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Woodlands company licenses free patents to ERCOT to boost grid reliability

grid deal

The Woodlands-based Lancium has licensed patents to ERCOT that help increase or decrease power consumption during peak periods or emergencies. Photo courtesy of ERCOT

Lancium, a company based in The Woodlands that specializes in infrastructure for connecting large-scale data centers to power grids, is licensing a portfolio of patents to the Electric Reliability Council of Texas (ERCOT) at no cost.

In a news release, Lancium says the intellectual property agreement “ensures ERCOT can sublicense these patents freely, thereby expanding market participation opportunities without risk of patent infringement disputes.”

“This agreement exemplifies Lancium’s dedication to supporting grid stability and innovation across the ERCOT region,” Michael McNamara, CEO of Lancium, said in a news release. “While these patents represent significant technological advancements, we believe that enabling ERCOT and its market participants to operate freely is more valuable for the long-term reliability and resilience of the Texas grid.”

The licensed patents encompass Lancium technologies that support load resources in ERCOT’s market, which covers about 90 percent of Texas. Specifically, the patents deal with controllable load resources. A controlled load resource allows ERCOT and other grids to increase or decrease power consumption during peak periods or emergencies.

ERCOT predicts power demand in Texas will nearly double by 2030, “in part due to more requests to plug into the grid from large users like data centers, crypto mining facilities, hydrogen production plants, and oil and gas companies,” The Texas Tribune reported.

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CenterPoint Energy aims to complete its suite of grid resiliency projects before the 2025 hurricane season. Photo via centerpointenergy.com

CenterPoint reports progress on grid improvements ahead of 2025 hurricane season

grid resilience

As part of an ongoing process to make Houston better prepared for climate disasters, CenterPoint Energy announced its latest progress update on the second phase of the Greater Houston Resiliency Initiative (GHRI).

CenterPoint reported that it has completed 70 percent of its resiliency work and all GHRI-related actions are expected to be complete before the official start of the 2025 hurricane season.

"Our entire CenterPoint Houston Electric team is focused on completing this historic suite of grid resiliency actions before the start of hurricane season,” Darin Carroll, Senior Vice President of CenterPoint's Electric Business, said in a news release. “That is our goal, and we will achieve it. To date, we have made significant progress as part of this historic effort.”

CenterPoint’s resiliency solutions include clearing higher-risk vegetation across thousands of miles of power lines, adding thousands more automation devices capable of self-healing, installing thousands of storm-resistant poles, and undergrounding hundreds of miles of power lines.

CenterPoint's GHRI efforts, which entered a second phase in September 2024, aim to improve overall grid resiliency and reliability and are estimated to reduce outages for customers by more than 125 million minutes annually, according to the company. It has undergrounded nearly 350 miles of power lines, about 85 percent of the way toward its target of 400 miles, which will help improve resiliency and reduce the risk of outages. CenterPoint also aims to install the first of 100 new local weather monitoring stations by June 1.

In March, CenterPoint cleared 655 miles of high-risk vegetation near power lines, installed 1,215 automated reliability devices capable of self-healing, and added an additional 3,300 storm-resilient poles.

In April, CenterPoint will begin building a network of 100 new weather monitoring stations, which will provide 24/7 weather monitoring and storm response preparation.

“We will continue to work every day to complete these critical improvements as part of our company's goal of building the most resilient coastal grid in the country,” Carroll added in the release.

CenterPoint has partnered with Atlanta-based Osmose and Australia-based Neara to use AI-powered predictive modeling to inform decisions on restorations and risk. Photo via Getty Images

CenterPoint partners with AI and infrastructure companies to boost reliability

power partnership

Houston utilities giant CenterPoint is partnering with companies from Atlanta and Australia to use AI to increase data accuracy and strengthen the power grid.

The partnership is part of a collaboration between AI-powered predictive modeling platform company Neara and utility infrastructure asset assessment solutions company Osmose, according to a news release.

