One of the biggest obstacles to Texas' net-zero goals is its transportation sector, according to Houston research. Photo via UH.edu

A new report found that one of Texas' biggest roadblocks with reducing emissions is its transportation sector.

In its white paper series, the University of Houston's energy researchers found that — unless something changes — the Lone Star State is not likely to hit its carbon neutrality goals by 2050 within the transportation sector.

“What would it take to make the Texas transportation sector net zero by 2050?” Ramanan Krishnamoorti, UH vice president for energy and innovation, says in a news release. “The answer is a miracle, policy interventions that start as soon as possible, and somewhere between 30 to 50 billion dollars of public money between now and 2050 and at least an equal match from the private sector.”

According to the Net Zero in Texas: The Role of Transportation report, over 230 million metric tons of carbon dioxide gas is released from Texas roads each year. By 2050, estimates show that the remaining gasoline and diesel vehicles on the road will still be contributing about 40 million metric tons of emissions. Krishnamoorti collaborated with UH Energy researcher Aparajita Datta on a white paper.

“The future is crucial not only for Texas, where carbon emissions hinge on transportation solutions but also for our nation. Emissions transcend state lines and considering the size of Texas, its growing population and strong industry, the impact is significant,” Krishnamoorti adds.

Some of the challenges the state faces, per the report, hinge on electric vehicle adoption, which has been slow for a variety of reasons. One is the lack of EV production materials, such as lithium, cobalt, copper, manganese and graphite, due to increased demand, which is slated to be increased by 140 to 500 percent.

The EV workforce development also poses a challenge. Right now, hourly wages in the traditional auto sector range from $26 to $60, but most jobs in the EV industry, which are not unionized, range from $17 to $21 per hour.

The call for EV infrastructure is also estimated to be high. Per a news release about the report, "the change will require an annual expenditure of $250 million to $640 million for Level-2 (L2) charging stations and between $500 million and $1.3 billion for DC Fast Charging (DCFC) stations in 2040."

The transition will include an addition of 40,000 and 180,000 jobs in Texas between now and 2050, as well as an estimated $104 billion addition in public health benefits for Texans – fewer deaths, fewer asthma attacks and fewer sick days, according to the study.

“It is evident that decarbonizing Texas’ transportation sector will be a significant challenge and relying solely on consumer behavior to change is unrealistic,” Krishnamoorti says in the release. “We need robust policies to drive the state’s transportation electrification. Let’s acknowledge the journey ahead; federal mandates alone will not guide us to net zero by 2050. Texas needs to act now.”

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ERock scores Anthropic deal, sees order backlog soar to $1.7B

power deal

Two months after its $400 million IPO, Houston-based ERock (NYSE: EROC) has landed a power-generator deal with AI powerhouse Anthropic, owner of the Claude platform.

In its Q2 earnings report, ERock says it will provide equipment to Anthropic with a 470-megawatt capacity. ERock specializes in utility-grade, onsite microgrid power systems for data centers and other customers. The company previously did business as Enchanted Rock.

The Anthropic deal adds to ERock’s backlog of about $1.7 billion in orders—a figure representing a 1,000 percent year-over-year jump in backorders thanks in large part to the AI boom. ERock expects most of the backlog to convert to revenue by the end of 2027, said Ian Blakely, the company’s chief financial officer.

Bank of America analyst Ross Fowler says the Anthropic contract boosts confidence in ERock’s ability to secure other major deals, according to Traders Union. The Anthropic deal is ERock’s third major data center contract, with separate Anthropic deals for operations and maintenance services expected to follow, Fowler said.

CEO John Carrington says Anthropic’s order “reinforces the momentum” ERock is witnessing across its customer base.

“We are seeing a lot of interest in Texas. It seems to be the easiest place to get a site set up,” company President Corey Amthor said

In its Q2 earnings release—its first as a public company—ERock also reported:

  • Launching generator-assembly operations at its Hyperion equipment factory in Northwest Houston. The plant will expand ERock’s assembly capabilities to 1.2 gigawatts of capacity by the end of 2026.
  • Starting construction of a $473 million, 366-megawatt El Paso Electric natural-gas-powered plant to supply power for Meta Platforms’ $14 billion, 1,000-acre AI data center campus in El Paso. Meta is the parent company of the Facebook and Instagram social media companies.

