The U.S. Department of Energy administers a range of business programs that extend beyond the SBIR/STTR grants most people associate with DOE. For Texas — the largest energy-producing state in the nation with dominant positions in oil and gas, wind, solar, petrochemicals, and emerging hydrogen and carbon capture sectors — DOE programs represent a significant source of non-dilutive funding and incentives.
DOE SBIR/STTR Programs
DOE operates one of the largest SBIR/STTR programs in the federal government. Detailed guide to DOE SBIR for Texas energy companies. Phase I awards provide up to $250,000 for feasibility research, while Phase II awards provide up to $1.6 million for prototype development. Topic areas span oil and gas technology, renewable energy, energy storage, grid modernization, carbon capture, hydrogen, nuclear, and industrial efficiency.
Inflation Reduction Act (IRA) Clean Energy Tax Credits
The IRA created or expanded several tax credits directly relevant to Texas energy businesses:
- Production Tax Credit (PTC): Per-kilowatt-hour credit for electricity produced from qualifying renewable energy sources including wind and solar
- Investment Tax Credit (ITC): Percentage-of-cost credit for qualifying energy property installations including solar, geothermal, and energy storage
- Section 45X Advanced Manufacturing Production Credit: Credit for domestic production of clean energy components including solar cells, wind components, battery cells, and critical minerals processing
- Section 45V Clean Hydrogen Production Credit: Credit up to $3 per kilogram for clean hydrogen production, directly relevant to Texas hydrogen hub development
- Section 48C Advanced Energy Project Credit: Competitive credit for investments in clean energy manufacturing and critical minerals processing facilities
DOE Loan Programs Office
DOE's Loan Programs Office provides loans and loan guarantees for innovative energy projects:
- Title 17 Clean Energy Financing: Loan guarantees for innovative clean energy projects that use new or significantly improved technology
- Advanced Technology Vehicles Manufacturing (ATVM): Loans for manufacturing advanced technology vehicles and components
- Tribal Energy Loan Guarantee Program: Loan guarantees for tribal energy development projects
DOE Office of Technology Transitions
DOE's Office of Technology Transitions helps move technology from national laboratories to the private sector. Texas businesses can access:
- Technology licensing: License DOE-funded technology from national labs for commercial development
- Cooperative Research and Development Agreements (CRADAs): Partner with national labs on joint R&D projects
- Agreements for Commercializing Technology (ACTs): Flexible partnership agreements between businesses and national labs
DOE Competitive Funding Opportunities
DOE program offices regularly issue Funding Opportunity Announcements (FOAs) for specific technology areas. Recent areas of focus relevant to Texas include:
- Carbon capture, utilization, and storage
- Regional clean hydrogen hubs
- Critical minerals processing
- Grid resilience and reliability
- Industrial decarbonization
- Geothermal energy development
- Advanced nuclear technology
How Texas Businesses Should Approach DOE Programs
- Identify your technology fit: DOE programs are organized by technology area. Match your business to the specific DOE program office that covers your technology.
- Monitor EERE funding: The Office of Energy Efficiency and Renewable Energy (EERE) posts FOAs on EERE-Exchange.energy.gov.
- Check SBIR.gov: Review current DOE SBIR topics for R&D funding opportunities.
- Consult a tax professional: IRA energy tax credits have specific qualification requirements including prevailing wage and apprenticeship provisions.
Bottom Line
DOE programs for Texas businesses go far beyond research grants. The combination of SBIR/STTR funding, IRA tax credits, loan guarantees, and competitive FOAs creates multiple pathways for Texas energy businesses to access federal support.
Our screening report identifies which DOE and other federal programs may apply to your Texas business. Start your free screening →