Skip to main content

Energy 2.0 and the Role Houston will Play

Published Mar 06, 2020 by A.J. Mistretta


podcast image.jpg

Bayou Business Download is a podcast from the Greater Houston Partnership that dives into the data and analytics influencing the region’s economy and the core business sectors that drive Houston’s growth. 

On this edition of Bayou Business Download, we chat with Partnership Director of Research Roel Martinez about Energy 2.0. We explore how we define this segment of the industry and what Houston is doing to help shape its future. 

Here are 3 key takeaways from the conversation: 

Energy Transition 

Today, fossil fuels generate up to 80 percent of the world's energy. But there is growing demand for more carbon-neutral energy. The world's energy mix will change and Houston will have to change with it. At the same time, by 2040 the global population will grow by 1.5 billion and we are likely going to double the number of cars on the road. That kind of growth means we will need a lot more energy. This prompts a dual challenge: meeting the world's growing energy while at the same time making energy cleaner, greener and lower carbon. As the energy capital of the world, Houston has to lead the way on addressing that dual challenge. 

Digital Disruption

Part of Energy 2.0 is the actual energy being created, renewables and other low or no-carbon fuels. But another factor is the digital disruption that's affecting many industries and the impact of that is just starting. Technologies like AI, predictive analytics, machine learning, robotics, IOT and others are finding applications in both renewables and traditional oil and gas. Another emerging technology is carbon capture use and storage (CCUS). This is capturing carbon emissions, either at the source or from the air, transporting that carbon and storing it so that it is not in the open environment. The technology to do this effectively is still in the early stages. At the same time, we need to work to update our energy grid, the world's largest machine, from an antiquated system to a computerized, modern smart grid. 

The Renewable Landscape 

Texas ranks No. 1 in the nation for both installed and under construction wind projects. One-in-four U.S. wind energy jobs are here in Texas; there are 157 online wind projects and 25 percent of the state's energy is wind generated. While the actual wind farms are not here in the Houston area, many of them are managed from here in Houston. On the solar front, Texas is No. 5 in the nation and about 10,000 solar-related jobs, mostly in residential installation. There are currently about 100 solar companies in Houston including Sunnova, First Solar, Distributed Power Partners, and Texas Outfitters among others. 

Learn more about Houston's effort to lead the energy transition

Listen to this and future episodes of the Bayou Business Download podcast here. Get updates on key economic indicators and other data and analysis from the Partnership Research team here. Find more on these issues in the February edition of Economy at a Glance
 

Related News

Digital Technology

Houston Advances Global Growth Strategy at VivaTech 2025

6/17/25
As Houston continues to expand its role as a global center for innovation and investment, the Greater Houston Partnership and Rice University led a strategic trade mission to Paris, France, to elevate the region’s presence at Viva Technology (VivaTech) 2025, the largest technology and innovation summit in Europe.  With 180,000 international attendees, VivaTech offered direct access to global business leaders, policymakers and investors exploring high-growth markets. Houston’s activation sparked opportunities for potential partnerships and drew attention from notable leaders, including French President Emmanuel Macron and Vanessa Wyche, Acting Administrator of NASA.   “They see Houston as one of the cities of the future, and they’re backing that up with their resources and attention,” stated John Cypher, the Partnership’s Vice President of International Investment and Trade. “We saw a lot of potential for partnerships that could bring more international startups to Houston and connect founders to new European markets.”  Beyond VivaTech, the delegation met with key players in France’s innovation and finance sectors, including Banque Publique d’Investissement France, Mouvement des Entreprises de France, and Station F.   The week-long trade mission also highlighted Houston’s global academic leadership with a guided visit to Rice University’s Global Paris Center, the university’s first international campus. “It’s a remarkable moment where Rice shows the world that we are an entrepreneurial-, science- and engineering-based tech accelerator,” said Caroline Levander, Rice’s Vice President for Global Strategy. The center represents a broader vision to connect Houston’s educational and entrepreneurial resources to Europe’s innovation ecosystem. The mission culminated with a reception at the former embassy of the Republic of Texas, celebrating the enduring ties between Texas and France and reinforcing a shared commitment to innovation and growth.   Houston’s role at VivaTech 2025 highlights the city’s innovation and role as a major hub for foreign direct investment. Strengthening international business ties remains a significant part of our growing economy and a way to spur further investment and advance innovation for our region.   Learn more about Houston’s growing role in the global economy.  
Read More
Economic Development

