One of the winning teams at Climathon has an idea for a microgrid system in Houston's emerging innovation corridor. Photo via houston.org

More than 6,000 participants in 145 cities around the world gathered virtually for last year's Climathon, a global event put on by Impact Hub Houston to unite innovators and collaborate on climate solutions. When Winter Storm Uri left the Texas energy grid in a state of crisis, one Climathon Houston team's proposal for energy reliability became all the more important.

Last year, the City of Houston unveiled its first Climate Action Plan to address the city's challenges and strive to lead the energy transition. It was the perfect roadmap for Climathon Houston, a hackathon where eleven teams gathered to develop and pitch a concept to align with the city's new plan.

Of the three winning teams, one idea was prescient in its approach to energy. Six energy-focused Texans drew up plans for InnoGrid, a cost-effective strategy to build the first microgrid in Houston. What started as a pitch has become a developed proposal gaining collaborator and city interest in the wake of Uri.

Bryan Gottfried, Edward D. Pettitt II, Andi Littlejohn, Paresh Patel, Ben Jawdat, and Gavin Dillingham created InnoGrid to to help achieve the CAP's energy transition and net-zero emissions goals. With climate events increasing rapidly, the team of innovators saw an opportunity to create a sustainable solution — the first Houston microgrid.

In just an hour and a half of brainstorming, the team sought to create a similar model to Austin's Whisper Valley microgrid — a project that's currently in development. While Whisper Valley is a master plan community, the team wanted to create a microgrid to support a larger picture: the city of Houston.

"I had been following transactive energy models [such as] peer-to-peer electricity trading like Brooklyn Microgrid/LO3 Energy and Power Ledger since their inception. This inspired my vision for a novel microgrid that would demonstrate such technologies in the energy capital of the world that is otherwise primarily focused on oil and gas, and natural resources," explains Patel, founder and CEO of e^2: Equitable Energy.

When Pettitt joined the group, he proposed the growing Houston Innovation Corridor as the home to InnoGrid. The four-mile stretch between the Texas Medical Center and Downtown is already home to green technology, making it an ideal fit.

"You're going into an area that was already being redeveloped and had this innovation kind of mentality already," explains Gottfried, a geoscientist and current MBA student at University of Houston Bauer College of Business.

After winning Climathon Houston, the team continued to meet weekly in hopes of making InnoGrid a reality.

The case for a microgrid

The InnoGrid team started with the goal of making energy reliable and resilient in the face of climate change. While previous storms like Hurricane Ike have left millions of Texans without power, Winter Storm Uri was one of the most destructive tragedies to face Texas. The unexpected February storm left 4.5 million Texans without electricity and resulted in at least 111 deaths.

As InnoGrid's team members struggled with burst pipes and loss of power, the team juggled the task of submitting a grant application to the Department of Energy during a catastrophic winter storm. The timing was not lost on them.

"It underscored the need for us to do something like this," shares Gottfried.

To understand how impactful a Houston microgrid can be, you first must understand how a microgrid works. A microgrid is a local energy grid made of a network of generators combined with energy storage. The microgrid has control capability, meaning it can disconnect from a macro grid and run autonomously.

Ultimately, microgrids can provide reliability and drive down carbon emissions. Using smart meters, the grids can even provide real-time energy data to show the inflow and outflow of electricity. In the instance a microgrid does go down, it only affects the community — not the entire state. Likewise, during a power outage to the main grid, a microgrid can break away and run on its own.

Microgrids have been deployed by other cities to mitigate the physical and economic risks caused by power outages, but the use of a project like InnoGrid feels especially timely given recent events and the limitations of the Texas Interconnect.

The Texas grid is isolated by choice, separated from the eastern and western interconnects. Texas' isolated energy grid resulted in a massive failure, proving deregulation can certainly backfire. Updating the electric grid has an expensive price tag, but microgrids show a promising and cost-effective model for the future.

