The grant will support power substation upgrades in the Houston area. Photo via Getty Images

A $50 million federal grant will help Houston-based CenterPoint Energy strengthen Houston’s power grid.

The U.S. Department of Energy (DOE) grant will support power substation upgrades in the Houston area.

“Our mission is to build the most resilient coastal grid in the nation for the 2.9 million customers we proudly serve in the greater Houston area … [The grant] will directly fund industry-leading technology improvements that are expected to strengthen resiliency, reliability, and meet the growing energy needs of our region,” Jason Ryan, CenterPoint Energy’s executive vice president for regulatory services and government affairs, said in a release.

CenterPoint says the project will make it one of the first U.S. utilities to install Siemens Energy’s grid-stabilizing technology.

The project will create more than 500 construction and installation jobs, CenterPoint says.

“Generations of CenterPoint customers and families in the region will benefit from the advanced technology this grant is funding,” said Kathleen Jackson, a member of the Public Utility Commission of Texas. “And any time companies make improvements like this to their systems, the long-term impact is making the entire grid stronger for Texans.”

The $176.7 million substation project is part of CenterPoint’s Greater Houston Resiliency Initiative, which launched in 2024.

So far, the initiative has:

  • Installed nearly 82,400 storm-resilient poles and equipment
  • Trimmed and cleared more than 13,700 miles of trees and vegetation near power lines
  • Added nearly 820 grid automation and intelligence devices
  • Put more than 880 miles of power lines underground

The initiative kicked off three years after Winter Storm Uri. CenterPoint received harsh criticism for what customers complained was the utility’s slow response to the 2021 storm. Uri caused a massive power outage and at least 246 deaths across Texas.

CenterPoint blamed the Electric Reliability Council of Texas (ERCOT), which operates the power grid for most Texans, for not supplying the utility with enough electricity during and after the storm.

Meta's data center in Temple, Texas. Rendering courtesy Meta

Texas Gov. Abbott broadens crackdown on data centers by halting all permits

data center crackdown

Responding to public outcry, Gov. Greg Abbott has stepped up his campaign against data centers by temporarily halting approval of environmental permits for data center projects.

This and previous moves by Abbott essentially amount to a temporary freeze on the development of new data centers in Texas. His actions come at a time when Texas’ stature as a data center hub has been soaring.

On Monday, Abbott directed the Texas Commission on Environmental Quality to stop issuing permits for data center developments until the Electric Reliability Council of Texas (ERCOT) and Public Utility Commission of Texas complete their review of projects seeking power grid connections.

With regulatory reviews underway and environmental permitting now frozen, state regulators currently cannot approve or deny requests from data center developers, Abbott said.

In a letter to the environmental quality commission’s executive director, Kelly Keel, Abbott said this directive is “consistent with my whole-of-government approach to ensure Texans’ natural resources and way of life are protected.”

Abbott previously ordered the Texas Water Development Board to require data centers to meet reporting requirements for water use. He also told the board to impose penalties for failure to comply with those requirements and to collaborate with ERCOT on its review.

Abbott launched his crackdown on data centers in August by ordering the Public Utility Commission and ERCOT to review data center projects in Texas. The audits will examine all data centers in the queue for interconnections before any more projects can move forward. Interconnections enable data centers to share power, data and computing resources.

In calling for those audits, Abbott cited concerns over data centers’ use of water and electricity, and the centers’ effect on infrastructure expenses and consumers’ utility rates.

“Simply put, Texans must come first,” the governor said.

During next year’s legislation session, Abbott will push for the elimination of state financial incentives for data center projects.

Ed Hirs, an energy fellow ⁠at the University of Houston, told Reuters that Abbott was backtracking on “his earlier pronouncements about data centers leading to lower electricity prices.”

Abbott’s actions come amid growing public backlash over data centers. A recent University of Houston survey found that nearly 63 percent of Houston-area residents opposed construction of a data center within a mile of their home.

The revelation comes on the heels of a chaotic wildfire season that has continued through the summer. Photo by Spencer Platt/Getty Images

Only 8 of 160 utility companies in Texas have filed wildfire response plans

Utility News

Only eight of 160 utility companies that operate in fire-prone areas of Texas have complied with a law that helps mitigate wildfires, lawmakers recently learned. The revelation comes on the heels of a chaotic wildfire season that has continued through the summer.

