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Clean technology

Clean technology, also called cleantech or climatetech, is any process, product, or service that reduces negative environmental impacts through significant energy efficiency improvements, the sustainable use of resources, or environmental protection activities. Clean technology includes a broad range of technology related to recycling, renewable energy, information technology, green transportation, electric motors, green chemistry, lighting, grey water, and more. Environmental finance is a method by which new clean technology projects can obtain financing through the generation of carbon credits. A project that is developed with concern for climate change mitigation is also known as a carbon project.

Fully electric car charging its battery at a public charging station.
Renewable transportation fuel composed of organic waste. Alternative fuel strategies drastically lowers carbon emissions and air pollution.

Clean Edge, a clean technology research firm, describes clean technology "a diverse range of products, services, and processes that harness renewable materials and energy sources, dramatically reduce the use of natural resources, and cut or eliminate emissions and wastes." Clean Edge notes that, "Clean technologies are competitive with, if not superior to, their conventional counterparts. Many also offer significant additional benefits, notably their ability to improve the lives of those in both developed and developing countries."

Wind turbines in a field in Spain.

Investments in clean technology have grown considerably since coming into the spotlight around 2000. According to the United Nations Environment Program, wind, solar, and biofuel companies received a record $148 billion in new funding in 2007 as rising oil prices and climate change policies encouraged investment in renewable energy. $50 billion of that funding went to wind power. Overall, investment in clean-energy and energy-efficiency industries rose 60 percent from 2006 to 2007.[1] In 2009, Clean Edge forecasted that the three main clean technology sectors, solar photovoltaics, wind power, and biofuels, would have revenues of $325.1 billion by 2018.[2]

According to an MIT Energy Initiative Working Paper published in July 2016, about a half of over $25 billion funding provided by venture capital to cleantech from 2006 to 2011 was never recovered. The report cited cleantech's dismal risk/return profiles and the inability of companies developing new materials, chemistries, or processes to achieve manufacturing scale as contributing factors to its flop.[3]

Clean technology has also emerged as an essential topic among businesses and companies. It can reduce pollutants and dirty fuels for every company, regardless of which industry they are in, and using clean technology has become a competitive advantage. Through building their Corporate Social Responsibility (CSR) goals, they participate in using clean technology and other means by promoting Sustainability.[4] Fortune Global 500 firms spend around $20 billion a year on CSR activities in 2018.[5]

Definition edit

 
Farmer using crops for biofuel

Cleantech products or services are those that improve operational performance, productivity, or efficiency while reducing costs, inputs, energy consumption, waste, or environmental pollution. Its origin is the increased consumer, regulatory, and industry interest in clean forms of energy generation—specifically, perhaps, the rise in awareness of global warming, climate change, and the impact on the natural environment from the burning of fossil fuels. Cleantech is often associated with venture capital funds and land use organizations. The term has historically been differentiated from various definitions of green business, sustainability, or triple bottom line industries by its origins in the venture capital investment community and has grown to define a business sector that includes significant and high growth industries such as solar, wind, water purification, and biofuels.[6]

Nomenclature edit

While the expanding industry has grown rapidly in recent years and attracted billions of dollars of capital, the clean technology space has not settled on an agreed-upon term. Cleantech, is used fairly widely, although variant spellings include ⟨clean-tech⟩ and ⟨clean tech⟩. In recent years, some clean technology companies have de-emphasized that aspect of their business to tap into broader trends, such as smart cities.[7]

Origins of the concept edit

The idea of cleantech first emerged among a group of emerging technologies and industries, based on principles of biology, resource efficiency, and second-generation production concepts in basic industries. Examples include: energy efficiency, selective catalytic reduction, non-toxic materials, water purification, solar energy, wind energy, and new paradigms in energy conservation. Since the 1990s, interest in these technologies has increased with two trends: a decline in the relative cost of these technologies and a growing understanding of the link between industrial design used in the 19th century and early 20th century, such as fossil fuel power plants, the internal combustion engine, and chemical manufacturing, and an emerging understanding of human-caused impact on earth systems resulting from their use (see articles: ozone hole, acid rain, desertification, climate change, and global warming).

Investment worldwide edit

During the last twenty years, regulatory schemes and international treaties have been the main factors that defined the investment environment of clean technologies.[8] Investments in renewable sources as well as the technologies for energy efficiency represent a determining factor in the investments made under the context of the Paris Agreement and the fight against climate change and air pollution. Among financing of the public sector, the government has been using financial incentives and regulations that are targeted at the private sector. This collectively move is the cause of the continued increase in the clean energy capacity. The investments in renewable electricity generation technologies in 2015 were over $308 billion USD and in 2019 this figure rose to $311 billion USD.[9]

Startups with new technology based innovation are considered to be an attractive investment in a clean technology sector. Venture capital and crowdfunding platforms are crucial sources for developing ventures that lead to the introduction of new technologies. In the last decade, startups have significantly contributed to the increase in installed capacity for solar and wind power. The trendsetting firms that design new technologies and devise strategies for the industry to excel and to be more resilient in the face of threats.[10][11]

Annual cleantech investment in North America, Europe, Israel, China, India
Year Investment ($mil)
2001
506.8
2002
883.2
2003
1,258.6
2004
1,398.3
2005
2,077.5
2006
4,520.2
2007
6,087.2
2008*
8,414.3
*2008 data preliminary
Source: Cleantech Group[12]