Last year, CenterPoint Energy announced an agreement with Neara for engineering-grade simulations and analytics and to deploy Neara’s AI capabilities across CenterPoint’s Greater Houston service area. Now, Neaera will work with Osmose to give energy providers like CenterPoint more up-to-date data to inform decisions on restorations and risks.

CenterPoint Energy is already using the partnership's tools to improve network reliability and enhance its storm preparedness.

"At CenterPoint Energy, we are focused every day on building the most resilient coastal grid in the nation and increasing the resiliency of the communities we are privileged to serve," Eric Easton, VP of Grid Transformation at CenterPoint Energy, said in a news release.

According to Osmose, its services to CenterPoint can result in repair cost savings of up to 70 percent and boost restoration times by up to 80 percent. Osmose also said its services assist with being 25 percent better at ensuring the most critical repairs happen first.

"By integrating Neara's AI-driven modeling with our industry-leading field services, we're giving utilities a powerful tool to make smarter, more data-driven decisions," Mike Adams, CEO of Osmose, said in a news release. "Accurate asset data is the foundation for a resilient grid, and this partnership provides the precision needed to maximize reliability and performance."

Ultimately, the companies say the partnership aims to help minimize disruptions and improve reliability for CenterPoint customers.

"As we work to leverage technology to deliver better outcomes for our customers, we're continuing to enhance our advanced modeling capabilities, which includes collaborating with cutting-edge technology providers like Neara and Osmose,” Easton added in the release.

Despite its high energy production, Texas has had more outages than any other state over the past five years due to the increasing frequency and severity of extreme weather events and rapidly growing demand. Photo via Getty Images

Untapped potential: The role of residential energy management in Texas

Guest Column

Texas stands out among other states when it comes to energy production.

Even after mass rolling blackouts during Winter Storm Uri in 2021, the Lone Star State produced more electricity than any other state in 2022. However, it also exemplifies how challenging it can be to ensure grid reliability. The following summer, the state’s grid manager, the Electrical Reliability Council of Texas (ERCOT), experienced ten occasions of record-breaking demand.

Despite its high energy production, Texas has had more outages than any other state over the past five years due to the increasing frequency and severity of extreme weather events and rapidly growing demand, as the outages caused by Hurricane Beryl demonstrated.

A bigger storm is brewing

Electric demand is poised to increase exponentially over the next few years. Grid planners nationwide are doubling their five-year load forecast. Texas predicts it will need to provide nearly double the amount of power within six years. These projections anticipate increasing demand from buildings, transportation, manufacturing, data centers, AI and electrification, underscoring the daunting challenges utilities face in maintaining grid reliability and managing rising demand.

However, Texas can accelerate its journey to becoming a grid reliability success story by taking two impactful steps. First, it could do more to encourage the adoption of distributed energy resources (DERs) like residential solar and battery storage to better balance the prodigious amounts of remote grid-scale renewables that have been deployed over the past decade. More DERs mean more local energy resources that can support the grid, especially local distribution circuits that are prone to storm-related outages. Second, by combining DERs with modern demand-side management programs and technology, utilities can access and leverage these additional resources to help them manage peak demand in real time and avoid blackout scenarios.

Near-term strategies and long-term priorities

Increasing electrical capacity with utility-scale renewable energy and storage projects and making necessary electrical infrastructure updates are critical to meet projected demand. However, these projects are complex, resource-intensive and take years to complete. The need for robust demand-side management is more urgent than ever.

Texas needs rapidly deployable solutions now. That’s where demand-side management comes in. This strategy enables grid operators to keep the lights on by lowering peak demand rather than burning more fossil fuels to meet it or, worse, shutting everything off.