“Meta gains access to an operational data center years earlier than may otherwise be possible, while El Paso Electric gains a flexible, low-cost, low-emissions grid asset that can support long-term system reliability,” Carrington said.

Nominate energy trailblazers for Houston Innovation Awards by Aug. 27

Awards Season

Calling all energy innovators: The 2026 Houston Innovation Awards, presented by InnovationMap, return this fall to celebrate the best and brightest in the Houston innovation ecosystem, and that includes those leading the energy transition.

We're asking you to nominate Houston's top innovators and startups for this year's awards.

Nominations are open now through August 27 and can be made on behalf of yourself, your organization, and other influential leaders in the local innovation scene.

The annual awards program recognizes the most innovative individuals and companies in Houston across 10 prestigious categories, including one category specifically for the energy transition.

This year's awards will honor the following categories:

  • Minority-founded Business, honoring an innovative startup founded or co-founded by BIPOC or LGBTQ+ representation.
  • Female-founded Business, honoring an innovative startup founded or co-founded by a woman.
  • Energy Transition Business, honoring an innovative startup providing a solution within renewables, climatetech, clean energy, alternative materials, circular economy, and beyond.
  • Health Tech Business, honoring an innovative startup within the health and medical technology sectors.
  • Deep Tech Business, honoring an innovative startup providing technology solutions based on substantial scientific or engineering challenges, including those in the AI, robotics, and space sectors.
  • Startup of the Year (People's Choice), honoring a startup celebrating a recent milestone or success. The winner will be selected by the community via an interactive voting experience.
  • Scaleup of the Year, honoring an innovative later-stage startup that's recently reached a significant milestone in company growth.
  • Incubator/Accelerator of the Year, honoring a local incubator or accelerator that is championing and fueling the growth of Houston startups.
  • Mentor of the Year, honoring an individual who dedicates their time and expertise to guide and support budding entrepreneurs.
  • Trailblazer, honoring an innovator who's made a lasting impact on the Houston innovation community.

You have three weeks to submit nominees, so don't delay — nominate today at this link or fill out the form below. Qualified nominees will receive a formal application to complete, which will be reviewed by our esteemed panel of judges to determine the finalists and winners.

More announcements about the 2026 Houston Innovation Awards are coming soon. Interested in sponsoring the 2026 Houston Innovation Awards? Please contact sales@innovationmap.com.

Telsa eyes Houston area for $10 billion solar manufacturing plant

under review

Electric vehicle and clean energy company Tesla is considering building a new $10.1 billion solar cell manufacturing facility in Fort Bend County, according to documents filed with the Texas Comptroller’s Office.

If approved, the plant, called Project Sun City, would be located on a 3,050-acre site off FM 762 and FM 1994 in Richmond, Texas. Tesla aims to finish construction in 2028, with the plant being operational by early 2029.

The plant will manufacture photovoltaic (PV) solar cells and modules that can convert sunlight into electricity. PV Magazine reports that the facility is "the largest single manufacturing investment Tesla has proposed on paper."

Advisory and consulting firm Kroll submitted the documents to the Texas Comptroller of Public Accounts and noted if an agreement regarding tax incentives isn't reached, the project will exit Texas.

Tesla has requested credits under the Jobs, Energy, Technology, and Innovation (JETI) Act. The incentive program aims to attract large, capital-intensive economic development projects by lowering the property taxes an entity must pay over 10 years if it meets requirements related to job creation and investment. For example, pharmaceutical giant Bristol Myers Squibb Co. recently announced that its forthcoming $2.3 billion Houston-area manufacturing site is a qualified project under the JETI program.

Kroll predicts that the facility would create 9,712 new full-time jobs, over 1,100 construction jobs and billions of dollars in future property tax revenue, the documents show. Additionally, it says the project will spur $1.1 billion in local business expenditures and that Texas would increase its GDP by approximately $107 billion as a result of the project activities.

Tesla opened its $200 million Megafactory in Brookshire, Texas, last year. The company is continuing its goal to deploy 100 gigawatts of solar manufacturing in the U.S before the end of 2028. According to the U.S. Energy Information Administration, 100 gigawatts is equal to about 8 percent of the country's power grid capacity.