In 2008, clean technology venture investments in North America, Europe, China, and India totaled a record $8.4 billion. Cleantech Venture Capital firms include NTEC, Cleantech Ventures, and Foundation Capital. The preliminary 2008 total represents the seventh consecutive year of growth in venture investing, widely recognized as a leading indicator of overall investment patterns.[12] Investment in clean technology has grown significantly, with a considerable impact on production costs and productivity, especially, within energy intensive industries. The World Bank notes that these investments are enhancing economic efficiency, supporting sustainable development objectives, and promoting energy security by decreasing dependence on fossil fuel.[13] China is seen as a major growth market for cleantech investments currently, with a focus on renewable energy technologies.[14] In 2014, Israel, Finland and the US were leading the Global Cleantech Innovation Index, out of 40 countries assessed, while Russia and Greece were last.[15] Renewable energy investment has achieved substantial scale with annual investments around $300 billion. This volume of investment is fundamental to the global energy transition and remains in spite of an R&D funding plateau, representing the sector’s healthy expansion and appreciation of renewable technology’s promise. Several journals offer in-depth analyses and forecasts of this investment trend, stressing its significant role in attainment of the world energy and climate targets.[16] With regards to private investments, the investment group Element 8 has received the 2014 CleanTech Achievement award from the CleanTech Alliance, a trade association focused on clean tech in the State of Washington, for its contribution in Washington State's cleantech industry.[17] Strategic investments in clean technologies within supply chains are increasingly influenced by sustainable market forces. These investments are vital for manufacturers, enhancing not only the sustainability of production processes, but, also encouraging a comprehensive transition towards sustainability across the entire supply chain. Detailed case studies and industry analyses highlight the economic and environmental benefits of such strategic investments.[18] According to the published research, the top clean technology sectors in 2008 were solar, biofuels, transportation, and wind. Solar accounted for almost 40% of total clean technology investment dollars in 2008, followed by biofuels at 11%. In 2019, sovereign wealth funds directly invested just under US$3 billion in renewable energy .[19]

 
Comparative Growth in Energy Capacity by Source from 2000 to 2020: A Surge in Renewable Energy Investments[20]

The 2009 United Nations Climate Change Conference in Copenhagen, Denmark was expected to create a framework whereby limits would eventually be placed on greenhouse gas emissions. Many proponents of the cleantech industry hoped for an agreement to be established there to replace the Kyoto Protocol. As this treaty was expected, scholars had suggested a profound and inevitable shift from "business as usual."[21] However, the participating States failed to provide a global framework for clean technologies. The outburst of the 2008 economic crisis then hampered private investments in clean technologies, which were back at their 2007 level only in 2014. The 2015 United Nations Climate Change Conference in Paris is expected to achieve a universal agreement on climate, which would foster clean technologies development.[22] On 23 September 2019, the Secretary-General of the United Nations hosted a Climate Action Summit in New York.[23]

In 2022 the investment in cleantech (also called climatetech) boomed. "In fact, climate tech investment in the 12 months to Q3 2022 represented more than a quarter of every venture dollar invested, a greater proportion than 12 of the prior 16 quarters."[24]

Implementation worldwide edit

India is one of the countries that have achieved remarkable success in sustainable development by implementing clean technology, and it became a global clean energy powerhouse. India, who was the third-largest emitter of greenhouse gases, advanced a scheme of converting to renewable energy with sun and wind from fossil fuels. This continuous effort has created an increase in the country's renewable energy capacity (around 80 gigawatts of installed renewable energy capacity, 2019), with a compound annual growth rate of over 20%. India’s ambitious renewable energy targets have become the model for a swift clean energy shift. The government aimed to reach a 175 GW capacity of renewable energy up to 2022. Thus, included a big contribution from wind (60 GW) and solar energy (100 GW).[25] By steadily increasing India's renewable capacity, India is achieving the Paris Agreement with a significant reduction in producing carbon emissions.[26] Adopting renewable energy not only brought technological advances to India, but it also impacted employment by creating around 330,000 new jobs by 2022 and more than 24 million new jobs by 2030, according to the International Labour Organization in the renewable energy sector.[27]

In spite of the global successes, the introduction of renewable energy is confronted with hurdles specific to the country or the region. These challenges encompass social, economic, technological, and regulatory. Research shows that social and regulatory barriers are direct factors affecting the deployment of renewable energy, economic barriers however have a more indirect, yet substantial effect. The study emphasises the need for removing these obstacles for renewable energy to become more available and attractive thus benefiting all parties such as local communities and producers.[28]

Despite the prevalence of obstacles, emerging economy countries have formulated creative approaches to deal with the challenges. For example, India, has shown significant progress in the sector of renewable energy, a trend showing the adoption of clean technologies from other countries. The special approaches and problems that every country experiences in the course of the sustainable growth promote useful ideas for further development.[28]

The creation of clean technologies such as battery storage, CCS, and advanced biofuels is important for the achievement of sustainable energy systems. Uninterrupted research and development is critical in improving the productivity of renewable energy sources and in making them more attractive for investment. These developments are a part of the wider goals related to sustainability and addressing climate change.[29]

A further factor that determine the success of clean technology is how it is perceived by public and its social impact. Community involvement and observable benefits of these technologies can influence their adoption and popularity. The idea of shared benefits is created by making the renewable energy solutions environmentally friendly, cost-effective, and beneficial to producers.[30]

