Largely known for its plentiful fossil fuel supply, the Lone Star State is also rich in renewable energy potential with abundant solar, wind, and biomass resources. While fossil fuels remain an important part of the state and national economy, investment in renewable energy and energy efficiency is growing. Despite what you might hear to the contrary, there is no doubt that the vast majority of domestic energy needs will be met by traditional, hydrocarbon sources (oil, natural gas, coal, etc.) for the foreseeable future. Nonetheless, there are enormous opportunities in Texas for the next generation of resources as well. Texas leads the nation in wind power generation capacity with over 2,000 wind turbines in West Texas alone, and substantial new wind generation capacity under construction in other parts of the state. In addition, Texas is home to the largest wind power facility in the world. The Roscoe Wind Complex, just recently opened, generates 781.5 MW at full capacity, enough to power 230,000 homes. The state is also home to the second largest wind power facility in the world, Horse Hollow Wind Energy Center, at 735.5 MW. Wind energy throughout the United States increased by 1,152% from 1995 to 2008. Texas showed a much larger investment in wind which grew nearly 5,000% from 1999 to 2008 from 116 MW to 5,871 MW. The latest data from the Energy Information Administration reveal that Texas represents nearly 30% of wind power capacity in the nation (measured by net summer capacity), and 27% of net generation of wind in the nation for 2008.
In addition, Texas is developing wind transmission capacity in order to allow wind generation to reach its full potential. The goal is to eventually reach some 18,456 MW of power, which would provide electricity to nearly four million Texas residents, many in rapidly-growing metropolitan areas. Furthermore, Texas is one of the top states in the nation for solar potential, with high levels of direct solar radiation in parts of West Texas. Texas’ large agricultural and forestry sectors have the potential for an abundance of biomass energy resources. Unused oil and gas wells provide geothermal sources as well. One factor at work in spurring development of renewable resources is the introduction of competition in the retail portion of the state’s electric utility industry. Since 2002, most of Texas has been functioning under a system of competitive, choice-driven electric companies. In addition to consumer choice, which allows consumers some latitude in deciding the source of their energy purchases, the Texas law required that competitive electric service providers sell a minimum amount of renewable energy. A number of colleges and universities already provide training in renewable energy. A trained workforce is needed to attract investment in renewable energy, making research and educational institutions across the state essential to realizing Texas’ renewable energy potential. Utilizing funds from the American Recovery and Reinvestment Act (ARRA), the US Department of Energy has allocated funding for research in a number of areas including advanced energy technology, increased renewable energy capacity and high-tech applications for efficiency, and development of fossil energy. Other funding opportunities include alternative-fueled vehicle programs, clean diesel programs, clean coal initiatives, and modernizing electric grids. Clean energy industries represent a notable potential growth area for Texas. With links to other state industries ranging from high-tech manufacturing to nanotechnologies, the clean energy sector is likely to emerge as a significant source of future jobs. In 2007, there were roughly 770,000 clean energy jobs throughout the US and 68,203 clean businesses. Texas was home to 4,802 of those businesses with 55,646 jobs and represented 7.2% of the clean energy jobs in the nation. The state also attracted $717 million in venture capital funds for clean technology from 2006 to 2008, representing 5.7% of all venture capital invested in clean energy in the US. Recent allocations to the state through the American Recovery and Reinvestment Act of 2009 are aimed at improving energy efficiency and reducing consumption throughout Texas. Investments in all levels of government, as well as in educational programs, creating not only an informed public but a skilled workforce, have started Texas on a road to realizing its full potential in renewable energy and energy efficiency. Renewable energy, coupled with already existing technology, can help Texas meet the energy needs of a growing population and economy while creating a skilled labor force, attracting new venture capital, and spurring economic growth through an expanding clean energy sector.