become the playbook for every future Greentown expansion."

Before joining Greentown Houston, Kearns served as director of business development at Howdy.com, an Austin-based technology staffing company.

"Kelsey is such a perfect fit to lead Greentown Houston," Gow added in an email. "She's deeply passionate about the entrepreneurial community here and has worked throughout and across the ecosystem for years. She's built an awesome dream team here and has helped reinvigorate Greentown's presence and role in Houston's innovation economy."

Earlier this year, Greentown also named Julia Travaglini as the Head of its Boston incubator. Travaglini has held multiple leadership roles at Greentown since 2016. The organization named Georgina Campbell Flatter as its new CEO in early 2025.

Texas sees 5th highest surge in gas prices in the U.S. since 2025

Pay at the Pump

Residents all around Texas are seeing soaring prices for regular and diesel fuel in 2026.

In fact, the Lone Star State has seen the fifth-highest percentage increase in gas prices in the country from April 2025 to April 2026, a just-released SmartAsset study has found. The current cost of a regular gallon of gas is 36.1 percent higher now than it was a year ago, and diesel is 60.9 percent more expensive.

The report, "Gas Prices Hit Records in 2026: State by State Breakdown," compared average gas prices from AAA from April 1, 2025 and April 1, 2026 and calculated the one-year change across all 50 states. The study looked at the price of a gallon of regular, premium, and diesel.

According to AAA, the cost of a regular gallon of gas in Texas at the start of April was $3.77, while premium is $4.62 per gallon. Diesel ticked over $5 a gallon — ouch — at $5.11.

Houston gas prices aren't much cheaper than the statewide average. A gallon of regular costs up to $3.76 at some Houston-area pumps, and diesel is $5.05 per gallon. AAA says the highest recorded average price for gas in the city was in June 2022, when a gallon of regular cost $4.68 and diesel cost $5.24.

Though Texas' gas prices are continuing to climb, it ranks 35th in the national ranking of states with the highest cost for regular gas as of April 2026. Texas' diesel prices are the 14th highest nationwide.

With the national average price for gas at $4.06, SmartAsset said the sudden surge in prices can be attributed to the United States' war on Iran, and "subsequent pressure on the Strait of Hormuz."

"Many states have experienced a 33 percent year-over-year increase in the cost of a gallon of regular gas – and in some places it’s even higher," the report's author wrote. "Commercial and public programs may be feeling similarly pinched, with diesel prices upwards of $6.00 per gallon in many states."

California currently has the highest average price for regular and diesel — $5.89 per gallon and $7.52 per gallon, respectively.

Arizona leads the nation with the highest one-year increase in gas prices. Regular gas in the Grand Canyon State is nearly 38 percent more expensive than it was last year, at $4.70 per gallon, and diesel is about 69 percent higher at $6.04 for a gallon.

The state with the cheapest gas prices in April is Oklahoma, where regular costs $3.27 per gallon, premium is $3.97, and diesel is $4.49.

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This article originally appeared on CultureMap.com.

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