Germany has been one of the renewable energy leaders in the world, and their efforts have expedited the progress after the nuclear power plant meltdown in Japan in 2011, by deciding to switch off all 17 reactors by 2022. Still, this is just one of Germany's ultimate goals; and Germany is aiming to set the usage of renewable energy at 80% by 2050, which is currently 47% (2020).[31] Energiewende in Germany is a model of a devoted effort to renewable energy aimed at decreasing the greenhouse gas (GHG) emissions by 80% by 2050 through the rushed adoption of renewable resources. This policy, aimed at addressing the environmental issues and the nationwide agreement on nuclear power abolition, illustrates the essential role of government policy and investment in directing technological adoption and providing a pathway towards the usage of sustainable energy. Obstacles to making the Energiewende a model for the transportation and heating sectors include the integration of renewable energies into existing infrastructure, the economic costs associated with transitioning technologies, and the need for widespread consumer adoption of new energy solutions.[32] Also, Germany is investing in renewable energy from offshore wind and anticipating its investment to result in one-third of total wind energy in Germany. The importance of clean technology also impacted the transportation sector of Germany, which produces 17 percent of its emission. The famous car-producing companies, Mercedes-Benz, BMW, Volkswagen, and Audi, in Germany, are also providing new electric cars to meet Germany's energy transition movement.[33]

Africa and the Middle East has drawn worldwide attention for its potential share and new market of solar electricity. Notably, the countries in the Middle East have been utilizing their natural resources, an abundant amount of oil and gas, to develop solar electricity. Also, to practice the renewable energy, the energy ministers from 14 Arab countries signed a Memorandum of Understanding for an Arab Common Market for electricity by committing to the development of the electricity supply system with renewable energy.[34] Sustainability when combined with clean technology focuses on the central environmental issues of learning how to fulfill the need of Earth’s resources and the requirement for fast industrialization and consuming of the energy. The role of the technological innovations in the development of sustainable development across different fields, such as energy, agriculture, and infrastructure is paramount. The sustainability initiatives utilize contemporary science as well as green technologies of renewable energy sources and efficient energy conversion systems to minimize the environmental effects and promote economic and social welfare. This approach is consistent with sustainable development objectives since it offers measures that do not deplete natural resources but, instead, supply low-emission forms of energy. [35]

United Nations: Sustainable Development Goals edit

 
United Nations: 17 Sustainable Development Goals

The United Nations has set goals for the 2030 Agenda for Sustainable Development, which is called "Sustainable Development Goals" composed of 17 goals and 232 indicators total. These goals are designed to build a sustainable future and to implement in the countries (member states) in the UN. Many parts of the 17 goals are related to the usage of clean technology since it is eventually an essential part of designing a sustainable future in various areas such as land, cities, industries, climate, etc.[36]

  • Goal 6: "Ensure availability and sustainable management of water and sanitation for all"[37]
    • Various kinds of clean water technology are used to fulfill this goal, such as filters, technology for desalination, filtered water fountains for communities, etc.
  • Goal 7: "Ensure access to affordable, reliable, sustainable and modern energy for all"
    • Promoting countries for implementing renewable energy is making remarkable progress, such as:
      • "From 2012 to 2014, three quarters of the world’s 20 largest energy-consuming countries had reduced their energy intensity — the ratio of energy used per unit of GDP. The reduction was driven mainly by greater efficiencies in the industry and transport sectors. However, that progress is still not sufficient to meet the target of doubling the global rate of improvement in energy efficiency."[38]
  • Goal 11: "Make cities and human settlements inclusive, safe, resilient and sustainable"[39]
    • By designing sustainable cities and communities, clean technology takes parts in the architectural aspect, transportation, and city environment. For example:
      • Global Fuel Economy Initiative (GFEI) - Relaunched to accelerate progress on decarbonizing road transport. Its main goal for passenger vehicles, in line with SDG 7.3, is to double the energy efficiency of new vehicles by 2030. This will also help mitigate climate change by reducing harmful CO2 emissions.[40]
  • Goal 13: "Take urgent action to combat climate change and its impacts*"[41]
    • Greenhouse gas emissions have significantly impacted the climate, and this results in a rapid solution for consistently increasing emission levels. United Nations held the "Paris Agreement" for dealing with greenhouse gas emissions mainly within countries and for finding solutions and setting goals.