Lawmakers learned about the slow progress last week during a House State Affairs committee hearing, led by Rep. Ken King, who led the charge on the new law last year. The law under House Bill 145 requires utility companies to file wildfire mitigation plans to the Public Utility Commission.

The plans must include emergency protocols in the case of a wildfire, utility operating plans during high-risk weather conditions, management of grass, shrubs and other vegetation in areas that are at risk of wildfires, inspection of poles and other electric equipment and identified areas of wildfire risks within a utility’s service territory.

King, a Republican from Canadian where much of the wildfire damage occurred during the Panhandle wildfires, pressed utility companies on the lack of compliance.

“I’m very, very disappointed with the industry,” King said. “I think it’s imperative for anybody that has not filed that report to realize January is coming. You will file that wildfire mitigation plan, and if you’re dragging your feet, there’s no excuse good enough for me.”

Last year, King filed a slew of bills in response to the devastating Smokehouse Creek wildfires in the Texas Panhandle and parts of Oklahoma in 2024. It was the largest wildfire in Texas history, started when a decayed power pole owned by Xcel Energy snapped and landed in dry grass.

It was one of a spate of fires, the majority of which were linked to electrical ignitions.

This year alone has been a very active wildfire season. Nim Kidd, chief for the Texas Division of Emergency Management, said the state has helped local governments respond to more than 1,200 fires since the start of the year. The Ross Fire, which burned for more than three weeks in North Texas, was finally contained by firefighters last week. It’s now the second largest wildfire in the region’s history.

Two wildfires have broken out on Craig Cowden’s Panhandle ranch this year, both ignited by electrical equipment used by oil and gas companies. Cowden extinguished them, before they could spread beyond 5 acres — a fraction of the 20,000 acres he lost to wildfires in 2024.

Cowden was one of many ranchers who worked with lawmakers last year to address the problem. Over the years, several fires have started on Cowden’s land, most of which were the result of faulty or damaged electrical equipment.

“It’s kind of discouraging that there hasn’t been more proactively submitting their wildfire plan,” Cowden said.

Slow progress

There has been progress since the bill was filed. According to King, six fires have been linked to electrical issues this year, a significant decrease from 80 in 2024.

Connie Corona, director at the PUC, explained the lag in filings to lawmakers, stating that on top of the eight who have submitted, four more have given the PUC a date for when they intend to file their plans. Corona said another 135 have indicated to the PUC they are in the process of preparing their plan. This leaves 13 who have not communicated their plans to the PUC.

“We’ve asked for a heads-up notice of when the utility plans to file, and try to ensure that meets with the resources we have available,” Corona told lawmakers.

Corona said PUC staff had created a model wildfire mitigation plan that utility companies can use as a template. The model is intended to support smaller utility companies that lack sufficient resources to make their own plan. King asked Corona for a list of entities who complied with the requirement.

“When eight out of 160 have complied, and we’re sitting here in September, that doesn’t sound like a very good response to me,” King said.

A looming deadline

Brad Baldridge, interim president of Southwestern Public Service Company, which operates as Xcel Energy, told lawmakers what his company is doing to mitigate wildfires. The company was heavily criticized in the wake of the fires and has since deployed 97 wildfire detection cameras across its service territory. The cameras use AI to detect smoke and provide that information in real-time to utility personnel, local fire responders and emergency managers. It also uses Public Safety Power Shutoffs to turn off power in certain areas during critical wildfire conditions to prevent an electrical start. Baldridge said since 2024, the company has had to shut off power five times.

When King asked if the company had submitted its wildfire mitigation plans, Baldridge said it was submitted last month. It would have been submitted earlier, he said, but there was “tremendous” vegetation that grew from rain earlier in the year.

“All of our experts were focusing on wildfire mitigation,” Baldridge said. “Which delayed us a little bit in our filing.”

Mark Bell, CEO for the Association of Electric Companies of Texas, said they are using remote cameras and sensors to detect wildfires and are taking a more aggressive approach to manage vegetation. They also use power shutoffs in extreme conditions to minimize the risk. Bell testified that their utility companies were on track to file their wildfire mitigation plans.

