Cleaner Tech

Climate Tech Investing Slides More Than 40% Over Past 12 Months

Funding dropped to levels unseen in five years, though grants and incentives in the Inflation Reduction Act are providing some stability for startups. 

A worker installing solar panels. Climate tech investing, including in starts focused on the energy system, is down year over year.

Photographer: David Paul Morris/Bloomberg
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Climate tech is no longer a bright spot in a challenging investment landscape.

Private market equity and grant funding for climate tech startups globally totaled $65 billion in the 12 months ending Sept. 30, 2023 according to a new report from PricewaterhouseCoopers LLP. That marks a more than 40% decrease compared to the same period a year earlier.