"I thought if microgrids and mini-grids are enabling millions in off-grid frontier markets at the base of the pyramid [like Asia, Sub-Saharan Africa, etc.] to essentially leapfrog legacy energy infrastructure, why should we not upgrade our aging power system with the latest tech that is digitalized, decarbonized, decentralized/distributed, and democratized at the top of the pyramid," asks Patel.

Many hospitals, universities, and large technology firms have already established their own microgrids to protect equipment and provide safety. Still, smaller businesses and homes in the community can suffer during outages.

InnoGrid's proposal seeks to use existing and proven renewable energy sources like wind, solar and geothermal energy. The storage technologies used would include battery, kinetic, compressed air, and geomechanical pumped storage.

"From the perspective of an early-stage hardware startup, one of the most important things is finding a way to validate and test your technology," explains Jawdat, founder and CEO of Revterra and adviser to the InnoGrid team. He explains that the microgrid "can also be a testbed for new technologies, specifically, new energy storage technologies," through potential partnerships with companies like Greentown Labs, which is opening its Houston location soon.

Battling inequity 

While the outlook for a community microgrid is enticing, there are also challenges to address. One key challenge is inequity, which is a key focus of Pettitt who was drawn to the team's goal of providing stability for companies and residences in Houston.

Pettitt, who is seeking a Ph.D. in urban planning and environmental policy at Texas Southern University, has a background in public health and frequently works with the Houston Coalition for Equitable Development without Displacement. "I'm really looking at the intersection of the built environment and how to make cities healthier for its residents," he shares.

"A lot of companies are trying to prevent this climate crisis where we have climate refugees that can't live in certain areas because of ecological damage. But in the process, we don't want to create economic refugees from the gentrification of bringing all of these companies and higher-wage jobs into an area without providing folks the ability to benefit from those jobs and the positive externalities of that development," explains Pettitt.

The InnoGrid would plan to provide positive externalities in the form of energy subsidies and potentially even job training for people who want to work on the grid.

Power to the consumer

Much like the gamification in feel-good fitness trackers and e-learning tools, reward systems can inspire friendly competition and community engagement. InnoGrid's proposal seeks to challenge other major cities to build their own grids and compete with a gamified system.

The Innovation Corridor is currently undergoing major redevelopment, the first 16 acres of which are being developed by Rice Management Company and will be anchored by The Ion, which is opening soon. The timing of this redevelopment would allow a prospective project like InnoGrid to build in visual and interactive aspects that depict energy usage and carbon offsetting.

The microgrid's statistics would also engage Houstonians by sharing up-to-date data through dashboards, apps, and even billboards to track Houston's carbon footprint. Pettitt paints a picture of interactive sidewalk structures, leaderboards, and digital billboards in the public realm to showcase how energy is used day-to-day. The team hopes to build positive feedback cycles that encourage tenants and building owners to be more energy-efficient.

"If we're having an Innovation Corridor, an innovation district, I think the built environment should be innovative too," explains Pettitt.

The future of InnoGrid

Every innovation has to start somewhere. While InnoGrid is in its early stages, the team is working to establish partners and collaborators to make the project a reality.

Inspired by projects like the Brooklyn Microgrid, InnoGrid is in the process of pursuing partnerships with utilities and energy retailers to form a dynamic energy marketplace that pools local distributed energy resources. The team hopes to collaborate with microgrid experts from around the nation like Schneider Electric and SunPower. Other potential collaborators include The Ion, CenterPoint, Greentown Labs, and Rice Management Company.

Can Houston remain the energy capital of the world as it transitions to a net-zero energy future? The InnoGrid team wants to make that happen. The argument for a microgrid in Houston feels even more fitting when you look at the landscape.

"If we are going to create an innovative microgrid that also functions as a testbed for innovators and startups, [we] have proximity to some of the biggest utilities and power generation players right in that sector," explains Patel, who is also an inaugural member of Greentown Labs Houston.