“I think all the plans are going to be filed by the end of the year,” Bell said.

King reminded Bell that it’s September, and many haven’t filed yet.

“That’d be 148 (plans) approved before January,” King said.

Bell assured King that five of them have filed their plans and one is scheduled to file in October.

Corona, with the PUC, said there are also pole and maintenance plans due in January that will detail a complete inventory of those assets owned by utilities. King said the plan is to have the companies list everything they own in Texas, where it is and how old it is. However, he said they aren’t being compliant and lawmakers will see what happens in January.

Cowden, the rancher in the Panhandle, told the Tribune that while it’s not technically fire season anymore, there are still small fires that ignite around the area.

Cowden sees the amount of work being done by Xcel Energy to upgrade their electrical poles and infrastructure in the area. He said it’s different than before the wildfires in 2024. He thinks the fires got their attention.

“You can tell they’re making a conscious effort to try to upgrade their infrastructure,” Cowden said.

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This story was originally published by The Texas Tribune and distributed through a partnership with The Associated Press.

Texas is poised to become the world’s largest data center market. Photo courtesy Google

Texas Gov. Abbott seeks data center crackdown as state grapples with growing power demand

growing pains

Just seven months ago, Gov. Greg Abbott trumpeted Google’s $40 billion plan to add three data center campuses in Texas. Now, amid growing public outcry over such projects, Abbott is pushing for a regulatory crackdown on data centers in the Lone Star State.

Abbott recently sent a letter to leaders of the Public Utility Commission of Texas (PUC) and the Electric Reliability Council of Texas (ERCOT) proposing stricter oversight of the state’s data centers. Texas is home to more than 400 data centers, with many more on the way, and is poised to become the world’s largest data center market.

Among other things, Abbott wants to:

  • Ensure residential electric bills go down — not up — as data centers connect to ERCOT’s grid, which supplies power for about 90 percent of Texans.
  • Require data centers to cover the costs of upgrades to deliver electricity to the power-hungry facilities.
  • Repeal sales tax exemptions and other “outdated or unnecessary” financial incentives for data centers.
  • Institute “best practices,” such as property setbacks and noise-reduction technology, to ease the impact of data centers on nearby residents.
  • Demand that all new data centers, which use a tremendous amount of water, be built with water-efficient technology.
  • Require large data centers to generate annual reports on their use of electricity and water.

Abbott has set a July 17 deadline for the PUC and ERCOT to address his recommendations.

“As Texas continues to welcome innovation and investment, we must ensure that growth strengthens our people and their quality of life without placing undue burdens on Texans and local communities,” Abbott wrote.

Abbott’s call for tighter control of data centers has elicited both praise and skepticism.

In a social media post on X, Texas House Speaker Dustin Burrows, a Lubbock Republican, thanked Abbott for seeking “accountability and reform” in the state’s data center industry. Burrows has made data centers one of his priority issues for the 2027 state legislative session.

State oil and gas regulator Wayne Christian, a member of the Texas Railroad Commission, weighed in with similarly positive comments about Abbott’s directive. He says an outright ban on data centers isn’t the answer to residents’ complaints about new facilities.

“The Texas way is not to answer innovation with government overreach or fear-driven bans,” Christian, whose agency wasn’t cited in Abbott’s letter, said in a statement posted on X. “Our job is to protect prosperity, safeguard taxpayers and ensure the infrastructure that powers our economy remains strong and reliable.”

Gina Hinojosa, an Austin Democrat who’s challenging Abbott in this November’s gubernatorial race, took issue with the governor’s edict on data centers.

“Greg Abbott is changing his tune on data centers because he knows his policies are unpopular,” Hinojosa, a state representative, wrote on X. “Nobody believes the arsonist is gonna be the one to put out the fire.”

Abbott’s call for stepped-up regulation of data centers echoes many of the concerns expressed by the state chapter of the Sierra Club, an environmental nonprofit.

“The growth of data centers reflects a broader transformation taking place across Texas,” the Sierra Club says on its website. “The state is becoming a hub for the technologies that will shape the future economy, from artificial intelligence to advanced computing and cloud services. At the same time, Texans deserve transparency about how these projects affect the communities where they are built.”

