Texas again ranks poorly for its energy efficiency

It's not easy being green

Texas has been deemed inefficient when it comes to energy. Photo courtesy of Thomas Miller/Breitling Energy

Despite some growth in the industry's regional job market, Texas fails to rise through the ranks of a national report on energy efficiency.

For the second year in a row, the Lone Star State has made the list of the states with the worst energy efficiency, according to a report for personal finance website, WalletHub. Last year, the state ranked No. 42 in the country; however, this year's study had Texas at No. 41 of the 48 states evaluated. Hawaii and Alaska were left out due to data restrictions.

The report, which was released just in time for National Energy Awareness Month, looked at consumer usage of home electricity, as well as oil and fuel for cars and trucks. According to the report, a United States family will spend around $2,000 annually on utilities — and heating and cooling makes up about half of that bill. On average in 2018, consumers spent another $2,109 on oil and fuel for their vehicles.

Adopting energy-efficient tools and practices could help reduce consumer cost by 25 percent for utilities and around $638 on the roads. Texas has seen a growth in the job market for positions relating to energy efficiency, according to a recent report. The number of energy-efficiency-oriented jobs across Texas rose by 5.3 percent last year to 162,816, according to the report, and energy-efficiency workers account for 17 percent of all energy workers in Texas, the report says.

Texas, with its hot climate and underdeveloped public transportation systems, scored only 36.48 total points on the WalletHub report, which is up slightly from last year's 33.34 points. The state ranked No. 36 on home energy efficiency and No. 45 for auto energy efficiency.

Texans drove over 270 billion miles last year and used over 20 billion gallons of gas, the second worst and worst rankings, respectively, among the states considered for this study.

While maybe the state isn't rising on this list of consumer energy efficiency yet, the state has seen great economic growth specifically in the wind energy industry. The American Wind Energy Association's annual report for 2018 shows the wind energy sector employs between 25,000 and 26,000 people in Houston and elsewhere in Texas, up from 24,000 to 25,000 in 2017, with the total investment in Texas wind energy projects sitting at a whopping $46.5 billion. More than one-fifth of wind energy jobs in the U.S. are located in Texas.

"Houston is actively working to grow this sector, so we hope people will seriously think of Houston when they think of renewables in this new era of energy," Davenport says at an April 9 news conference in Houston where the American Wind Energy Association released its 2018 state-of-the-industry report.

Houston has the most energy efficiency jobs out of other metros in Texas, which has the second-most energy efficiency jobs in the country. Getty Images

New report finds that Houston leads in Texas for energy efficiency jobs

Workforce growth

The Houston metro area has plugged into the power of jobs linked to energy efficiency. In fact, the region is home to more than one-fourth of Texas jobs that fall into this category.

A new report shows the Houston area leads all of the metros in Texas for the number of jobs tied to energy efficiency. The report tallied 43,730 Houston-area jobs connected to energy efficiency, compared with 41,235 in Dallas-Fort Worth, 15,872 in Austin, and 12,860 in San Antonio. The report was produced by the nonprofit groups E4TheFuture and E2 (Environmental Entrepreneurs).

The number of energy-efficiency-oriented jobs across Texas rose by 5.3 percent last year to 162,816, according to the report. That puts Texas second among the states, behind California, for the total number of jobs in energy efficiency. Energy-efficiency workers account for 17 percent of all energy workers in Texas, the report says.

Of the energy-efficiency jobs in the Houston area, 15,806 are in the congressional district of U.S. Rep. Dan Crenshaw, a Houston Republican. That's the highest number of any congressional district in the state. Crenshaw's district includes Houston, Spring, and Atascocita.

"Energy jobs are critical to our economy and must be a priority when considering any industry regulation coming out of Washington," Crenshaw says on his website. "We have to unleash the power of the Texas energy sector and become the world leader in energy that we are meant to be."

The report defines jobs in the energy-efficiency sector as those involving goods and services that reduce energy use by improving technology, appliances, buildings, and power systems. Among these positions are construction worker, architect, manufacturing sales representative, and HVAC specialist.