"The microgrid itself is not novel. I think what makes it compelling is to situate that right here in the heart of the energy capital as we, again, reincarnate as the energy transition capital world," Patel continues.

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CultureMap Emails are Awesome

Rice Alliance names Houston healthtech exec as first head of platform

new hire

The Rice Alliance for Technology and Entrepreneurship has named its first head of platform.

Houston entrepreneur Laura Neder stepped into the newly created role last month, according to an email from Rice Alliance. Neder will focus on building and growing Houston’s Venture Advantage Platform.

The emerging platform, which is being promoted by Rice Alliance and the Ion, aims to connect founders with the "people, capital and expertise they need to scale."

"I’ve spent a lot of time thinking about what it takes to make an innovation ecosystem more navigable, more connected, and more useful for founders," Neder said in a LinkedIn post. "I’m grateful for the opportunity to do that work at Rice Alliance, alongside a team with a long history of supporting entrepreneurship and innovation."

"Houston has the talent, institutions, and industry base to create real advantage for founders," she added. "I’m looking forward to listening, learning, and building stronger pathways across the ecosystem."

Neder most recently served as CEO of Houston-based Careset, where she helped bring the Medicare data startup to commercialization. Prior to that, Neder served as COO of Houston-based telemedicine startup 2nd.MD, which was acquired for $460 million by Accolade in 2021.

"Laura brings a rare combination of founder empathy, operational experience and ecosystem leadership," Rice Alliance shared.

Neder and Rice Alliance also shared that the organization is hiring developers to design the new Venture Advantage Platform. Learn more here.

Elon Musk's SpaceX files initial paperwork to sell shares to the public

Incoming IPO

Elon Musk's space exploration company has filed preliminary paperwork to sell shares to the public, according to two sources familiar with the filing, a blockbuster offering that would likely rank as the biggest ever and could make its founder the world's first trillionaire.

A SpaceX IPO promises to be one of the biggest Wall Street events of the year, with several investment banks lining up to help raise tens of billions to fund Musk's ambitions to set up a base on the moon, put datacenters the size of several football fields in orbit and possibly one day send a man to Mars.

The sources spoke on condition of anonymity because they were not authorized to talk publicly about the confidential registration with the Securities and Exchange Commission.

SpaceX did not respond immediately to a request for comment.

Exactly how much SpaceX plans to raise has not been disclosed but the figure is reportedly as much as $75 billion. At that level, the offering would easily eclipse the $29 billion that Saudi Aramco raised in its IPO in 2019.

The offering, coming possibly in June, could value all the shares of SpaceX at $1.5 trillion, nearly double what the company was valued in December when some minority owners sold their stakes, according to research firm Pitchbook, before an acquisition that increased its size.

Musk owns 42% of the SpaceX now, according to Pitchbook, though that figure will change with the IPO when new owners are issued shares. In any case, he is likely to pierce the trillion dollar mark because he is already close. Forbes magazine estimates Musk's net worth at roughly $823 billion.

In addition to making reusable rockets to hurl astronauts and hardware into orbit, SpaceX owns Starlink, the world’s largest satellite communications company. The company also recently brought under its roof two other Musk businesses, social media platform X, formerly Twitter, and artificial intelligence business, xAI, in a controversial transaction because both the seller and the buyer were controlled by him.

SpaceX has become the biggest commercial launch company in its industry, responsible for sending payloads into orbit for customers across the globe, but has also benefited from big taxpayer spending. That has raised conflicts of interest issues given that Musk was the biggest donor to President Donald Trump's campaign and is still a big backer.

In the past five years, SpaceX won $6 billion in contracts from NASA, the Defense Department and other U.S. government agencies, according to USAspending.gov.

Among current SpaceX owners is Donald Trump Jr, the president's oldest son. He owns a shares through 1789 Capital. That venture capital firm made him a partner shortly after his father won the presidency for a second time and has been buying up federal contractors seeking to win taxpayer money ever since.

