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governance is for this major economic hub in
Houston (Fig.  4.2). There is no single entity
which governs the petrochemical and logistics
industry in this region, below the level of the
State of Texas (Table  4.2). The Houston Ship
Channel is a 52-mile federal waterway that is the
backbone of the Port of Houston region. The Port
of Houston region is considered the energy capital of the world and is home to a wide array of
petrochemical industries, oil and gas refineries,
and storage facilities for shipping and logistics
companies. Economic activity along the Houston
Ship Channel was estimated at nearly $802 billion, 3.2 million jobs, and $38 billion of tax revenue (Martin Associates 2018). Although
laissez-faire governance can be an enabler for
business development in some instances, it can
become a major liability in other areas. For
example, transportation is an issue which will
affect business efficiency throughout this region.
Since personal cars are sharing the same highways as commercial vehicles, traffic congestion
increases will affect business efficiency in negative ways. From a sustainability perspective, traffic congestion negatively affects the health of
employees, economic output of businesses and
employees, and overall environment, due to
higher air pollution generation from idling vehicles. The State of Texas’ 2012 sunset review of
the Port of Houston Authority challenged the
Port to remake its public reputation and to engage
a wide collection of stakeholders than they were
previously addressing. “The Port of Houston
Authority is a 100-year old organization that has
largely escaped scrutiny and close accountability
because of its location between state, county, and
Fig. 4.2 Port of Houston region
D. B. Abraham
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