Report: Houston's Global Strengths Position Region to Navigate Trade Uncertainty

5/1/25
HOUSTON (May 1, 2025)—As evolving trade policies and geopolitical tensions create economic uncertainty in 2025, Houston enters the year with a strong foundation. According to the Greater Houston Partnership’s newly released 2025 Global Houston report, the region led the U.S. in exports last year – shipping $180.9 billion in goods, more than any other metro area. Click to expand   The report, based on 2024 data compiled prior to this year’s policy changes, highlights how Houston’s infrastructure, industrial base and deep global relationships position the region to better navigate trade disruptions.  “As the U.S. seeks fairer trade arrangements, the uncertainty is impacting some long-term investment decisions,” Partnership President and CEO Steve Kean said. “At the same time, we’re seeing increased interest in the Houston metro as a destination for onshoring. Our region enters this period from a position of strength – we’re not only the nation’s top exporting metro, but also a leader in population and GDP growth. Houston is well-positioned to adapt, respond and benefit from global economic shifts.” Notably, the Houston/Galveston Customs District is one of only 10 in the U.S. where exports exceed imports – a reflection of the region’s strong global demand and production capacity. Key Metrics from the Global Houston Report: #1 U.S. Exporting Metro: $180.9B in goods exported in 2024 (3.1% increase from 2023) Record Customs District Tonnage: 432.6M metric tons handled, ranking No. 1 nationally Total Trade Value: $376.3B through Houston/Galveston, ranking No. 4 among U.S. districts Foreign Direct Investment: 81 foreign-owned companies announced plans to relocate, expand or start operations; a 56% increase from 2023 when 52 international projects were announced. (increase is partially due to improved data sourcing) Global Connectivity: 3.1M international passengers traveled through Houston airports (record; a 4.2% increase over the 12.6 million passengers in ’23) 3.4M container units processed at Port Houston (record) Migration-Driven Workforce Growth: Nearly 65% of the region’s 2024 population growth came from international migration Energy Leads in Exports Energy continues to play an outsized role in Houston’s international economy. Oil and refined petroleum products accounted for more than half (52.1%) of all trade value flowing through the Houston/Galveston Customs District in 2024 – totaling $196.1B, with 88% of that volume heading overseas.  According to the U.S. Energy Information Administration (EIA), global oil demand is expected to reach 103.6 million barrels per day in 2025 – a new record, though below earlier projections. At the same time, lower forecasted oil prices and emerging trade barriers could prompt Texas producers to scale back new drilling, potentially reducing export volumes through the Houston/Galveston District. Top 10 Houston Trading Partners in 2024: Netherlands – $31.9B (↑ 23%) | Driven by oil exports amid EU energy diversification China – $30.1B (↓ 7%) | Key supplier of industrial equipment and electronics Mexico – $24.9B (↓ 13%) | Most integrated supply chain partner South Korea – $23.8B (↑ 4%) Germany – $16.9B (↑ 10%) Brazil – $16.8B (↑ 6%) United Kingdom – $15.0B (↑ 6%) Japan – $13.5B (↑ 3%) India – $13.2B (↓ 0.8%) Canada – $11.5B (↑ 22%) About the Report Produced annually by the Greater Houston Partnership’s Research team, the Global Houston Report analyzes the region’s international trade, foreign investment, migration trends and sector strengths. It serves as a key resource for companies navigating an increasingly complex global business landscape. Access the full report, here. CONTACT:           Brina Morales                                                 Sr. Director, Communications     bmorales@houston.org  
Read More

Related Events

Demography

2025 Houston Facts

The Greater Houston Partnership invites you to Houston Facts on Wednesday, August 6 to unveil the highly anticipated 2025 Houston Facts publication and dive deeper into…

Learn More
Learn More
Executive Partners