Residents in Montgomery, Liberty and Hardin counties can expect to see power grid improvements in the coming years. Photo via Getty Images

Texas awards $73M for Houston-area grid resilience project

grid funding

Texas Gov. Gregg Abbott announced millions in funding for energy resilience projects around this state this week, with one major project set to impact the greater Houston area.

As part of the Texas Energy Fund's Outside of ERCOT Grant Program, the state announced a roughly $73 million agreement with the Sam Houston Electric Cooperative to replace and upgrade more than 9,000 electric poles and improve other equipment in Montgomery, Liberty and Hardin counties. The agreement is the first for the fund's Outside of ERCOT Grant Program, which supports state projects outside of the state's largest grid.

The multibillion-dollar Texas Energy Fund aims to "finance the construction, maintenance, and modernization of electric facilities across Texas." It was approved by voters in 2023. Other programs within the fund include the:

  • In-ERCOT Generation Loan Program
  • Completion Bonus Grant Program
  • Texas Backup Power Package Program

“The Texas Energy Fund delivers real results for Texans and strengthens the electric systems that families, businesses, and communities depend on,” Abbott said in a news release. “This grant to Sam Houston Electric Cooperative will replace thousands of vulnerable utility poles to better withstand severe weather and ensure a more reliable and resilient grid in East Texas.”

The Houston-area project, nicknamed Steel Anchor, is expected to be completed by June 2031. According to the release from the governor's office, the Sam Houston Electric Cooperative’s territory is one of the most hurricane-prone service areas in the state. The cooperative serves more than 38,000 Texas consumers

“Over the past decade, Sam Houston EC has strategically replaced poles to improve the strength of its electricity distribution system. This grant will boost the Cooperative’s ongoing grid-hardening and resiliency program,” Doug Turk, CEO of the Sam Houston Electric Cooperative, added in the release.

Following the announcement of the Sam Houston funding, Abbott's office also awarded another $200 million from the Outside of ERCOT Grant Program to upgrade approximately 700 miles of power equipment in Northeast Texas. The equipment is operated by Southwestern Electric Power Company, which serves more than 192,000 Texas consumers. The project will include improvements to 200 circuits, replacing aging copper wire with aluminum alloy conductors and replacing existing utility poles.

Additionally, the state announced its seventh Texas Energy Fund loan agreement for a 570 megawatt natural gas power plant in Sherman, Texas. The 20-year loan of up to $411 million is between the Public Utility Commission of Texas and Rayburn Electric Cooperative and is part of the fund's In-ERCOT Generation Loan Program. Rayburn will build the facility near its existing Rayburn Energy Station 1 in the Texoma region. It will connect to the ERCOT North Load Zone.

“When Texas voters overwhelmingly approved the Texas Energy Fund, they gave us a mandate to secure new, reliable power generation for Texas,” PUCT Chairman Thomas Gleeson added in a release. “The TxEF is delivering on that promise, and Rayburn Electric Cooperative’s new 570 MW power plant is proof. We are ensuring Texas families and businesses have power they can depend on for years to come.”

A new report shows that Texas data centers used 25 billion gallons of water in 2025. Photo via HARC report.

Texas data center boom could strain water supply, new report warns

thirst for data

As data centers continue to boom throughout Texas, a new report from the Houston Advanced Research Center (HARC) warns that the trend could strain the state’s water supply.

HARC estimates Texas data centers used 25 billion gallons of water in 2025—and that the demand for water will continue to rise to meet the needs of the 464 data centers currently in Texas, as well as 70 additional sites currently under development.

In the report, titled “Thirsty Data and the Lone Star State: The Impact of Data Center Growth on Texas’ Water Supply,” The Woodlands-based nonprofit says that water use for cooling data centers is expected to double or triple by 2028 on the national level. If projections hold, the total annual water use for data centers in Texas will increase by 0.5 percent to 2.7 percent by 2030, or to between 29 billion and 161 billion gallons of water consumed.

Data centers often use water for cooling, though water demand is dependent on the type of cooling used, the size and type of the data center. Although used water can be reused, some new water withdrawals are always needed to replace evaporated water and other systems’ water losses. Water is also used to cool the power plants that generate electricity used by the data centers.

