In recent decades, clean energy technologies have advanced at an astounding rate. Despite significant progress, many people want to see more done to address today’s multifaceted global challenges, such as climate change mitigation, poverty reduction, environmental degradation, economic growth, and national security.
Clean energy technology is a key tool for achieving clean energy substitution. China has developed a slew of innovations and applications in clean power generation and operation technologies, providing a strong impetus for large-scale clean energy exploration and integration.
As per a report from one of New Zealand’s innovation agencies, local clean tech innovators are currently struggling to compete with their foreign counterparts because they are unable to attract the same level of investment. As a result, many fail to survive long enough to secure critical late-stage funding to bring their products to market.
According to the company’s innovation report, ‘New Zealand Climate Tech for the World,’ research shows that companies working to solve pressing environmental problems are under-funded when compared to other small, advanced economies. Kiwi clean tech businesses were also not surviving long enough to access the late-stage financing necessary to grow or were not perceived by investors to have sufficient potential to grow.
As a result, a cross-government partnership has been formed to turn this around and make New Zealand a global leader in clean technology. One of the report’s key recommendations was to increase collaboration among government organisations to increase investment in clean technology. Another is collaborating with multinational corporations to help businesses grow.
New Zealand’s innovation agency clean tech spokesman stated that new technologies will help the country meet its carbon targets and build a high-value export sector while also creating jobs. More investment was required to commercialise some of the emerging technology to achieve this. The partnership would develop a five-year roadmap to attract investment, strengthen local and global networks, scoping new initiatives and develop clusters of cleantech businesses.
Despite the fact that a recent review of the country’s cleantech businesses revealed up to 300 companies working on technologies, applications, plastic alternatives, new energy sources, and industrial waste processing. In the 2020 financial year, 98 cleantech businesses that had been funded by New Zealand’s innovation agency, generated $334 million in revenue, supported nearly 2000 jobs, and invested in $95m worth of research and development. There were about 680 high-value research and development jobs.
New Zealand’s innovation agency and few other innovation companies have established the NZ CleanTech Mission partnership to convert local cleantech into profitable businesses.
Correspondingly, the New Zealand government, in implementing strategies, sets the policy direction and priorities for the New Zealand energy sector, with the goal of achieving net-zero carbon emissions by 2050 while building a more productive, sustainable, and inclusive economy.
The government’s vision is for an affordable, secure, and sustainable energy system that provides for New Zealanders’ wellbeing in a low emissions world. The renewable energy strategy work programme focuses on three main outcomes:
- An inclusive and consumer-focused energy system
- A system that encourages increased investment in low emissions technologies, and
- An innovative and modern energy system that creates new opportunities for businesses and consumers.
Looking ahead, the country’s clean energy enabling strategies and resources will be critical in managing the dynamic nature of a high clean energy system. Notably, this entails gaining increased flexibility for the electricity system via generation resources, demand, and storage to manage the variable supply from high wind and solar penetrations.
As the demand for clean energy grows, storage and improved demand-side technologies will be required. These areas present promising opportunities for technology researchers to assist in enabling and hastening the transition to this future.