Demand response, a demand-side management program, is vital in balancing the grid by lowering electricity demand through load control devices to ensure grid stability. Programs typically involve residential energy consumers volunteering to let the grid operator reduce their energy consumption at a planned time or when the grid is under peak load, typically in exchange for a credit on their energy bill. ERCOT, for example, implements demand response and rate structure programs to reduce strain on the grid and plans to increase these strategies in the future, especially during the months when extreme weather events are more likely and demand is highest.

The primary solution for meeting peak demand and preventing blackouts is for the utility to turn on expensive, highly polluting, gas-powered “peaker” plants. Unfortunately, there’s a push to add more of these plants to the grid in anticipation of increasing demand. Instead of desperately burning fossil fuels, we should get more out of our existing infrastructure through demand-side management.

Optimizing existing infrastructure

The effectiveness of demand response programs depends in part on energy customers' participation. Despite the financial incentive, customers may be reluctant to participate because they don’t want to relinquish control over their AC. Grid operators also need timely energy usage data from responsive load control technology to plan and react to demand fluctuations. Traditional load control switches don’t provide these benefits.

However, intelligent residential load management technology like smart panels can modernize demand response programs and maximize their effectiveness with real-time data and unprecedented responsiveness. They can encourage customer participation with a less intrusive approach – unlocking the ability for the customer to choose from multiple appliances to enroll. They can also provide notifications for upcoming demand response events, allowing the customer to plan for the event or even opt-out by appliance. In addition to their demand response benefits, smart panels empower homeowners to optimize their home energy and unlock extended runtime for home batteries during a blackout.

Utilities and government should also encourage the adoption of distributed energy resources like rooftop solar and home batteries. These resources can be combined with residential load management technology to drastically increase the effectiveness of demand response programs, granting utilities more grid-stabilizing resources to prevent blackouts.

Solar and storage play a key role

During the ten demand records in the summer of 2023, batteries discharging in the evening helped avoid blackouts, while solar and wind generation covered more than a third of ERCOT's daytime load demand, preventing power price spikes.

Rooftop solar panels generate electricity that can be stored in battery backup systems, providing reliable energy during outages or peak demand. Smart panels extend the runtime of these batteries through automated energy optimization, ensuring critical loads are prioritized and managed efficiently.

Load management technology, like smart panels, enhances the effectiveness of DERs. In rolling blackouts, homeowners with battery storage can rely on smart panels to manage energy use, keeping essential appliances operational and extending stored energy usability. Smart panels allow utilities to effectively manage peak demand, enabling load flexibility and preventing grid overburdening. These technologies and an effective demand response strategy can help Texans optimize the existing energy capacity and infrastructure.

A more resilient energy future

Texas can turn its energy challenges into opportunities by embracing advanced energy management technologies and robust demand-side strategies. Smart panels and distributed energy resources like solar and battery storage offer a promising path to a resilient and efficient grid. As Texans navigate increasing electricity demands and extreme weather events, these innovations provide hope for a future where reliable energy is accessible to all, ensuring grid stability and enhancing the quality of life across the state.

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Kelly Warner is the CEO of Lumin, a responsive energy management solutions company.

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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.

Houston energy expert: How the U.S. can turn carbon into growth

Guets Column

For the past 40 years, climate policy has often felt like two steps forward, one step back. Regulations shift with politics, incentives get diluted, and long-term aspirations like net-zero by 2050 seem increasingly out of reach. Yet greenhouse gases continue to rise, and the challenges they pose are not going away.

This matters because the costs are real. Extreme weather is already straining U.S. power grids, damaging homes, and disrupting supply chains. Communities are spending more on recovery while businesses face rising risks to operations and assets. So, how can the U.S. prepare and respond?

The Baker Institute Center for Energy Studies (CES) points to two complementary strategies. First, invest in large-scale public adaptation to protect communities and infrastructure. Second, reframe carbon as a resource, not just a waste stream to be reduced.

Why Focusing on Emissions Alone Falls Short

Peter Hartley argues that decades of global efforts to curb emissions have done little to slow the rise of CO₂. International cooperation is difficult, the costs are felt immediately, and the technologies needed are often expensive. Emissions reduction has been the central policy tool for decades, and it has been neither sufficient nor effective.

