Texas, You Might Have An Energy Problem

If there’s one industry that has become synonymous with the identity of Texas, it’s energy. Texas has long been the driving force of U.S. energy dominance with Houston often referred to as the Energy Capital of the World. Over the past decade, oil and gas production in the state has generated billions in revenue, created thousands of jobs, and built critical infrastructure, all while helping the U.S. and its allies meet growing global energy demand.

Energy Drives The Texas Economy

In 2024 alone, the Texas oil and natural gas industry paid a record $27.3 billion in state, local taxes and real state royalties. These funds directly support the funding of public schools, roads and infrastructure, first responders and more for the state.

That demand is only increasing. Geopolitical tensions, particularly the Russia-Ukraine conflict, have forced many countries to move away from Russian natural gas and turn to U.S. producers for reliable and affordable alternatives. Domestically, a growing population and the rapid rise in energy-intensive data centers are also pushing U.S. energy demand to historic highs, especially in states like Texas, now among the top states with emerging data center markets.