See also edit

References edit

  1. ^ . Bloomberg News. Archived from the original on 2010-05-25. Retrieved 2017-03-06.{{cite web}}: CS1 maint: archived copy as title (link)
  2. ^ Addison, John (2009-03-11). "Solar, Wind and Biofuels' Impressive Growth Surge in '08". Seeking Alpha. Retrieved 2018-01-03.
  3. ^ Gaddy, Benjamin; Sivaram, Varun; O’Sullivan, Dr. Francis (2016). "Venture Capital and Cleantech: The Wrong Model for Clean Energy Innovation" (PDF). 77 Massachusetts Ave., Cambridge, MA 02139, USA: MIT Energy Initiative.{{cite web}}: CS1 maint: location (link)
  4. ^ Ramanan, Ram (2018-07-04). Introduction to Sustainability Analytics (1 ed.). CRC Press. doi:10.1201/9781315154909. ISBN 9781315154909. S2CID 135252457.
  5. ^ Meier, Stephan; Cassar, Lea (2018-01-31). "Stop Talking About How CSR Helps Your Bottom Line". Harvard Business Review. ISSN 0017-8012.
  6. ^ "What is Cleantech?" – via www.cleantech.org.
  7. ^ "Cleantech Rebrands as 'Smart City' to Attract Venture Dollars". Bloomberg. 28 October 2016 – via www.bloomberg.com.
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  9. ^ Gielen, Dolf; Boshell, Francisco; Saygin, Deger; Bazilian, Morgan D.; Wagner, Nicholas (2019-01-31). "The role of renewable energy in the global energy transformation". Energy Strategy Reviews. 24: 38–50. doi:10.1016/j.esr.2019.01.006.
  10. ^ Shi, Xiutian; Dong, Ciwei; Zhang, Chi; Zhang, Xiaoli (2019-04-01). "Who should invest in clean technologies in a supply chain with competition?". Journal of Cleaner Production. 215: 689–700. doi:10.1016/j.jclepro.2019.01.072.
  11. ^ Fayomi, G.U.; Mini, S.E.; Fayomi, O.S.I.; Odunlami, A.; Oyeleke, Olaide Omowumi (2021). "Sustainability and Clean Technology: A Technological Perspective". IOP Conference Series: Materials Science and Engineering. 1107: 012076. doi:10.1088/1757-899X/1107/1/012076.
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  14. ^ Caprotti F (2009). (PDF). Sustainable Development Law & Policy. pp. 6–10. Archived from the original (PDF) on 2011-06-09.
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  17. ^ "Element 8 Wins 2014 CleanTech Achievement Award". Finance.yahoo.com. 2014-11-12. Retrieved 2016-12-29.
  18. ^ Shi, Xiutian; Dong, Ciwei; Zhang, Chi; Zhang, Xiaoli (2019-04-01). "Who should invest in clean technologies in a supply chain with competition?". Journal of Cleaner Production. 215: 689–700. doi:10.1016/j.jclepro.2019.01.072.
  19. ^ "See Why Sovereign Wealth Funds are Betting on Clean Tech". swfinstitute.org. 2020-12-24. Retrieved 2020-12-24.
  20. ^ Timilsina, Govinda; Malla, Sunil (June 2021). "Do Investments in Clean Technologies Reduce Production Costs? Insights from the Literature". Policy Research Working Papers. World Bank Group. doi:10.1596/1813-9450-9714. hdl:10986/35885.
  21. ^ . University of Copenhagen. 2009-12-03. Archived from the original on 2009-03-16.
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  23. ^ "UN Climate Action Summit 2019". www.un.org. 2018-11-28.
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  26. ^ Lathia, Rutvik Vasudev; Dadhaniya, Sujal (February 2017). "Policy formation for Renewable Energy sources". Journal of Cleaner Production. 144: 334–336. doi:10.1016/j.jclepro.2017.01.023.
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  30. ^ Fayomi, G.U.; Mini, S.E.; Fayomi, O.S.I.; Odunlami, A.; Oyeleke, Olaide Omowumi (2021). "Sustainability and Clean Technology: A Technological Perspective". IOP Conference Series: Materials Science and Engineering. 1107: 012076. doi:10.1088/1757-899X/1107/1/012076.
  31. ^ "Electricity production in 2020: 5.9% less electricity fed into the grid than in 2019". 2021-05-05.
  32. ^ Gielen, Dolf; Boshell, Francisco; Saygin, Deger; Bazilian, Morgan D.; Wagner, Nicholas (2019-01-31). "The role of renewable energy in the global energy transformation". Energy Strategy Reviews. 24: 38–50. doi:10.1016/j.esr.2019.01.006.
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  34. ^ Varadi, Peter F.; Wouters, Frank; Hoffman, Allan R. (2018-03-26), "Local Value Creation", The Sun is Rising in Africa and the Middle East, Jenny Stanford Publishing, pp. 187–198, doi:10.1201/9781351007320-8, ISBN 9781351007320
  35. ^ Fayomi, G.U.; Mini, S.E.; Fayomi, O.S.I.; Odunlami, A.; Oyeleke, Olaide Omowumi (2021). "Sustainability and Clean Technology: A Technological Perspective". IOP Conference Series: Materials Science and Engineering. 1107: 012076. doi:10.1088/1757-899X/1107/1/012076.
  36. ^ "SDGs .:. Sustainable Development Knowledge Platform". sustainabledevelopment.un.org.
  37. ^ "Goal 6 .:. Sustainable Development Knowledge Platform". sustainabledevelopment.un.org.
  38. ^ "Goal 7 .:. Sustainable Development Knowledge Platform". sustainabledevelopment.un.org.
  39. ^ "Goal 11 .:. Sustainable Development Knowledge Platform". sustainabledevelopment.un.org.
  40. ^ "Goal 11 - United Nations Partnerships for SDGs platform". sustainabledevelopment.un.org.
  41. ^ "Goal 13 .:. Sustainable Development Knowledge Platform". sustainabledevelopment.un.org. Retrieved 2019-11-03.

