Europe is found to be the fastest growing region globally for climate technology (Representational)
London:
According to a new report released in London on Tuesday, India has ranked ninth in the list of top 10 countries for climate technology investment over the past five years and ranked Indian climate tech firms as venture capital (VC) from 2016 to 2021. billion has been received. .
“Five Years On: Global Climate Tech Investment Trends Since the Paris Agreement”, by London & Partners and Dealroom.co, analyzed trends in the sector since the last United Nations Conference (COP) in Paris and before the COP26 summit . Next week in Glasgow.
It found that venture capital investment in climate tech companies globally has skyrocketed since the Paris Agreement, with the US and China in the global top 10 with investments of USD 48 billion and USD 18.6 billion between 2016 and 2021, respectively. are leading. The UK comes fourth with US$4.3 billion, after Sweden with US$5.8 billion.
“Countries around the world need to work together so that we can collectively change business practices and commit to net zero emissions,” said Hemin Bharucha, Country Director, London & Partners – London-based business development agency said.
“The global tech industry plays an important role in accelerating this global change and this is reflected in the rapid growth of VC investment in global climate tech companies. The UK and India are among the top 10 countries for climate tech investment globally. It’s great to see London leading Europe for the number of climate tech companies and dedicated VC funds,” he said.
France finished at No. 5 (USD 3.7bn), Germany No. 6 (USD 2.7bn), Canada No. 7 (USD 1.4bn), Netherlands No. 8 (USD 1.3bn) in the global top 10. ) and Singapore tenth (USD 700m), followed by India.
Overall, global climate tech VC investment increased from US$6.6 billion in 2016 to US$32.3 billion in 2021, nearly five times as much.
According to the report, which analyzes technology companies working to reduce greenhouse gas emissions or address the impacts of climate change, the 2021 investment level for global climate tech investment has already exceeded the full 2020, Which demonstrates the importance of the global tech industry in the fight. Against climate change.
Europe is found to be the fastest growing region globally for climate technology, with European VC investments up seven times this year compared to 2016 (from USD 1.1 billion to USD 8 billion).
In Europe, London is described as one of the world’s most advanced ecosystems for climate technology, with its start-ups having raised US$3.3 billion since 2016, 16 percent of Europe’s total. London is also home to 416 climate tech companies, the largest cluster in Europe.
“The UK is well on its way to becoming a climate tech powerhouse combining world-leading research, a thriving ecosystem and creative entrepreneurs who are using technology to solve the most pressing issue in our lifetimes,” said Remus said Brett, partner at VC firm LocalGlobe.
“It should come as no surprise that investors in Europe and around the world are paying attention to startups and scaleups being built in London and the rest of the country. With continued investment and the right support, these companies will have the tools they need. They are needed to successfully reduce greenhouse gas emissions and fight the climate crisis,” he said.
Growth in climate technology is being driven by significant investments in transportation and energy solutions, which account for a total of 78 percent of global climate tech investments in 2021. A similar trend is reflected in London, with 60 per cent of VC investment taking place in the climate. Tech is moving into energy companies, while enterprise software, circular economy and food start-ups are also attracting a growing share of investment.
London ranks second globally after the San Francisco Bay Area for the number of funding rounds raised by climate tech start-ups, demonstrating an active early stage ecosystem in London, according to London & Partners.
While climate tech start-ups in London have access to a deep pool of dedicated climate tech capital, the city has 18 dedicated climate tech VC firms, more than anywhere else in Europe, the city’s publicity agency said.
(This story has not been edited by NDTV staff and is auto-generated from a syndicated feed.)
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