12 March 2023, 8:00–8:00 AM AEDT
Greenhouse Tech Hub, 180 George St, Sydney
Climate Innovation and Investment Summit – Official Opening
Australia possesses vast renewable resources and skilled R&D, yet hardware-intensive climate ventures face significant capital gaps. The absence of timely, patient funding and robust market validation challenges the scale-up of clean energy and decarbonization technologies. Public and private sectors adopt blended finance and strategic risk-sharing models to boost capital infusion for first-of-a-kind projects. Global market dynamics, particularly in Southeast Asia and the United States, will drive the alignment between policy, investment, and advanced manufacturing in the climate tech sector.
Summary
Australia boasts a unique competitive advantage in renewable resources and entrepreneurial networks that can propel climate tech leadership if funding challenges are resolved.
Hardware ventures require structured support from grant funding to large CAPEX investments to successfully transit from prototype to commercial scale.
Collaborative frameworks and public-private risk-sharing models are setting the new standards for capital allocation in decarbonization projects.
Global market signals, including Southeast Asia's rising energy demand and U.S. policy shifts, will shape the future of climate tech expansion.
How will blended finance models accelerate the commercialization of hardware-based climate innovations?
What policy adjustments are necessary to fully harness Australia's renewable potential?
How can public and private sectors strategically share risks in early-stage commercial deployments?
What role will global partnerships play in bridging capital gaps for advanced manufacturing?
Context and Objectives
Bridging the funding chasm requires transforming traditional financial models to support capital-intensive, hardware-based climate solutions.
Collaborative efforts between government, corporates, super funds, and venture capital are essential to de-risk early commercial projects.
The objectives focus on aligning policy initiatives with financial instruments to foster scale-up and market validation in decarbonization technologies.
Bridging Funding Gaps
Hardware startups demand patient, large-scale capital that conventional venture funding and bank loans do not provide.
Public-Private Collaboration
Strategic partnerships and blended finance models shift risk profiles and unlock necessary investments for first-of-a-kind projects.
Global Market Integration
Early engagement with international markets and capital flows ensures competitive advantages and sustained industry growth.
Tackling the Funding Chasm
Key discussion points
Hardware startups require grant support, patient seed capital, and significant CAPEX for scaling from prototypes to full market deployment.
Capital Requirements
- Early R&D to product development demands targeted grant funding.
- Pilot-to-scale deployment necessitates large investments beyond traditional VC frameworks.
Risk Sharing
- Public and private entities must co-develop risk-sharing mechanisms.
- Blended finance and concessional funding models mitigate the high-risk nature of first-of-a-kind projects.
Panelists
Moderator
Chief Partnership Officer leading funding collaboration initiatives.
Speakers
Expert in raising significant private capital for green hydrogen and energy projects.
Specialist in solar hardware deployment who overcomes market incumbency barriers.
Drives patient capital allocation through government-backed funds.
Advocates for corporate risk-tolerant investment to build local manufacturing capacity.
Global Insights & Market Outlook
Key discussion points
Global trends and regional opportunities induce shifts in capital inflows and market frameworks for climate technology.
US Market Dynamics
- Policy instruments such as the Inflation Reduction Act increase domestic deployment of capital.
- Capital remains available for ventures meeting stringent global criteria.
Southeast Asia Opportunities
- Rapid energy demand and net-zero targets accelerate market readiness.
- Government-led blended finance supports infrastructure and energy transitions across ASEAN.
Panelists
Moderator
Senior Manager, Strategy focusing on energy transitions and market dynamics.
Speakers
Director responsible for unlocking new financial models for climate tech investment.
Executes early global orientation and data-driven capital solutions for climate tech ventures.
Provides insights on integrating philanthropic capital with commercial financing strategies.
Identifies the role of regional investment hubs in de-risking energy transition projects.
Insights
Capital Gaps and Funding Models
- Structured growth capital in the range of $50–100 million is required for commercial-scale projects.
- Patient capital and public de-risking are non-negotiable for bridging the early stages from R&D to market validation.
- Traditional funding models require evolution to support large, lumpy expenditures in breakthrough climate initiatives.
Global Market Opportunities
- International policies and trade dynamics in the US, Southeast Asia, Japan, and Korea create new investment channels.
- Early global partnerships are key to securing both capital and strategic offtake agreements.
- The demand surge in regional energy markets underlines the competitiveness of Australian climate tech on the global stage.
Conclusion
Public-private risk sharing and targeted capital infusion define the pathway to scale hardware ventures.
Strategic demand aggregation and innovative policy measures promise to unlock significant investment potential in climate tech.
Global partnerships and early international alignment drive market validation and manufacturing scale.
Advanced manufacturing incentives and collaborative frameworks pave the way for Australia to lead in clean energy innovation.
Risk Adjustment: Risk-sharing mechanisms between public and private sectors are essential to de-risk first-of-a-kind projects.
Global Alignment: International partnership frameworks drive access to capital and market opportunities for climate tech ventures.