One practical response is adaptation, which means preparing for climate impacts we can’t avoid. Some of these measures are private, taken by households or businesses to reduce their own risks, such as farmers shifting crop types, property owners installing fire-resistant materials, or families improving insulation. Others are public goods that require policy action. These include building stronger levees and flood defenses, reinforcing power grids, upgrading water systems, revising building codes, and planning for wildfire risks. Such efforts protect people today while reducing long-term costs, and they work regardless of the source of extreme weather. Adaptation also does not depend on global consensus; each country, state, or city can act in its own interest. Many of these measures even deliver benefits beyond weather resilience, such as stronger infrastructure and improved security against broader threats.

McKinsey research reinforces this logic. Without a rapid scale-up of climate adaptation, the U.S. will face serious socioeconomic risks. These include damage to infrastructure and property from storms, floods, and heat waves, as well as greater stress on vulnerable populations and disrupted supply chains.

Making Carbon Work for Us

While adaptation addresses immediate risks, Ken Medlock points to a longer-term opportunity: turning carbon into value.

Carbon can serve as a building block for advanced materials in construction, transportation, power transmission, and agriculture. Biochar to improve soils, carbon composites for stronger and lighter products, and next-generation fuels are all examples. As Ken points out, carbon-to-value strategies can extend into construction and infrastructure. Beyond creating new markets, carbon conversion could deliver lighter and more resilient materials, helping the U.S. build infrastructure that is stronger, longer-lasting, and better able to withstand climate stress.

A carbon-to-value economy can help the U.S. strengthen its manufacturing base and position itself as a global supplier of advanced materials.

These solutions are not yet economic at scale, but smart policies can change that. Expanding the 45Q tax credit to cover carbon use in materials, funding research at DOE labs and universities, and supporting early markets would help create the conditions for growth.

Conclusion

Instead of choosing between “doing nothing” and “net zero at any cost,” we need a third approach that invests in both climate resilience and carbon conversion.

Public adaptation strengthens and improves the infrastructure we rely on every day, including levees, power grids, water systems, and building standards that protect communities from climate shocks. Carbon-to-value strategies can complement these efforts by creating lighter, more resilient carbon-based infrastructure.

CES suggests this combination is a pragmatic way forward. As Peter emphasizes, adaptation works because it is in each nation’s self-interest. And as Ken reminds us, “The U.S. has a comparative advantage in carbon. Leveraging it to its fullest extent puts the U.S. in a position of strength now and well into the future.”

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Scott Nyquist is a senior advisor at McKinsey & Company and vice chairman, Houston Energy Transition Initiative of the Greater Houston Partnership. The views expressed herein are Nyquist's own and not those of McKinsey & Company or of the Greater Houston Partnership. This article originally appeared on LinkedIn.

UH launches new series on AI’s impact on the energy sector

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The University of Houston's Energy Transition Institute has launched a new Energy in Action Seminar Series that will feature talks focused on the intersection of the energy industry and digitization trends, such as AI.

The first event in the series took place earlier this month, featuring Raiford Smith, global market lead for power & energy for Google Cloud, who presented "AI, Energy, and Data Centers." The talk discussed the benefits of widespread AI adoption for growth in traditional and low-carbon energy resources.

Future events include:

“Through this timely and informative seminar series, ETI will bring together energy professionals, researchers, students, and anyone working in or around digital innovation in energy," Debalina Sengupta, chief operating officer of ETI, said in a news release. "We encourage industry members and students to register now and reap the benefits of participating in both the seminar and the reception, which presents a fantastic opportunity to stay ahead of industry developments and build a strong network in the Greater Houston energy ecosystem.”

The series is slated to continue throughout 2026. Each presentation is followed by a one-hour networking reception. Register for the next event here.

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