External links edit

  • Investing: Green technology has big growth potential, Los Angeles Times, 2011
  • The Global Cleantech Innovation Index 2014, by Cleantech Group and WWF

clean, technology, also, called, cleantech, climatetech, process, product, service, that, reduces, negative, environmental, impacts, through, significant, energy, efficiency, improvements, sustainable, resources, environmental, protection, activities, includes. Clean technology also called cleantech or climatetech is any process product or service that reduces negative environmental impacts through significant energy efficiency improvements the sustainable use of resources or environmental protection activities Clean technology includes a broad range of technology related to recycling renewable energy information technology green transportation electric motors green chemistry lighting grey water and more Environmental finance is a method by which new clean technology projects can obtain financing through the generation of carbon credits A project that is developed with concern for climate change mitigation is also known as a carbon project Fully electric car charging its battery at a public charging station Renewable transportation fuel composed of organic waste Alternative fuel strategies drastically lowers carbon emissions and air pollution Clean Edge a clean technology research firm describes clean technology a diverse range of products services and processes that harness renewable materials and energy sources dramatically reduce the use of natural resources and cut or eliminate emissions and wastes Clean Edge notes that Clean technologies are competitive with if not superior to their conventional counterparts Many also offer significant additional benefits notably their ability to improve the lives of those in both developed and developing countries Wind turbines in a field in Spain Investments in clean technology have grown considerably since coming into the spotlight around 2000 According to the United Nations Environment Program wind solar and biofuel companies received a record 148 billion in new funding in 2007 as rising oil prices and climate change policies encouraged investment in renewable energy 50 billion of that funding went to wind power Overall investment in clean energy and energy efficiency industries rose 60 percent from 2006 to 2007 1 In 2009 Clean Edge forecasted that the three main clean technology sectors solar photovoltaics wind power and biofuels would have revenues of 325 1 billion by 2018 2 According to an MIT Energy Initiative Working Paper published in July 2016 about a half of over 25 billion funding provided by venture capital to cleantech from 2006 to 2011 was never recovered The report cited cleantech s dismal risk return profiles and the inability of companies developing new materials chemistries or processes to achieve manufacturing scale as contributing factors to its flop 3 Clean technology has also emerged as an essential topic among businesses and companies It can reduce pollutants and dirty fuels for every company regardless of which industry they are in and using clean technology has become a competitive advantage Through building their Corporate Social Responsibility CSR goals they participate in using clean technology and other means by promoting Sustainability 4 Fortune Global 500 firms spend around 20 billion a year on CSR activities in 2018 5 Contents 1 Definition 1 1 Nomenclature 2 Origins of the concept 3 Investment worldwide 4 Implementation worldwide 5 United Nations Sustainable Development Goals 6 See also 7 References 8 External linksDefinition edit nbsp Farmer using crops for biofuel Cleantech products or services are those that improve operational performance productivity or efficiency while reducing costs inputs energy consumption waste or environmental pollution Its origin is the increased consumer regulatory and industry interest in clean forms of energy generation specifically perhaps the rise in awareness of global warming climate change and the impact on the natural environment from the burning of fossil fuels Cleantech is often associated with venture capital funds and land use organizations The term has historically been differentiated from various definitions of green business sustainability or triple bottom line industries by its origins in the venture capital investment community and has grown to define a business sector that includes significant and high growth industries such as solar wind water purification and biofuels 6 Nomenclature edit While the expanding industry has grown rapidly in recent years and attracted billions of dollars of capital the clean technology space has not settled on an agreed upon term Cleantech is used fairly widely although variant spellings include clean tech and clean tech In recent years some clean technology companies have de emphasized that aspect of their business to tap into broader trends such as smart cities 7 Origins of the concept editThe idea of cleantech first emerged among a group of emerging technologies and industries based on principles of biology resource efficiency and second generation production concepts in basic industries Examples include energy efficiency selective catalytic reduction non toxic materials water purification solar energy wind energy and new paradigms in energy conservation Since the 1990s interest in these technologies has increased with two trends a decline in the relative cost of these technologies and a growing understanding of the link between industrial design used in the 19th century and early 20th century such as fossil fuel power plants the internal combustion engine and chemical manufacturing and an emerging understanding of human caused impact on earth systems resulting from their use see articles ozone hole acid rain desertification climate change and global warming Investment worldwide editDuring the last twenty years regulatory schemes and international treaties have been the main factors that defined the investment environment of clean technologies 8 Investments in renewable sources as well as the technologies for energy efficiency represent a determining factor in the investments made under the context of the Paris Agreement and the fight against climate change and air pollution Among financing of the public sector the government has been using financial incentives and regulations that are targeted at the private sector This collectively move is the cause of the continued increase in the clean energy capacity The investments in renewable electricity generation