The Week in Cleantech: 10 September 2023

UAE Carbon Alliance Commits $450 Million to African Carbon Credits

At the Africa Climate Summit, the United Arab Emirates Carbon Alliance pledged to purchase $450 million worth of carbon credits from the African Carbon Markets Initiative (ACMI) by 2030. This marks the first major commitment of its kind, aimed at supporting emissions reduction in Africa through carbon offset trading. The UAE Carbon Alliance, formed as part of the UAE's Net Zero by 2050 Strategic Initiative, includes influential members like Mubadala Investment Company and First Abu Dhabi Bank.

This commitment is a significant step toward combating climate change globally. It showcases international cooperation in creating a sustainable carbon market ecosystem, bridging the Middle East's demand for carbon credits with Africa's supply. African nations, through initiatives like ACMI, can leverage carbon credits to attract funding and transition to a hub for climate-related investments. This move aligns with global efforts to reduce emissions and highlights the potential of carbon markets in addressing the climate crisis.

Covered in: Carbon Credits and and 8 other sources tracked by Cleantech Vanguard

H2FLY Achieves Historic Flight with Liquid Hydrogen-Powered Aircraft

H2FLY, a Stuttgart-based company specialising in hydrogen-electric powertrain systems for aircraft, has achieved a major milestone in aviation. They conducted the world's first piloted flight of an electric aircraft powered by cryogenically liquified hydrogen. This achievement involved four successful flights, including one lasting over three hours, using their HY4 demonstrator aircraft equipped with a cutting-edge hydrogen-electric fuel cell propulsion system.

H2FLY's breakthrough is a significant step toward emissions-free, medium- and long-haul commercial flights powered by hydrogen. By utilising liquid hydrogen over the gaseous one, this technology not only reduces tank weight and volume but also extends aircraft range and payload capacity. This achievement aligns with global efforts to create sustainable aviation solutions and reduce carbon emissions. H2FLY's success, under Project HEAVEN with strong support from European governments, represents a collaborative push toward decarbonising commercial aviation.

Covered in: Energy News and and 3 other sources tracked by Cleantech Vanguard

Microsoft Inks $200 Million Deal for Breakthrough Carbon Capture Technology

Microsoft has entered into a substantial carbon dioxide removal (CDR) agreement with Direct Air Capture (DAC) startup Heirloom, pledging $200 million for the removal of 315,000 metric tons of carbon. Heirloom's innovative DAC technology accelerates the natural process of limestone absorbing CO2, making it significantly faster and attracting major buyers of CDR credits like Stripe, Klarna, Shopify, and Microsoft. This significant investment will support Heirloom's rapid scaling of DAC technology and contribute to Microsoft's carbon-negative goal by 2050.

This deal represents one of the largest CDR agreements to date and demonstrates the commitment of major companies like Microsoft to advance carbon removal technologies. It helps Heirloom secure project finance for future carbon removal facilities, much like renewable energy projects have scaled up. The partnership not only accelerates DAC innovation but also reinforces the United States' leadership in addressing climate change through carbon removal and clean technologies. As corporate support for CDR technologies grows, progress toward global climate targets becomes more achievable.

Covered in: Carbon Credits and and 3 other sources tracked by Cleantech Vanguard

Top-3 Funding Rounds Raised by Cleantech Startups

• H2 Green Steel has secured €1.5 billion ($1.6 billion) in equity funding in 2023, primarily from an investor group led by Hy24, Altor, GIC, and Just Climate, with participation from Andra AP – fonden and Temasek, along with existing investors. This substantial investment will finance the construction of a large-scale green steel plant in Boden, Sweden, and a giga-scale hydrogen electrolyser. The green steel facility is expected to start operations by the end of 2025 and promises to reduce carbon dioxide emissions by up to 95% compared to traditional steel production methods. (Renewables Now)
• California-based nuclear microreactor firm Oklo is set to go public through a reverse merger with AltC Acquisition, a special-purpose acquisition company (SPAC) led by OpenAI CEO Sam Altman and former Citigroup banker Michael Klein. The deal, expected to be completed later this year, values Oklo at $850 million and will provide it with $500 million in capital to advance its reactor design. Oklo's unique approach involves selling energy produced by its reactors directly to end users via power purchase agreements, marking a departure from traditional reactor sales. (Canary Media)
• Sustainable materials company Paptic has secured €23 million (approximately $25 million) in equity financing to advance its packaging materials development and expand its global customer service capacity. Additionally, the company has secured a €10 million capital loan from the Finnish Climate Fund, earmarked for scaling up its foam-based manufacturing technology for industrial applications. (ESG Today)

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