Redefining Energy 162. Industrial Climate Solutions – Bridging the “Missing Middle” - Dec24
Dec 9, 2024
Shaun Kingsbury, CEO of Just Climate and former leader in UK offshore wind, dives into the complexities of investing in high-emission industries like steel and cement. He discusses how Just Climate bridges the funding gap in climate solutions with innovative financing strategies. Shaun emphasizes the critical balance between profitability and sustainability, highlighting the need for impactful returns. The conversation also touches on the cyclical nature of clean tech investments, balancing short-term challenges with long-term optimism.
AI Snips
Chapters
Transcript
Episode notes
Bridging the Missing Middle
- Traditional financing models (VC, growth, buyout, infrastructure) often struggle to meet the needs of complex climate solutions.
- Just Climate aims to bridge this gap with flexible capital stacks, targeting hard-to-decarbonize sectors.
Offshore Wind's Success Story
- Shaun Kingsbury recalls the UK's initial skepticism towards offshore wind power due to high costs and lack of a track record.
- Over time, investments and successful projects drove down costs, making offshore wind a viable asset class.
Green Steel's Path to Viability
- H2 Green Steel (Stegra) is building the first large-scale green steel plant in Europe in 30 years, using hydrogen and renewable energy.
- Securing long-term off-take agreements with customers willing to pay a premium for green steel is key for project financing.