Is climate tech the missing piece of Ireland’s decarbonisation jigsaw?
Ireland must recognise climate tech as a sector in its own right if the country is to meet its binding net zero decarbonisation targets under the European Green Deal.
That’s according to a new report by PwC and SustainabilityWorks ‘The Irish Climate tech Opportunity 2024’ which identifies gaps that must be addressed for the transition to a net zero economy.
“Climate tech can be part of the solution to ramp up the decarbonisation of our economy”
The five-year mark to halve global climate emissions is approaching and the country faces a substantial challenge in meeting its legally binding net zero targets under the European Green Deal.
The EPA warns that the Republic of Ireland is set to reduce its total greenhouse gas (GHG) emissions by 29% in 2030 compared with its target of 51%. Aside from being bad for the planet, the implications of failing to meet these targets would incur compliance costs.
The report proposes that Ireland must recognise climate tech as a sector in its own right, arguing that it has developed organically and largely without formal support.
Climate tech innovation powerhouse
Leveraging Ireland’s success as an innovation hub – seen in tech sectors such as FinTech and MedTech, national efforts should be refreshed to do the same for Climate tech. This will attract international pools of investment to propel this sector forward. It is critical that the government and private sector collaborate to maximise the scale of capital for Climate tech.
“Climate tech can be part of the solution to ramp up the decarbonisation of our economy,” said David McGee, ESG leader at PwC Ireland.
“But we must provide more State and private sector support to the climate tech ecosystem to speed up progress towards Ireland’s net zero goals. Currently, there is not enough focus on climate tech as an economic opportunity. Recognising and offering targeted support could amplify the already strong foundation that exists. Investing in and supporting this sector will not only deliver economic returns to the State but will also advance the achievement of our national Climate Action Plan.”
The report spotlights 22 key climate tech players in key sectors across the island of Ireland who are creating unique solutions to address the impact of climate change and advance the goal of net zero.
The report highlights how climate tech in Ireland has experienced steady but slow growth over the past decade, with some global locations now taking significant strides to establish themselves as Tech hot spots, such as California and Germany.
“Ireland stands at the cusp of a big opportunity in the climate tech sector,” said Aideen O’Hora, co-founder of SustainabilityWorks.
“With the right focus and investments, Ireland can become a key player in this growing field. To do this Ireland must act decisively and embrace climate innovation now.”
In addition to the climate imperative, the green economy presents a generational investment opportunity. Ireland’s Climate tech companies will pursue international markets, enabling our economy to build a robust Climate tech sector that drives economic growth.
The report cites specific significant Climate tech opportunities for Ireland in the key areas:
- Grid technologies and energy management services
- Decarbonisation in commercial buildings
- Smart farming, nature restoration and food system innovation – Ireland’s largest domestic sector has an opportunity to lead the way globally
- Ireland can play a leading role in EV battery technology and the advancement of Sustainable Aviation Fuels (SAF)
- Empowering women-led businesses and ensuring equitable access to finance
Main image at top: David McGee, ESG Leader, PwC Ireland; Laura Heuston, Co-Founder SustainabilityWorks and Aideen O’Hora, Co-Founder, SustainabilityWorks. Photo: Maxwells
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