The report, released September 16 at the annual meeting of the National Association of State Energy Officials, highlights the economic potency of energy efficiency.

"While politicians argue over the direction of our energy transition, the economic benefits of improving energy efficiency continue to unite America's business and environmental interests," Pat Stanton, director of policy at E4TheFuture, says in a release. "Not only is expanding America's energy efficiency key to solving multiple climate policy goals, it is now integral to businesses' expansion plans — saving money and creating local jobs that cannot be outsourced."

In 2018, energy-efficiency businesses added 76,000 net new jobs, representing half of all net jobs created by the U.S. energy sector (151,700). About 28,900 energy-efficiency businesses operate in Texas, with the bulk of those in the construction and manufacturing industries.

The expansion of the energy-efficiency sector aligns with push by the Greater Houston Partnership to ramp up the region's focus on energy technology and renewable energy. This year, the partnership estimates, the Houston area will add 1,900 jobs in the energy industry.

Some of the new breed of energy-efficiency workers in the Houston area could come from San Jacinto College's new $60 million Center for Petrochemical, Energy, and Technology in Pasadena. The center's first students began classes in August.

"We all know energy efficiency saves consumers and businesses money with every month's power bill," Bob Keefe, executive director of E2, says in a release. "We should also remember that energy efficiency is creating jobs and driving economic growth in every state — and doing so while also helping our environment, not hurting it."

Energy-efficiency workers are helping the environment by, for instance, building LED lighting systems, retrofitting office buildings, upgrading outdated HVAC systems, and designing power-sipping appliances.

"State energy officials understand that energy efficiency and the jobs that come with it [are] an integral and important part of the overall economy," David Terry, executive director of the state energy officials group, says in a release. "Policymakers at the state and federal levels will hopefully keep the size and reach of energy-efficiency employment in mind as they plan for the future."

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Houston unicorn closes $421M to fuel first phase of flagship energy project

Heating Up

Houston geothermal unicorn Fervo Energy has closed $421 million in non-recourse debt financing for the first phase of its flagship Cape Station project in Beaver County, Utah.

Fervo believes Cape Station can meet the needs of surging power demand from data centers, domestic manufacturing and an energy market aiming to use clean and reliable power. According to the company, Cape Station will begin delivering its first power to the grid this year and is expected to reach approximately 100 megwatts of operating capacity by early 2027. Fervo added that it plans to scale to 500 megawatts.

The $421 million financing package includes a $309 million construction-to-term loan, a $61 million tax credit bridge loan, and a $51 million letter of credit facility. The facilities will fund the remaining construction costs for the first phase of Cape Station, and will also support the project’s counterparty credit support requirements.

Coordinating lead arrangers include Barclays, BBVA, HSBC, MUFG, RBC and Société Générale, with additional participation from Bank of America, J.P. Morgan and Sumitomo Mitsui Trust Bank, Limited, New York Branch.

“As demand for firm, clean, affordable power accelerates, EGS (Enhanced Geothermal Systems) is set to become a core energy asset class for infrastructure lenders,” Sean Pollock, managing director, project Finance at RBC Capital Markets, said in a news release. “Fervo is pioneering this step change with Cape Station, a vital contribution to American energy security that RBC is proud to support.”

The oversubscribed financing marks Cape Station’s shift from early-stage and bridge funding to a long-term, non-recourse capital structure, according to the news release.

“Non-recourse financing has historically been considered out of reach for first-of-a-kind projects,” David Ulrey, CFO of Fervo Energy, said in a news release. “Cape Station disrupts that narrative. With proven oil and gas technology paired with AI-enabled drilling and exploration, robust commercial offtake, operational consistency, and an unrelenting focus on health and safety, we have shown that EGS is a highly bankable asset class.”

Fervo continues to be one of the top-funded startups in the Houston area. The company has raised about $1.5 billion prior to the latest $421 million. It also closed a $462 million Series E in December.

