Greentech, also known as environmental technology, green technology, cleantech or climate tech, is a hot industry. But what exactly is this growing sector, and why does it matter? Greentech utilizes a combination of environmental science, environmental monitoring, and electronic devices to produce new technology and methods for conserving the natural environment.
Driven by heightened climate concerns, the pursuit of more efficient business practices, and spurred by a regulatory and legislative landscape, there’s no denying that climate-forward businesses are ones to watch. Below are three main greentech trends our PR agency recommends examining: energy consumption, the rise of clean mobility and the growth of climate tech as a hot investment.
Energy Consumption
As part of sustainability initiatives, and to add efficiencies and cost savings, organizations have started to develop strategies that embrace clean/greentech innovations for a better future. Take, for instance, companies like Digi that are creating solutions that gather data on their energy usage and find ways to minimize their environmental impact and ultimately cut costs. Or Dandelion Energy, an environmental tech company dedicated to providing homes with clean energy by replacing fossil-fuel-reliant heating and cooling systems with geothermal heat pumps to provide homeowners with a reliable source of renewable heating and cooling year-round.
The Rise of Clean Mobility
Clean mobility is already evident through tech innovations we encounter every day, like electric vehicles and e-bikes. Global electric car sales more than doubled over the past twelve months, reaching 6.6 million, compared to just 3 million in 2020. Clean mobility has moved from niche to mass market recently, and that’s not surprising considering their potential to reduce the heavy burden of fossil fuel pollution produced by gas-powered vehicles every day. The Inflation Reduction Act is also prompting those in the auto industry to invest even more in clean options and build them in the United States in order to sway away from fossil fuels and reduce dependence on foreign suppliers.
In 2021, General Motors announced that it would cease production of combustion engine vehicles by 2035. This decision can ultimately push other automakers and leaders around the road to follow suit. For example, recently, California implemented the “Advanced Clean Cars II” rule that establishes a year by year roadmap to achieve 100% zero emission vehicle sales by 2035.
Climate Tech as a Hot Investment
The marketplace demand, coupled with government mandates and the industry’s own objectives to reduce their carbon footprints add up to this sector being a popular investment category. In fact, a recent report has revealed that CleanTech startups have raised a record-breaking $32billion globally in 2021, more than quadrupling global CleanTech investment in 2016. More recently, climate provisions in President Biden’s The Inflation Reduction Act of 2022, include a commitment to invest in domestic energy production and manufacturing, reduce carbon emissions by roughly 40 percent by 2030 and make significant down payments on energy security and climate progress.
The uptick in green technology adoption will likely spur other businesses to follow suit. Green/clean tech trends, especially sustainability, have been influencing consumer preferences and swaying market demands for responsible ecological practices in both B2C and B2B industries. As these topics garner more attention from consumers and the media, there is a great opportunity for businesses to join the conversation and create a more sustainable future.
Learn more here about how Kite Hill PR is joining the green/clean tech trends through our Tech for Good initiative.
- Liana Zamora, Account Associate