Tim De Chant, a senior climate reporter at TechCrunch+, dives into the world of climate tech and the startup landscape striving to address urgent environmental issues. He discusses the challenges of securing venture capital despite promising innovations, like battery recycling and fusion energy breakthroughs. The conversation touches on the excitement around recent experiments with superconductors and space-based solar power concepts, showcasing hopeful pathways for renewable energy amidst troubling climate transformations.
Climate tech startups are attracting large investments and scaling their operations, showing promise in creating a more sustainable future.
The Inflation Reduction Act in the US has positioned the country as a leader in climate action, investing heavily in climate solutions and driving further innovation in the sector.
Deep dives
Climate Tech Startups Making an Impact
Climate tech startups are making strides in making a positive impact on the planet. These companies are starting to break out of early-stage rounds and move into later stages, attracting large investments and scaling their operations. For example, Acadia is helping people switch to renewable power providers and offering community solar options. Redwood Materials is raising significant funds for battery recycling, which is crucial as electric cars become more popular. While there is still a long way to go, startups in the climate tech space are showing promise in creating a more sustainable future.
The Inflation Reduction Act's Impact on Climate Tech
The Inflation Reduction Act (IRA) in the United States has had a significant impact on climate tech. With $369 billion worth of stimulus and incentives, the IRA aims to reduce carbon pollution by 40% by the end of the decade. This has positioned the US as a leader in climate action, moving from being a laggard to actively supporting climate tech and clean energy initiatives. While there are some concerns from the EU about the US favoring domestic industries, the IRA represents a substantial investment in climate solutions and has the potential to drive further innovation and progress in the sector.
Progress and Challenges in Fusion Power
Fusion power is showing promise as a potential breakthrough in clean energy, although it is still a few years away from commercial viability. In recent years, there has been significant investment in fusion startups, with billions of dollars flowing into the sector. Companies like Commonwealth Fusion Systems have made progress, raising substantial funding and developing high-temperature superconducting magnets. While there is still a long way to go, the fusion industry is gaining momentum, with plans to reach commercial-scale pilot plants in the early 2030s. Fusion power has the potential to revolutionize the energy sector and provide a sustainable and abundant source of clean energy.
The Role of Individuals in Tackling Climate Change
While systemic change is essential to combat climate change, individuals can also play a role in making a positive impact. Some steps individuals can take include reducing consumption, switching to renewable power providers, investing in solar panels, and adopting energy-efficient technologies like heat pumps. While personal actions alone won't solve the climate crisis, they can contribute to creating a more sustainable future. Additionally, supporting startups and companies that prioritize sustainability can also have an indirect impact on the environment. It is important for individuals, governments, and businesses to work together to address climate change effectively.
On that last point, perhaps you have gone outside recently. Extreme weather around the world, warming oceans, fires — it's a mess out there. That's the bad news. The good news is that a number of startups are working hard to build new technologies that could shoothe our struggling planet. And perhaps make a lot of money in the process.
Here's what we got into on the show:
Climate tech venture capital activity. Why aren't we seeing more capital despite some interesting activity.
Credits: Equity is produced by Theresa Loconsolo with editing by Kell. Bryce Durbin is our Illustrator. We'd also like to thank the audience development team and Henry Pickavet, who manages TechCrunch audio products.