The White House and Trump himself have repeatedly denied there are any conflicts of interest between his role as president and his family's businesses.

8+ can't-miss Houston business and innovation events in April

where to be

Editor’s note: Houston's weeklong innovation festival kicks off April, followed by Rice University's globally recognized pitch competition returning for its 26th year. Plus, find coworking pop-ups, industry meetups, pitch battles and even a crawfish boil on the calendar. Here’s what not to miss and how to register. Please note: this article might be updated to add more events.

March 30-April 4 — H-Town Roundup

Celebrate innovation, entrepreneurship and collaboration at Houston Exponential's sixth-annual H-Town Roundup. During the free event series, previously known as Houston Tech Rodeo, attendees can expect insightful talks, workshops and networking events at venues across the city.

This event began March 30. Register here.

April 2 — Industrious Coworking Day

Enjoy a complimentary day of cowering at Industrious and network with professionals at the Ion. Breakfast, snacks, wifi and workspace tours are included. Following the cowering day, Industrious will host happy hour at Second Draught from 4-6 p.m.

This event is Thursday, April 2, from 8:30 a.m.-5 p.m. at the Ion. Register here.

April 2 — Technology Summit for Women

The fourth annual Women in Tech Cummil will feature speakers across three core tracks: Transformation + Digital strategy, Cyber + Risk + Resilience, and AI in Practice. Pearl Chu, director of technical domains and university relations at SLB, will give the opening remarks. Other panelists come from CenterPoint Energy, BP, Technip Energies and other leading companies.

This event is Thursday, April 2, from 2-5 p.m. at the Ion. Register here.

April 8 — Veterans Business Battle

Hear pitches from veterans and entrepreneurs as they compete for more than $10 million in investments at Rice Businesses' 12th annual Veterans Business Battle. This year, the two-day event will also feature a Small Business Expo, which invites Houston-based, veteran-owned businesses to participate in education, networking and the opportunity to showcase their business. Moonshots Capital and Mercury Fund will also host a fireside chat.

This event begins Wednesday, April 8, at 11 a.m. at the Ion. Click here to register.

April 9-11 — Rice Business Plan Competition

The Rice Alliance for Technology and Entrepreneurship will host the 26th annual Rice Business Plan Competition this month. Forty-two student-led teams from around the world, including one team from Rice, will present their plans before more than 300 angel, venture capital, and corporate investors to compete for more than $1 million in prizes.

This event begins Thursday, April 9. Find more information here.

April 10 — BioHouston Chili Cookoff

Connect with Houston's life sciences community at BioHouston's 21st annual chili cookout. This event is geared toward startup founders, researchers and industry veterans alike.

This event is Friday, April 10, from noon-4 p.m. at Bayou City Event Center. Register here.

April 14 — Mercury Fund Day at the Ion: Agentic Commerce

Don’t miss the latest installment of Mercury Fund Day at the Ion, previously known as Software Day. The recurring monthly event features office hours (by application), a keynote and networking opportunities. This month's topic focuses on agentic commerce.

This event is Tuesday, April 14, from 3:30-7 p.m. at the Ion. Register here.

April 19 – UH Energy Industry Crawfish Boil

Head to the UH Cullen College of Engineering Green Space for the 35th annual UH Energy Industry Crawfish Boil. The event will include a student showcase, STEM activities, a kids zone, live music, networking and, of course, crawfish. Proceeds from the event will support the multidisciplinary capstone fund that aims to increase professional readiness for Cullen College engineering and technology students.

This event is Sunday, April 19, from 1-5 p.m. at the Cullen College of Engineering Green Space. Find more information here.

April 24 — Rice Business Healthcare Conference

Leading experts, innovators and the next generation of healthcare leaders will converge at the Rice Business Healthcare Conference. Hosted by the Rice Business Healthcare Association, the conference will explore AI's potential impact on the sector.

This event is Friday, April 24, from 8 a.m.-2 p.m. at McNair Hall on Rice University's campus. Find more information here.