NRG Energy partners to launch Texas' largest AI-powered virtual power plant

dream team

NRG and Renew Home expect the virtual power plant program to arrive for Texas customers in spring of 2025. Photo via Getty Images

NRG Energy is partnering with a virtual power plant company to distribute hundreds of thousands of VPP-enabled smart thermostats by 2035 in an overall effort to improve the Texas grid's resiliency and help households manage and lower their energy costs.

Renew Home will create a nearly 1 gigawatt AI-powered VPP, which will be enabled by Google Cloud technology and be the largest AI-enabled VPP in Texas. NRG and Renew Home expect the VPP program to arrive for Texas customers in spring of 2025.

A 1 gigawatt VPP can deliver a capacity that is equivalent to 200,000 homes during peak demand times. NRG and Renew Home plan to offer Vivint and Nest smart thermostats, which will include professional installation at no cost to eligible customers as part of the goal to build the VPP.

The advanced thermostats can make automatic HVAC adjustments that can help customers shift their energy use to times when electricity is less expensive, and cleaner. The program will combine smart devices, energy intelligence, and AI. The companies expect to add devices like batteries and electric vehicles to the VPP.

“By partnering with industry leaders like Renew Home and Google Cloud, we are set to deliver cutting-edge, AI-driven solutions that will bolster grid resilience and contribute to a more sustainable future,” Rasesh Patel, president of NRG Consumer, says in a news release. “We are excited about the transformative impact this collaboration will have on our customers and the broader energy landscape.”

NRG will also be utilizing the multi-year technology transformation with Google Cloud. NRG will be able to better predict weather conditions, forecast wind and solar generation output, and create predictive pricing models through the use of Google Cloud's data, analytics, and AI technology.

"As we move toward a more sustainable future and face increasing energy demands, Google Cloud recognizes the importance of partnering with innovators like NRG and Renew Home to help transform the consumer energy experience with AI and the best of Google Cloud,” Michael Clark, president - North America at Google Cloud, adds. "Our collaboration will help Texas meet its growing energy demands, and also empower consumers to get more from their energy, smart home, and essential home services in the future.”

Texas reached an unprecedented demand surge of 85 gigawatts in 2023.

“As rapid population growth and weather events create new challenges for meeting demand in ERCOT, VPPs can deliver a reliable, flexible and dispatchable energy resource,” Renew Home CEO Ben Brown continues. “NRG’s commitment to creating a more resilient and sustainable energy future while also making electricity bills more affordable makes them an ideal partner for co-developing this unique VPP program. This initiative raises the bar for future-proofing our electricity infrastructure and delivering cost savings to customers.”

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Dallas-based CBRE has acquired NRG's renewable advisory group. Photo via NRG.com

Houston-based NRG Energy exits renewables group to Texas real estate company

M&A Moves

NRG Energy, headquartered in Houston, has sold its renewable advisory group to Dallas-based commercial real estate services powerhouse CBRE. Financial terms weren’t disclosed.

The advisory group, led by Miro Sutton, brokers renewable energy deals, such as community- and utility-scale transactions, and advises clients on handling tax credits for renewable energy projects. The team works primarily with Fortune 500 companies.

Sutton joined CBRE as head of renewables and energy after overseeing the NRG advisory group. The group has arranged deals involving more than 5,000 megawatts of clean power.

“CBRE targeted this specific advisory team because of their unique approach to renewable procurement and expansive coverage of renewable offerings. They have enabled hundreds of projects and thousands of [megawatts] through their innovative contract structures that reduce risk and enhance economics for their customers,” Robert Bernard, CBRE’s chief sustainability officer, told Utility Dive.

In a news release, Bernard says market demand for renewable energy continues to grow rapidly as companies seek to meet their net-zero goals and other energy-related commitments.

“However, integrating renewable energy into a company’s real estate can be a complex process,” Bernard adds. “This acquisition enables CBRE to offer a wide range of energy-related sustainability services to all our clients, both occupiers and investors, and help them simplify the complexity associated with planning, sourcing and managing renewable energy.”

Here's how Direct Energy hopes to grow its renewable energy clientbase. Photo via Getty Images

Houston company incentivizes renewable energy plans

big perk

It pays to be a responsible energy consumer.

Direct Energy will be offering two-years of Amazon Prime for its new customers. The On Us promotion is part of an ongoing partnership with Amazon since 2018, and will include a fixed-rate electricity plan or a fixed-rate electricity plan with free nights or free weekends, and will be 100 percent renewable.

The On Us electricity suite will include free electricity between 9 p.m. and 9 a.m., free power from Friday night at 6 p.m. until midnight on Sunday, and a fixed rate for 24 months. Customers who already have Amazon Prime will receive a $15 gift card. The plan incentivizes new customers to join and receive the Prime membership, which is a $139 value.