technologies in 2015 were over 308 billion USD and in 2019 this figure rose to 311 billion USD 9 Startups with new technology based innovation are considered to be an attractive investment in a clean technology sector Venture capital and crowdfunding platforms are crucial sources for developing ventures that lead to the introduction of new technologies In the last decade startups have significantly contributed to the increase in installed capacity for solar and wind power The trendsetting firms that design new technologies and devise strategies for the industry to excel and to be more resilient in the face of threats 10 11 Annual cleantech investment in North America Europe Israel China India Year Investment mil 2001 506 8 2002 883 2 2003 1 258 6 2004 1 398 3 2005 2 077 5 2006 4 520 2 2007 6 087 2 2008 8 414 3 2008 data preliminary Source Cleantech Group 12 In 2008 clean technology venture investments in North America Europe China and India totaled a record 8 4 billion Cleantech Venture Capital firms include NTEC Cleantech Ventures and Foundation Capital The preliminary 2008 total represents the seventh consecutive year of growth in venture investing widely recognized as a leading indicator of overall investment patterns 12 Investment in clean technology has grown significantly with a considerable impact on production costs and productivity especially within energy intensive industries The World Bank notes that these investments are enhancing economic efficiency supporting sustainable development objectives and promoting energy security by decreasing dependence on fossil fuel 13 China is seen as a major growth market for cleantech investments currently with a focus on renewable energy technologies 14 In 2014 Israel Finland and the US were leading the Global Cleantech Innovation Index out of 40 countries assessed while Russia and Greece were last 15 Renewable energy investment has achieved substantial scale with annual investments around 300 billion This volume of investment is fundamental to the global energy transition and remains in spite of an R amp D funding plateau representing the sector s healthy expansion and appreciation of renewable technology s promise Several journals offer in depth analyses and forecasts of this investment trend stressing its significant role in attainment of the world energy and climate targets 16 With regards to private investments the investment group Element 8 has received the 2014 CleanTech Achievement award from the CleanTech Alliance a trade association focused on clean tech in the State of Washington for its contribution in Washington State s cleantech industry 17 Strategic investments in clean technologies within supply chains are increasingly influenced by sustainable market forces These investments are vital for manufacturers enhancing not only the sustainability of production processes but also encouraging a comprehensive transition towards sustainability across the entire supply chain Detailed case studies and industry analyses highlight the economic and environmental benefits of such strategic investments 18 According to the published research the top clean technology sectors in 2008 were solar biofuels transportation and wind Solar accounted for almost 40 of total clean technology investment dollars in 2008 followed by biofuels at 11 In 2019 sovereign wealth funds directly invested just under US 3 billion in renewable energy 19 nbsp Comparative Growth in Energy Capacity by Source from 2000 to 2020 A Surge in Renewable Energy Investments 20 The 2009 United Nations Climate Change Conference in Copenhagen Denmark was expected to create a framework whereby limits would eventually be placed on greenhouse gas emissions Many proponents of the cleantech industry hoped for an agreement to be established there to replace the Kyoto Protocol As this treaty was expected scholars had suggested a profound and inevitable shift from business as usual 21 However the participating States failed to provide a global framework for clean technologies The outburst of the 2008 economic crisis then hampered private investments in clean technologies which were back at their 2007 level only in 2014 The 2015 United Nations Climate Change Conference in Paris is expected to achieve a universal agreement on climate which would foster clean technologies development 22 On 23 September 2019 the Secretary General of the United Nations hosted a Climate Action Summit in New York 23 In 2022 the investment in cleantech also called climatetech boomed In fact climate tech investment in the 12 months to Q3 2022 represented more than a quarter of every venture dollar invested a greater proportion than 12 of the prior 16 quarters 24 Implementation worldwide editIndia is one of the countries that have achieved remarkable success in sustainable development by implementing clean technology and it became a global clean energy powerhouse India who was the third largest emitter of greenhouse gases advanced a scheme of converting to renewable energy with sun and wind from fossil fuels This continuous effort has created an increase in the country s renewable energy capacity around 80 gigawatts of installed renewable energy capacity 2019 with a compound annual growth rate of over 20 India s ambitious renewable energy targets have become the model for a swift clean energy shift The government aimed to reach a 175 GW capacity of renewable energy up to 2022 Thus included a big contribution from wind 60 GW and solar energy 100 GW 25 By steadily increasing India s renewable capacity India is achieving the Paris Agreement with a significant reduction in producing carbon emissions 26 Adopting renewable energy not only brought technological advances to India but it also impacted employment by creating around 330 000 new jobs by 2022 and more than 24 million new jobs by 2030 according to the International Labour Organization in the renewable energy sector 27 In spite of the global successes the introduction of renewable energy is confronted with hurdles specific to the country or the region These challenges encompass social economic technological and regulatory Research shows that social and regulatory barriers are direct factors affecting the deployment of renewable energy economic barriers however have a more indirect yet substantial effect The study emphasises the need for removing these obstacles for renewable energy to become more available and attractive thus benefiting all parties such as local communities and producers 28 Despite the prevalence of obstacles emerging economy countries have formulated