The HARC report offers guidance to address the overall concerns of water demands by data centers, including:

  • Dry cooling methods
  • Increased reliance on wind and solar energy sources
  • Alternative water supplies, like treated wastewater or brackish water for cooling
  • Adjusted operating schedules to accommodate water usage
  • Partnering with local companies to develop projects that reduce water leaks
  • Companies creating their own water infrastructure investments

The report goes on to explain that the Texas State Water Plan, produced by the Texas Water Development Board, projects shortages of 1.6 trillion gallons by 2030 and 2.3 trillion gallons by 2070. HARC posits that the recent surge in water demand from AI data centers is not fully reflected in those projections.

"Texas water plans always look backward, not forward," the report reads. "That means the 2027 water plan, which is in development now, will be based on 2026 regional water plans that do not include forecasted data center water use. Data centers that began operation in 2025 will not be added to the State Water Plan until 2032."

Currently, there are no state regulations that require data centers to report how much water they use. However, the Public Utility Commission of Texas (PUC) plans to survey operators of data centers and cryptocurrency mining facilities on their water consumption, cooling methods and electricity sources this spring. It is expected to release the results by the end of the year. The companies will have six weeks to respond. The Texas Water Development Board will assist the PUCT on the questions.

“I think we all recognize the importance of data centers and the technology they support and what they give to our modern-day life,” PUC Commissioner Courtney Hjaltman said during the last commission meeting. “Texans, regulators and the legislature really need that understanding of data centers, really need to understand the water they’re using so that we can plan and create the Texas we want.”

See the full HARC report here.
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Houston solar manufacturer expands facility, production capacity

houston expansion

Solar tracking and manufacturing company PV Hardware USA is increasing its production capacity and expanding its Houston facility in an effort to meet growing demands.

The move marks the company's third expansion in the Houston area in three years. PV Hardware reports a 400 percent surge in national market growth over the past three years, as solar-based projects have been pivotal in energy resilience efforts.

PV Hardware plans to increase the capacity at its Houston facility by 42 percent, according to a news release. With the additional capacity, PV Hardware expects a 35 percent increase in production of pre-assembled parts. The company has not announced whether any additional employees will be hired or the costs of expansion.

In September, the company completed its new dedicated pre-assembly facility, which will help migrate difficult assembly into an easier manufacturing setting. The new pre-assembly area will also assist with streamlined field installation, enhanced schedule predictability and reduction of manual labor.

Citybiz reports that the expansion totals approximately 34,200 square feet.

PV Hardware USA aims to make solar installation more efficient. For large-scale solar projects, PV Hardware USA’s pre-assembly process helps to relieve assembly work done by installation teams. According to PV Hardware USA, it reduces the number of on-site components by 70 percent.

“Traditionally, manufacturers pushed the assembly burden onto the jobsite,” Rodolfo Bitar, vice president of business development for PVH USA, told Renewable Energy Magazine. “We ask a different question: what work can be done more efficiently before the equipment ever leaves the factory? By managing the assembly of 188 loose parts per row in our controlled manufacturing environment, we remove field complexity and make installation highly predictable.”

PV Hardware USA produces single-axis solar trackers made in Texas and has supplied over 52 gigawatts of solar trackers worldwide.

“The expanded presence in Texas underscores a long-term commitment: bringing world-class solar expertise to local American manufacturing, supporting communities, and serving as a reliable partner through the clean energy transition,” the company said in the release.

In July of 2025, the company opened its 95,000-square-foot facility, which was the second Houston location following its initial $30 million U.S. manufacturing facility, which, at 50,000 square feet, is one of America's largest solar tracker manufacturing facilities.

Gulf of Mexico marine life dramatically declined after BP spill, study says

Gulf Life

In a deep, dark part of the Gulf of Mexico, the number of marine animals plummeted by about 60% in the years following the 2010 Deepwater Horizon explosion, a new study found.

