It’s been a tough year for climate technology. While it has fared slightly better than other sectors, overall venture and private equity investment in planet-saving technologies has fallen by 40% this year, to a five-year low. But it’s not all doom and gloom. First, the EU has approved a Green Deal Industrial Plan that makes more than €1 trillion available for everything from electric vehicles and carbon capture to battery storage and green hydrogen. In addition, we’ve seen the rapid rise of AI, which promises unprecedented efficiency in the production and operation of clean technologies. Sectors that are hard to decarbonize but heavily polluting, such as the built environment and industry, are also receiving a growing share of investment – a promising step towards net zero. We expect these trends to continue into 2024. And while a recent Pitchbook report suggests the new year will still bring significant funding challenges, many in the sector are optimistic. (Zion Geschwindt)