creative approaches to deal with the challenges For example India has shown significant progress in the sector of renewable energy a trend showing the adoption of clean technologies from other countries The special approaches and problems that every country experiences in the course of the sustainable growth promote useful ideas for further development 28 The creation of clean technologies such as battery storage CCS and advanced biofuels is important for the achievement of sustainable energy systems Uninterrupted research and development is critical in improving the productivity of renewable energy sources and in making them more attractive for investment These developments are a part of the wider goals related to sustainability and addressing climate change 29 A further factor that determine the success of clean technology is how it is perceived by public and its social impact Community involvement and observable benefits of these technologies can influence their adoption and popularity The idea of shared benefits is created by making the renewable energy solutions environmentally friendly cost effective and beneficial to producers 30 Germany has been one of the renewable energy leaders in the world and their efforts have expedited the progress after the nuclear power plant meltdown in Japan in 2011 by deciding to switch off all 17 reactors by 2022 Still this is just one of Germany s ultimate goals and Germany is aiming to set the usage of renewable energy at 80 by 2050 which is currently 47 2020 31 Energiewende in Germany is a model of a devoted effort to renewable energy aimed at decreasing the greenhouse gas GHG emissions by 80 by 2050 through the rushed adoption of renewable resources This policy aimed at addressing the environmental issues and the nationwide agreement on nuclear power abolition illustrates the essential role of government policy and investment in directing technological adoption and providing a pathway towards the usage of sustainable energy Obstacles to making the Energiewende a model for the transportation and heating sectors include the integration of renewable energies into existing infrastructure the economic costs associated with transitioning technologies and the need for widespread consumer adoption of new energy solutions 32 Also Germany is investing in renewable energy from offshore wind and anticipating its investment to result in one third of total wind energy in Germany The importance of clean technology also impacted the transportation sector of Germany which produces 17 percent of its emission The famous car producing companies Mercedes Benz BMW Volkswagen and Audi in Germany are also providing new electric cars to meet Germany s energy transition movement 33 Africa and the Middle East has drawn worldwide attention for its potential share and new market of solar electricity Notably the countries in the Middle East have been utilizing their natural resources an abundant amount of oil and gas to develop solar electricity Also to practice the renewable energy the energy ministers from 14 Arab countries signed a Memorandum of Understanding for an Arab Common Market for electricity by committing to the development of the electricity supply system with renewable energy 34 Sustainability when combined with clean technology focuses on the central environmental issues of learning how to fulfill the need of Earth s resources and the requirement for fast industrialization and consuming of the energy The role of the technological innovations in the development of sustainable development across different fields such as energy agriculture and infrastructure is paramount The sustainability initiatives utilize contemporary science as well as green technologies of renewable energy sources and efficient energy conversion systems to minimize the environmental effects and promote economic and social welfare This approach is consistent with sustainable development objectives since it offers measures that do not deplete natural resources but instead supply low emission forms of energy 35 United Nations Sustainable Development Goals edit nbsp United Nations 17 Sustainable Development Goals The United Nations has set goals for the 2030 Agenda for Sustainable Development which is called Sustainable Development Goals composed of 17 goals and 232 indicators total These goals are designed to build a sustainable future and to implement in the countries member states in the UN Many parts of the 17 goals are related to the usage of clean technology since it is eventually an essential part of designing a sustainable future in various areas such as land cities industries climate etc 36 Goal 6 Ensure availability and sustainable management of water and sanitation for all 37 Various kinds of clean water technology are used to fulfill this goal such as filters technology for desalination filtered water fountains for communities etc Goal 7 Ensure access to affordable reliable sustainable and modern energy for all Promoting countries for implementing renewable energy is making remarkable progress such as From 2012 to 2014 three quarters of the world s 20 largest energy consuming countries had reduced their energy intensity the ratio of energy used per unit of GDP The reduction was driven mainly by greater efficiencies in the industry and transport sectors However that progress is still not sufficient to meet the target of doubling the global rate of improvement in energy efficiency 38 Goal 11 Make cities and human settlements inclusive safe resilient and sustainable 39 By designing sustainable cities and communities clean technology takes parts in the architectural aspect transportation and city environment For example Global Fuel Economy Initiative GFEI Relaunched to accelerate progress on decarbonizing road transport Its main goal for passenger vehicles in line with SDG 7 3 is to double the energy efficiency of new vehicles by 2030 This will also help mitigate climate change by reducing harmful CO2 emissions 40 Goal 13 Take urgent action to combat climate change and its impacts 41 Greenhouse gas emissions have significantly impacted the climate and this results in a rapid solution for consistently increasing emission levels United Nations held the Paris Agreement for dealing with greenhouse gas emissions mainly within countries and for finding solutions and setting goals See also editEnvironmental science Greentech disambiguation Sustainable engineering WIPO GREENReferences edit Archived copy Bloomberg News Archived from the original on 2010 05 25 Retrieved 2017 03 06 a href Template