In a crucial part of the Gulf between the light surface and the darkest depths, where the BP-operated well failed and dumped 134 million gallons of oil, the number of fish found dropped by 63.5% from the year after the spill to 2015. Crustaceans, including shrimp and krill, a key food for whales, went down 62%, and larger animals like squid and octopuses fell 59.7%, according to a study published Monday in the journal PNAS.

And those populations haven't come close to recovering, the study found.

Researchers focused on the ocean's “twilight zone,” a vast area above the seafloor, where much of the surface marine life, including dolphins and whales, feast on creatures. Yet little is known about this gigantic ecosystem, and this region of the Gulf had not been studied before the 2010 spill, said study lead author Tracey Sutton, a biological oceanographer at Nova Southeastern University.

A 2011 post-spill exploration cited in the research, which used six sets of nets at different depths and acoustic sonar, gave scientists a good sense of how much sea life was in the area between the surface and 5,000 feet deep (1,500 meters). They returned to the same place with the same equipment three-and-a-half years later and found sea life was between one-third and one-quarter of what it was in 2011.

“We saw this big decline,” Sutton said. “The question was then why? So we looked at all of the natural variables we thought could account for it, namely temperature, oxygen supply and food. None of those vary with the decline. The event that did was the oil spill. So we think that’s the most likely cause of the decline.”

Researchers kept on sampling since 2015 and the low populations remained, with a slight rise in 2022 and 2023 that did not prove statistically significant or lasting, Sutton said.

Documenting the decline

Sutton's team documented the population declines with three different lines of evidence: what they caught in the nets, what their acoustic sonar found and genetic studies showing the species losing genetic diversity because of inbreeding.

A lot of marine life died instantly after the explosion, which killed 11 workers, and from nearly five months of leaking oil and gas. Those pollutants got stored in the eggs of survivors and subsequent generations of critters got more compromised and weaker, Sutton said.

BP spokesperson Paul Takahashi said the accident “forever changed” the company: “We have made many changes intended to help prevent an event like this from ever happening again.”

Both the oil and the dispersants used to clean the spill hurt fish, but in different ways, said study co-author Isabel Romero, a chemical oceanographer at the University of South Carolina. Oil is more toxic and an overall threat, but the dispersant breaks the oil into smaller droplets, increasing the exposure of animals that live in the deeper water column, she said.

Dispersants caused many problems, and new studies show that in future accidents, it would be better to avoid those chemicals and instead add agents that increase oil-munching microbes, said former National Science Foundation Director Rita Colwell, a University of Maryland environmental microbiologist who headed a 10-year, $500 million BP-funded program to study spill effects.

Sutton said his team couldn’t prove an exact causal link to the BP oil spill, but by eliminating the other possibilities and looking at the timing, it’s logically clear that the spill caused the problem.

The krill population dropped 72%. Lanternfish — odd fish with blue-green lights embedded over their bodies — are a third of what they used to be, Sutton said. The stunning but scary dragonfish — with sharp teeth, light organs and a lure attached to its head — also had big losses, he said.

“These are foundational species,” Sutton said. “They're the things most things eat. So it's no wonder that we had wholesale changes across the community.”

The inner ocean is more unknown than outer space

Scientists learned much about this unexplored area of the Gulf.

“One of our biggest findings from the whole thing is how connected the whole oceanic Gulf is from top to bottom because the animals move up and down,” Sutton said. “There are predators at the top that dive deep. Lots of things that are deep that come up at night. So the system is one very large pulsing system, rather than just a layered system like people might have thought beforehand.”

Outside scientists were especially bothered by where the spill damaged.

“We know more about space in some ways than we do about the inner ocean. Because we can’t see these regions, there is a tendency to assume everything is fine, but here we have a clear result showing that something went very wrong," Scripps Institution of Oceanography marine scientist Kaitlin Frasier said in an email.

Frasier, who wasn't part of the study released Monday, published a post-spill study in 2024 looking at Gulf of Mexico whales and dolphins, finding population drops as high as 83%.

“It’s shocking how a single failure in a drilling rig can have this vast and sustained impact over thousands of square kilometers, with little visible recovery over 13 years after the spill,” said Dalhousie University marine scientist Boris Worm, who wasn't part of the study. “It is important that we see this, because for the longest time these consequences were completely out of sight and out of mind.”