“With this newest offer, Direct Energy makes it easy and seamless for customers to find the right electricity plan for their needs, with the added savings, convenience, and entertainment with Amazon Prime—all in a single membership,” Britany Keller, marketing lead at Direct Energy, says in a news release.

“Our customers can begin enjoying Prime membership as quickly as a day after they start service on an eligible plan with Direct Energy," she continues. "We are thrilled to continue to bring our customers new ways to enjoy Amazon Prime through our suite of ‘On Us’ plans.”

Direct Energy reports that it utilizes renewable energy from green sources like wind, geothermal, hydro, and solar energy to help reduce the carbon footprint.

Originally founded in Canada, Direct Energy is a subsidiary of Houston-based NRG Energy, which has recently announced its own sustainability advancements to NRG Park.

Companies like ExxonMobil, NRG, and Shell play an important role in helping the world transition to renewable energy sources. Photo via htxenergytransition.org

3 Houston companies leading the way towards a low-carbon future

the view from heti

As the world population makes a jump towards more than 9 billion people by 2050, the race to net-zero is more important than ever. An increase in population means an increase in the demand for energy. With everything from greenhouse gases, pollution, carbon and nitrogen deposition putting a strain on planet Earth, community and business leaders are making commitments to advance the energy transition.

Companies like ExxonMobil, NRG, and Shell play an important role in helping the world transition to renewable energy sources. Here are three ways that these energy companies are working towards an energy abundant, low-carbon future.

NRG Energy

Headquarted in Houston, NRG Energy is the leading integrated power company in the U.S. In 2022, NRG introduced a new Sustainability and Resiliency Impact Study as part of Harris County’s Climate Action Plan to reduce the city’s carbon emissions by 40% by 2030. The initiative includes $34 million in park upgrades and is expected to save $54 million.

That same year, Evolve Houston, a nonprofit working to accelerate electric vehicle adoption within the Greater Houston area, launched an e-mobility microgrant initiative funded by Evolve Corporate Catalysts, General Motors and bp. With five founding members, among them being NRG Energy and Shell, the goal of the initiative is to improve regional air quality and reduce greenhouse gas emissions in the Greater Houston area.

At the top of 2023, Reliant Energy and NRG launched the Simple Solar Sell Back electricity plan for Texans aimed at providing solar panels to local homes for lower electricity bills.

Shell

On a mission to improve their own operations, Shell is addressing energy efficiency over time and capturing or offsetting unavoidable greenhouse gas emissions. Headquartered in London. Shell is on a mission to become a net-zero emissions energy business by 2050. In 2022, the British multinational company invested $6 million to create the Prairie View A&M Shell Nature-Based Solutions Research Program, funded through the company’s Projects & Technology organization dedicated to funding research to develop new technology solutions.

In March of 2022, Shell gifted the University of Houston $10 million to bolster the institution’s efforts to establish the Energy Transition Institute which focuses on the production and use of reliable, affordable and cleaner energy for all. The company also launched the residential power brand Shell Energy offering 100% renewable electricity plans.

ExxonMobil

ExxonMobil is one of the world’s largest publicly traded international oil and gas companies. In 2021, the multinational oil and gas corporation pledged to invest more than $15 million in solutions to lower greenhouse gas emissions initiatives across six years. As a part of their approach to improve air quality, ExxonMobil is working to:

Understand the composition and extent of our emissions
Meet or exceed environmental regulations
Reduce air emissions to minimize potential impacts on local communities
Monitor the science and health standards related to air quality

Throughout the years, plastics have become an essential component of products, packaging, construction, transportation, electronics and more. While plastics are durable, lightweight and cheap, they also emit 3.4% of global greenhouse gas emissions. Late last year, the major corporation announced the successful startup of one of the largest advanced recycling facilities in North America. Located in Baytown, Texas, the recycling facility uses proprietary technology to break down raw materials for new products and is expected to have nearly 1 billion pounds of annual advanced recycling capacity by the end of 2026.

According to their 2023 Advancing Climate Action Progress Report released early this year, the corporation plans to reduce greenhouse gas emissions through 2030.

From resolving power grid issues to developing renewable energy technologies, Houston energy companies are powering today to empower the future.

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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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Local energy innovators recognized at annual Houston Innovation Awards

the big winners

This week, the Houston innovation ecosystem celebrated big wins from the year, and members of the energy transition community were recognized alongside other innovators.

The Houston Innovation Awards honored over 40 finalists across categories, naming the 12 winners and honoring the two Trailblazer Legacy Awards at the event. The event, hosted at TMC Helix Park on November 14 named and celebrated the winners, which included four energy transition innovators.

Here's what energy leaders secured wins during the evening.