Cite web html title Template Cite web cite web a CS1 maint archived copy as title link Addison John 2009 03 11 Solar Wind and Biofuels Impressive Growth Surge in 08 Seeking Alpha Retrieved 2018 01 03 Gaddy Benjamin Sivaram Varun O Sullivan Dr Francis 2016 Venture Capital and Cleantech The Wrong Model for Clean Energy Innovation PDF 77 Massachusetts Ave Cambridge MA 02139 USA MIT Energy Initiative a href Template Cite web html title Template Cite web cite web a CS1 maint location link Ramanan Ram 2018 07 04 Introduction to Sustainability Analytics 1 ed CRC Press doi 10 1201 9781315154909 ISBN 9781315154909 S2CID 135252457 Meier Stephan Cassar Lea 2018 01 31 Stop Talking About How CSR Helps Your Bottom Line Harvard Business Review ISSN 0017 8012 What is Cleantech via www cleantech org Cleantech Rebrands as Smart City to Attract Venture Dollars Bloomberg 28 October 2016 via www bloomberg com Timilsina Govinda Malla Sunil June 2021 Do Investments in Clean Technologies Reduce Production Costs Insights from the Literature Policy Research Working Papers 9714 hdl 10986 35885 via Open Knowledge Repository Gielen Dolf Boshell Francisco Saygin Deger Bazilian Morgan D Wagner Nicholas 2019 01 31 The role of renewable energy in the global energy transformation Energy Strategy Reviews 24 38 50 doi 10 1016 j esr 2019 01 006 Shi Xiutian Dong Ciwei Zhang Chi Zhang Xiaoli 2019 04 01 Who should invest in clean technologies in a supply chain with competition Journal of Cleaner Production 215 689 700 doi 10 1016 j jclepro 2019 01 072 Fayomi G U Mini S E Fayomi O S I Odunlami A Oyeleke Olaide Omowumi 2021 Sustainability and Clean Technology A Technological Perspective IOP Conference Series Materials Science and Engineering 1107 012076 doi 10 1088 1757 899X 1107 1 012076 a b Clean technology venture investment reaches record 8 4 billion in 2008 despite credit crisis and broadening recession Insights 2009 01 06 Archived from the original on 2013 10 21 Retrieved 2018 10 25 Timilsina Govinda Malla Sunil June 2021 Do Investments in Clean Technologies Reduce Production Costs Insights from the Literature Policy Research Working Papers 9714 hdl 10986 35885 via Open Knowledge Repository Caprotti F 2009 China s Cleantech Landscape The Renewable Energy Technology Paradox PDF Sustainable Development Law amp Policy pp 6 10 Archived from the original PDF on 2011 06 09 Israel Finland and the US top the Global Cleantech Innovation Index 2014 FPA Patent Attorneys JDSupra com 2014 11 13 Retrieved 2016 12 29 Gielen Dolf Boshell Francisco Saygin Deger Bazilian Morgan D Wagner Nicholas 2019 01 31 The role of renewable energy in the global energy transformation Energy Strategy Reviews 24 38 50 doi 10 1016 j esr 2019 01 006 Element 8 Wins 2014 CleanTech Achievement Award Finance yahoo com 2014 11 12 Retrieved 2016 12 29 Shi Xiutian Dong Ciwei Zhang Chi Zhang Xiaoli 2019 04 01 Who should invest in clean technologies in a supply chain with competition Journal of Cleaner Production 215 689 700 doi 10 1016 j jclepro 2019 01 072 See Why Sovereign Wealth Funds are Betting on Clean Tech swfinstitute org 2020 12 24 Retrieved 2020 12 24 Timilsina Govinda Malla Sunil June 2021 Do Investments in Clean Technologies Reduce Production Costs Insights from the Literature Policy Research Working Papers World Bank Group doi 10 1596 1813 9450 9714 hdl 10986 35885 Climate Change Congress University of Copenhagen 2009 12 03 Archived from the original on 2009 03 16 European Cleantech Innovation 13 Future Energy System Gamechangers Cleantechnica com 2014 11 12 Retrieved 2016 12 29 UN Climate Action Summit 2019 www un org 2018 11 28 PricewaterhouseCoopers Overcoming inertia in climate tech investing PwC Retrieved 2023 02 02 Gielen Dolf Boshell Francisco Saygin Deger Bazilian Morgan D Wagner Nicholas 2019 01 31 The role of renewable energy in the global energy transformation Energy Strategy Reviews 24 38 50 doi 10 1016 j esr 2019 01 006 Lathia Rutvik Vasudev Dadhaniya Sujal February 2017 Policy formation for Renewable Energy sources Journal of Cleaner Production 144 334 336 doi 10 1016 j jclepro 2017 01 023 Here s how India became a global clean energy powerhouse World Economic Forum a b Seetharaman Moorthy Krishna Patwa Nitin Saravanan Gupta Yash January 2019 Breaking barriers in deployment of renewable energy Heliyon 5 1 e01166 doi 10 1016 j heliyon 2019 e01166 ISSN 2405 8440 PMC 6351575 PMID 30723834 Gielen Dolf Boshell Francisco Saygin Deger Bazilian Morgan D Wagner Nicholas 2019 01 31 The role of renewable energy in the global energy transformation Energy Strategy Reviews 24 38 50 doi 10 1016 j esr 2019 01 006 Fayomi G U Mini S E Fayomi O S I Odunlami A Oyeleke Olaide Omowumi 2021 Sustainability and Clean Technology A Technological Perspective IOP Conference Series Materials Science and Engineering 1107 012076 doi 10 1088 1757 899X 1107 1 012076 Electricity production in 2020 5 9 less electricity fed into the grid than in 2019 2021 05 05 Gielen Dolf Boshell Francisco Saygin Deger Bazilian Morgan D Wagner Nicholas 2019 01 31 The role of renewable energy in the global energy transformation Energy Strategy Reviews 24 38 50 doi 10 1016 j esr 2019 01 006 Germany Has Some Revolutionary Ideas and They re Working Magazine 2015 10 15 Archived from the original on March 5 2017 Varadi Peter F Wouters Frank Hoffman Allan R 2018 03 26 Local Value Creation The Sun is Rising in Africa and the Middle East Jenny Stanford Publishing pp 187 198 doi 10 1201 9781351007320 8 ISBN 9781351007320 Fayomi G U Mini S E Fayomi O S I Odunlami A Oyeleke Olaide Omowumi 2021 Sustainability and Clean Technology A Technological Perspective IOP Conference Series Materials Science and Engineering 1107 012076 doi 10 1088 1757 899X 1107 1 012076 SDGs Sustainable Development Knowledge Platform sustainabledevelopment un org Goal 6 Sustainable Development Knowledge Platform sustainabledevelopment un org Goal 7 Sustainable Development Knowledge Platform sustainabledevelopment un org Goal 11 Sustainable Development Knowledge Platform sustainabledevelopment un org Goal 11 United Nations Partnerships for SDGs platform sustainabledevelopment un org Goal 13 Sustainable Development Knowledge Platform sustainabledevelopment un org Retrieved 2019 11 03 External links editInvesting Green technology has big growth potential Los Angeles Times 2011 The Global Cleantech Innovation Index 2014 by Cleantech Group and WWF Retrieved from https en wikipedia org w index php title Clean technology amp oldid 1221330163, wikipedia, wiki, book, books, library,

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