#152 Policy x IRA, Carbon Capture, Commercializing DeepTech, Hardware Headwinds & More w/ Adam Goff (8 Rivers)
Feb 1, 2024
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Adam Goff, the senior vice president of strategy at 8 Rivers, shares his insights on clean technology commercialization. He discusses the critical role of policy in advancing carbon capture, particularly the 45Q tax credit. Goff delves into the evolution of 8 Rivers, focusing on their innovative clean hydrogen technology. He also highlights the unique challenges of the climate tech hardware sector, stressing the importance of systematic approaches and understanding market dynamics for effective innovation.
Government policy significantly influences the climate tech sector by establishing regulatory frameworks and incentives that shape market opportunities for technologies like carbon capture.
Successful commercialization of innovations in climate tech requires hands-on involvement, collaboration with industry experts, and a structured approach to technology development and licensing.
Deep dives
The Importance of Comprehensive Development in Climate Tech
In climate tech, companies often find themselves needing to take their innovations from concept to full development, as initial expectations might not align with reality. Many founders initially believe they can hand off their ideas for others to build and demonstrate, but hands-on involvement is often essential. The journey requires understanding the intricate details involved in capital-efficient development while leveraging existing industrial expertise. Collaborating with seasoned professionals from related industries, such as mining and manufacturing, can provide invaluable insights that enhance the development process.
Role of Policy in Accelerating Technology Deployment
Government policy plays a pivotal role in the climate tech sector, directly impacting where and how technologies can be deployed. Regulatory frameworks and incentives provide the groundwork for building carbon capture and renewable energy solutions, shaping market opportunities. For example, policies such as tax credits are crucial, as they create favorable conditions for investments in clean technologies like carbon capture. Successful deployment requires not only effective technology but also alignment with robust policy environments to reduce costs and facilitate scaling.
The Unique Business Model of Technology Development
The technology development model utilized by companies like Eight Rivers involves a combination of inventing, commercializing, and licensing advancements in multiple sectors. This portfolio approach allows for risk diversification and provides opportunities for cross-pollination of ideas between different technologies. Successful commercialization typically follows a structured path, where a licensed model generates revenue after proving the technology through pilot projects. Owning a share of projects can also prove lucrative, especially in concentrated areas like power plant development, where long-term agreements can significantly enhance profitability.
Global Perspective on Market Opportunities
Expanding a climate tech business globally is essential, as regulatory environments differ significantly across regions. Companies need to evaluate where initial demonstrations can occur with minimal risk while also considering where future scaling opportunities exist. Collaboration with local partners and learning from industry experts can help navigate the complexities of different markets. Adopting a comprehensive global strategy allows innovators to not just focus on domestic success but to leverage opportunities worldwide in the fight against climate change.
Today, we are joined by Adam Goff, the SVP of Strategy at 8 Rivers, a technology portfolio developer. Think of it like a venture studio but specifically for technology (often chemistry) instead of companies.
He talks us through how that looks and how they commercialize the products, and we also spend a lot of time discussing the role and importance of policy when it comes to clean tech.
----- Topics: **2:10 Intro **4:00 Climate x Policy **10:00 How to Pass Legislation Faster **12:40 History and Structure of Eight Rivers **18:00 The Process of Proving New Tech **22:15 Their Current Technologies **28:30 Raising Money for a Tech Developer **33:20 Commercialization and Revenue Generation **36:45 Selecting your First Site **39:40 How to Understanding Global Regulatory Markets **42:30 Systematizing Building a Hardware Climate Startup **44:00 Future Plans for Eight Rivers
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