Written By: Emma Websdale
Global venture investment across all clean technology (cleantech) sectors totaled US$6.8 billion (£4.1 billion) in 2013, reveals new data from the i3 market intelligence platform.
The research, conducted by market intelligent research firm Cleantech Group, reported 1,007 completed cleantech deals in 2013, the third year straight in which more than a thousand cleantech deals were tracked. Using the company’s i3 market intelligence platform -a tracker of venture investment deals across 22,000 cleantech companies, the CleantechGroup showed that completed cleantech deals totaled US$6.8 billion in venture investment.
The average growth rate across all four quarters of 2013 was 14.5%. This increasing investment rate across the cleantech industry for the year could be further accelerated in 2014 by a number of factors, including growing trends for renewable energy goals in both the public and private sectors.
Energy Efficiency was the most attractive cleantech sector of 2013 as it maintained the lead in both invested total and deal volume. Receiving more than $1.3 billion (£790 million) across 188 deals, the sector grew in investment dollars by 23% over 2012.
Next in line was the clean transportation sector, which secured $1.2 billion (£729 million) worth of deals. The solar sector came in third, securing $719 million (£437 million) of venture investment.
Other top performing cleantech sectors included Advanced Materials (83 deals), Water (69 deals) Biofuels and Biochemicals (66 deals), agriculture (55 deals), and recycling and waste (52 deals).
In terms of geographic distribution of dollars invested, deals in Energy Efficiency ($302 million, up 130% compared to 2012) and Transportation ranked highest in Europe and Israel. In the Asia/Pacific region, the Transportation sector had the highest deal activity worth $299 million (£182 million). In North America, the Energy Efficiency sector ranked number one, receiving $1 billion venture investment (up 12% from 2012).
In October 2013, a collaborative cleantech report by Kachan & Co, As You Sow and the Responsible Endowments Coalition found that cleantech investment constituted nearly a quarter of 2012’s available venture capital. The report says that the cleantech sector is set to increase rapidly as cities and companies look for more efficient and sustainable ways of providing services and products.