According to Axios Pro, Fervo filed for an IPO that would value the company between $2 billion and $3 billion in January.

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This article first appeared on EnergyCapitalHTX.com.

Houston food giant Sysco to acquire competitor in $29 billion deal

Mergers & Acquisitions

Sysco, the nation's largest food distributor, will acquire supplier Restaurant Depot in a deal worth more than $29 billion.

The acquisition would create a closer link between Sysco and its customers that right now turn to Restaurant Depot for supplies needed quickly in an industry segment known as “cash-and-carry wholesale.”

Sysco, based in Houston, serves more than 700,000 restaurants, hospitals, schools, and hotels, supplying them with everything from butter and eggs to napkins. Those goods are typically acquired ahead of time based on how much traffic that restaurants typically see.

Restaurant Depot offers memberships to mom-and-pop restaurants and other businesses, giving them access to warehouses stocked with supplies for when they run short of what they've purchased from suppliers like Sysco.

It is a fast growing and high-margin segment that will likely mean thousands of restaurants will rely increasingly on Sysco for day-to-day needs.

Restaurant Depot shareholders will receive $21.6 billion in cash and 91.5 million Sysco shares. Based on Sysco’s closing share price of $81.80 as of March 27, 2026, the deal has an enterprise value of about $29.1 billion.

Restaurant Depot was founded in Brooklyn in 1976. The family-run business then known as Jetro Restaurant Depot, has become the nation's largest cash-and-carry wholesaler.

The boards of both companies have approved the acquisition, but it would still need regulatory approval.

Shares of Sysco Corp. tumbled 13% Monday to $71.26, an initial decline some industry analysts expected given the cost of the deal.

Houston researcher builds radar to make self-driving cars safer

eyes on the road

A Rice University researcher is giving autonomous vehicles an “extra set of eyes.”

Current autonomous vehicles (AVs) can have an incomplete view of their surroundings, and challenges like pedestrian movement, low-light conditions and adverse weather only compound these visibility limitations.

Kun Woo Cho, a postdoctoral researcher in the lab of Rice professor of electrical and computer engineering Ashutosh Sabharwal, has developed EyeDAR to help address such issues and enhance the vehicles’ sensing accuracy. Her research was supported in part by the National Science Foundation.

The EyeDAR is an orange-sized, low-power, millimeter-wave radar that could be placed at streetlights and intersections. Its design was inspired by that of the human eye. Researchers envision that the low-cost sensors could help ensure that AVs always pick up on emergent obstacles, even when the vehicles are not within proper range for their onboard sensors and when visibility is limited.

“Current automotive sensor systems like cameras and lidar struggle with poor visibility such as you would encounter due to rain or fog or in low-lighting conditions,” Cho said in a news release. “Radar, on the other hand, operates reliably in all weather and lighting conditions and can even see through obstacles.”

Signals from a typical radar system scatter when they encounter an obstacle. Some of the signal is reflected back to the source, but most of it is often lost. In the case of AVs, this means that "pedestrians emerging from behind large vehicles, cars creeping forward at intersections or cyclists approaching at odd angles can easily go unnoticed," according to Rice.

EyeDAR, however, works to capture lost radar reflections, determine their direction and report them back to the AV in a sequence of 0s and 1s.

“Like blinking Morse code,” Cho added. “EyeDAR is a talking sensor⎯it is a first instance of integrating radar sensing and communication functionality in a single design.”

After testing, EyeDAR was able to resolve target directions 200 times faster than conventional radar designs.

While EyeDAR currently targets risks associated with AVs, particularly in high-traffic urban areas, researchers also believe the technology behind it could complement artificial intelligence efforts and be integrated into robots, drones and wearable platforms.

“EyeDAR is an example of what I like to call ‘analog computing,’” Cho added in the release. “Over the past two decades, people have been focusing on the digital and software side of computation, and the analog, hardware side has been lagging behind. I want to explore this overlooked analog design space.”

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