In a move towards building a greener economy and reducing its climate impact, Elemental Excelerator, a cleantech-focused accelerator, recently announced its intent to invest $43 million in climate-focused startups over the next six years.
Elemental Excelerator believes that this move will provide the necessary resources to climate startups, who can play a pivotal role in developing solutions for curbing climate change. Through this initiative, Elemental Excelerator hopes to bolster economically and racially diverse startups in the nascent climate change space by providing them with the necessary resources, such as access to capital, networks, and proven growth strategies.
Furthermore, the accelerator also laid out a focus on social impact, stating that “investing in solutions to prevent climate change with deep and enduring community impact is not just a good idea, but essential.” Accordingly, Elemental Excelerator will also ensure that their investments benefit wider communities, with startups that show evidence of significant and measurable environmental, economic, and social solutions gaining special prioritization.
Indeed, this investment is a crucial move towards developing a sustainable and green economy. The cleantech space has been severely underfunded so far, with most of the investments going to startups in data, software, and content. By putting out a substantial amount of investments into the space, Elemental Excelerator is making an effort to close the funding gap and allow the current generation of climate startups to make long-term breakthroughs, which will eventually lead to substantive environmental and social change.
Ultimately, as the effects of climate change worsen, investments in climate-focused startups are crucial for developing sustainable solutions that have real-world, tangible results. As such, Elemental Excelerator’s intent to invest $43 million into climate-focused startups is a welcome development that can drive forward various initiatives in the green economy.