Worm and Colwell said this damage should be kept in mind as the world talks about deep-sea mining and increased oil drilling in deep waters.

These 5 trailblazing Houston startups are leading the energy transition

meet the finalists

Houston is home to a growing number of startups reshaping what it means to be called the "Energy Capital of the World."

As part of the 2026 Houston Innovation Awards, our Energy Transition Business category honors those innovative startups that are providing solutions within renewables, climatetech, clean energy, alternative materials, circular economy and more.

Five clean energy startups have been named finalists for the 2026 award. The finalists, selected by our esteemed panel of judges, range from a lower-emission steel producer to a diagnostics platform developer working to support batteries used in data centers.

Read more about these innovative businesses, their initiatives, and their inspirational founders below. The 2026 winners will be announced on InnovationMap.com in mid-November.

Capwell Services

Methane capture company Capwell Services works to eliminate vented oil and gas emissions economically for operators. According to the company, methane emissions are vented from most oil and gas facilities due to safety protocols, and operators are not able to capture the gas cost-effectively, leading operators to emit more than 14 million metric tons of methane per year in the U.S. and Canada. Founded in 2022, Capwell specializes in low and intermittent flow vents for methane capture.

The company began as a University of Pennsylvania senior design project led by CEO Andrew Lane. It has since participated in programs with Greentown Labs, the Rice Clean Energy Accelerator and the Creative Destruction Lab Energy Cohort at Texas A&M University. The company moved to Houston in 2023 and raised a pre-seed round. It deployed two commercial units this year, according to its application.

FlowCellutions

Energytech startup FlowCellutions is developing a chemistry-agnostic diagnostics platform for flow and metal-air batteries supporting data centers and critical infrastructure. The platform is designed to help reduce operating costs, prevent failures and costly downtime, and extend battery lifetime from approximately seven years to more than 30 years. It has deployed four paid pilots and plans to take insights from the programs to develop its next-gen sensor platform technology.

CEO Becca Segel founded the company in 2022. It is a member of Greentown Labs, and Segel was a 2025 Activate Fellow. The company has raised over $2 million in non-dilutive funding and received a $1.5 million NSF SBIR Fast-Track award earlier this year.

Hertha Metals

Hertha Metals produces lower-cost, lower-emission steel and high-purity iron. The company has developed a single-step process that uses natural gas as a direct reductant instead of metallurgical coal, which cuts production costs by more than 25 percent and emissions by up to 50 percent, according to the company. The same process produces high-purity iron needed for high-purity steels and rare earth magnets. The company says it aims to "re-industrialize America’s production of critical materials."

Hertha Metals was founded by CEO Laureen Meroueh in 2022 and emerged from stealth last year with more than $17 million in venture capital funding. The company closed a $133.65 million Series A this month and also broke ground on its $100M high-purity iron factory known as Chalyx in Conroe.

Mars Materials

Clean chemical manufacturing business Mars Materials is working to convert captured carbon into resources, such as carbon fiber and wastewater treatment chemicals. The company develops and produces its drop-in chemical products in Houston and uses an in-licensed process for the National Renewable Energy Lab to produce acrylonitrile, which is used to produce plastics, synthetic fibers, and rubbers.

Founded in 2019 by CEO Aaron Fitzgerald, CTO Kristian Gubsch, and vice president of operations Trey Sheridan, the company has secured over $7.2M in financing and is backed by Bill Gates’ Breakthrough Energy, Shell, Black & Veatch, and other organizations. It won in the Minority-founded Business Category in last year's Houston Innovation Awards.

Solidec

Chemical manufacturing company Solidec has developed autonomous generators that extract molecules from water and air and convert them into pure chemicals and fuels that are free of carbon emissions on-site, eliminating the need for transport, storage, and permitting. The company was founded around innovations developed by Rice University associate professor Haotian Wang.

The company was selected for the Chevron Technology Ventures’ Catalyst Program, Greentown Labs, NSF I-Corps and was part of the first cohort of the Activate Houston program. It won first place at the 2024 startup pitch competition at CERAWeek. Solidec was founded in 2023 by Wang, who serves as an advisor, CEO Ryan DuChanois, and CTO Yang Xia. It closed a $2.5 million seed round in 2025.