Climate Change
Decarbonizing our global economy presents the most challenging and promising investment opportunity of our lifetime.
An emerging set of scalable, affordable technologies are enabling energy, transportation, food, and our broader economy to transition to breakthrough sustainable models. At Valo we are investing in climate technologies that can effectively:
Monitor
Measuring carbon footprint and sequestration, forecasting weather events, analyzing soil health and biodiversity impacts, and generating actionable insights through carbon accounting.
Mitigate
Accelerating emissions reductions by deploying large-scale renewable energy, electrifying transportation and industry, retrofitting efficient buildings, scaling CCUS solutions, and fast-tracking more efficient ways to feed the planet.
Adapt
Preparing for escalating climate threats across the built environment, with resilient planning, permitting, and design, implementing regenerative agricultural practices to safeguard food supply chains, and deploying novel fintech and insurance innovations to better price climate risk.
Signals
87 countries draw at least 5% of their electricity from wind and solar – the tipping point to widespread adoption of renewable technology.
Source: Bloomberg
Nature-based solutions including reforestation and sustainable land management comprise ~40% of retired carbon credits in voluntary carbon markets, up from just 5% in 2010.
Source: McKinsey
Solar power and lithium-battery costs plummeted 85%+ over the last decade, with wind power costs declining ~55%.
Source: NYT
90% of global GDP is committed to net zero and more than 4,000 companies are pursuing climate pledges.
Source: UK.Gov
10.5 million new electric vehicles (including PHEVs) came to market during 2022—up 55%+ over 2021.
Source: EV Volumes
In 2022, the CO2 capture capacity of all CCS facilities under development increased by 44%.
Source: Global CCS Institute
Additional Resources
- Climate Investing: Continuing Breakout Growth Through Uncertain Times McKinsey & Company
- Harnessing The Power Of S-Curves RMI
- Climate Tipping Points — Too Risky To Bet Against Nature
- Climate Tech VC Newsletter CTVC
- IPCC 2023 Synthesis Report IPCC
- The Untapped Climate Opportunity In Alternative Proteins BCG