Corrolytics is a technology startup founded to solve microbiologically influenced corrosion problems for industrial assets. Co-founder and CEO Anwar Sadek says he's collected over $1 million in dilutive and non-dilutive funding from grants and other opportunities thanks to help from mentors. The company won both the Minority-Founded Business category and the People's Choice: Startup of the Year category.

"As a founder, I am always eager to assist and support fellow entrepreneurs, especially those navigating the unique challenges that come with being a BIPOC founder," he says. "With the guidance of mentors, I learned to master the complexities of the application process for grants and other funding opportunities. In turn, I actively share my experiences with other founders, helping them navigate similar paths."

Founded by CEO Cindy Taff, Sage Geosystems is an energy company focused on developing and deploying advanced geothermal technologies to provide reliable power and sustainable energy storage solutions regardless of geography. The company secured the win in the Energy Transition Business category, alongside finalists Amperon, ARIX Technologies, Elementium Materials, InnoVent Renewables, and Tierra Climate.

"Sage Geosystems sets itself apart from competitors with its Geopressured Geothermal Systems, which can be deployed almost anywhere, unlike traditional geothermal technologies that require specific geographic conditions," Taff says. "This flexibility enables Sage to provide a reliable and virtually limitless power supply, making it ideal for energy-intensive applications like data centers."

A finalist in both the Investor of the Year and Ecosystem Builder categories, Juliana Garaizar is the founding partner of Energy Tech Nexus, invests with groups — such as Portfolia, Houston Angel Network, Business Angel Minority Association, and more — locally and beyond.

"I'm a hands on investor," she says. "I offer mentorship and industry and other investor connections. I take advisory roles and board observer seats."

This year, the Houston innovation community suffered the loss of two business leaders who left a significant impact on the ecosystem. Both individuals' careers were recognized with Trailblazer Legacy Awards.

One of the recipients was Scott Gale, executive director of Halliburton Labs, who received the award posthumously. He died on September 24. The award was decided on by the 2024 judges and InnovationMap. Gale was honored alongside Paul Frison, founder of the Houston Technology Center.

“I am immensely proud to honor these two remarkable individuals with the Trailblazer Award this year. It is fitting, as they represent two generations of building Houston’s ecosystem," 2023 Trailblazer Award recipient Brad Burke, managing director of the Rice Alliance and the associate vice president for industry and new ventures within Rice University's Office of Innovation, tells InnovationMap.

"Paul Frison was a pioneering leader who helped establish the Houston Technology Center and fostered the city’s tech ecosystem during the initial technology boom around the year 2000. Scott Gale, through his work at Halliburton Labs over the past five years, has been instrumental in launching Houston’s energy transition ecosystem," he continues. "Both have played pivotal roles in championing technology innovators.”

In honor of his son, Andrew Gale accepted the award with his daughter-in-law, Nicole, during the event.

Pipeline robotics: How this Houston startup is revolutionizing corrosion monitoring

listen now

After working for years in the downstream energy industry where safety and efficiency were top priorities, Dianna Liu thought there was a way technology could make a huge difference.

Despite loving her company and her job, she took a leap of faith to start a robotics company to create technology to more safely and efficiently monitor corrosion in pipelines. ARIX Technologies has developed software and hardware solutions for its customers with pipelines in downstream and beyond.

"Overall, this industry is an industry that really harps on doing things safely, doing things well, and having all the data to make really informed decisions," Liu says on the Houston Innovators Podcast. "Because these are huge companies with huge problems, it takes a lot of time to set up the right systems, adopt new things, and make changes."

But it's an industry Liu knows well, so she founded ARIX in 2017 and created a team of engineers to create the first iteration of the ARIX robot, which was at first made of wood, she says. Now, years later, the much-evolved robot moves up and down the exterior of the pipe, using its technology to scan the interior to evaluate corrosion. The technology works with ARIX's software to provide key data analysis.

With customers across the country and the world, ARIX has a strong foothold in downstream, but has garnered interest from other verticals as well — even working with NASA at one point, Liu says.

"Staying in downstream would be nice and safe for us, but we've been very lucky and have had customers in midstream, upstream, and even outside oil and gas and chemicals," she says. "We've gotten inquiries ranging from cosmetics plants to water or wastewater — essentially anything that's round or a pipe that can corrode, we can help with."

Liu, who goes into detail on the show about how critical establishing a positive company culture has been for ARIX, shares a bit about what it's been like growing her company in Houston.

"Houston being the Energy Capital of the World opens a lot of doors to both customers, investors, and employees in a way that's unparalleled. It is a great place to build a company because of that — you have all this expertise in this city and the surrounding areas that's hard to find elsewhere," she says. "Being such a hub — not only for energy, but in terms transportation — means it's easy for us to get to our customers from around the world."

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This article originally ran on InnovationMap.

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