This year has been a rollercoaster for cleantech investment. While the broader economic landscape shows strong support—with global clean technology spending set to reach $2.2 trillion and venture capital at an all-time high—actual funding for cleantech startups took a hit, falling to the lowest point in five years with just over $24 billion invested. The year started slowly, partly due to political uncertainties affecting U.S. policies, but investment picked up in the later quarters.
Despite a sluggish start, several sectors drew significant funding, notably nuclear power (both fusion and fission), geothermal energy, energy storage, and electric aviation. Some major funding rounds include Base Power’s $1.2 billion for residential battery backup and Commonwealth Fusion’s $863 million toward commercializing fusion energy. While battery investments slowed somewhat, companies focused on innovative battery storage and recycling still secured substantial backing.
The year’s end shows promise, with investment momentum climbing, highlighting optimism for the cleantech sector’s future amid growing environmental urgency and advancing technology demands.
