CLIMATE TECH
About 75% of executives believe climate technologies are essential for achieving their sustainability goals. These innovations are key to redefining environmental management across all sectors, requiring a leap beyond modest advances to meet the 2030 Green House Gas (GHG) reduction targets. Climate tech is addressing this by leveraging renewable power sources like wind and solar, improving energy efficiency in manufacturing processes, construction, and transport, and utilizing clean hydrogen and carbon capture to reduce CO2 emissions. It also focuses on climate adaptation through measures like sea-level rise protection and drought-resistant agriculture, along with eco-friendly irrigation and precision farming to reduce the ecological footprint of agricultural activities. Capgemini works in tandem with industry leaders to pioneer projects and transition ideas into reality. By transforming the lengthy innovation cycles and speeding up progress, our integrated approach accelerates market entry, increases production efficiency, improves outcomes and reliability, reduces costs, and digitizes operations. We also put an emphasis on developing team skills and thoroughly evaluating the business impacts a every level.
The escalation of climate tech ventures signals a growing commitment to addressing climate change, with a notable surge in investments is outpacing traditional sectors. However, the integration of these technologies into existing frameworks remains complex. Widening access to climate tech is propelled by improved affordability, growing market demand, the rise of green investment funds, and significant political support. This favorable ecosystem is fostering an environment that is conducive to the rapid development and adoption of climate solutions, underscoring the urgency of accelerating innovation cycles for a timely transition towards a low-carbon future.
“WE NEED A NEW INDUSTRIAL REVOLUTION. WHILE MOST OF THE TECHNOLOGIES WE NEED ARE ALREADY AVAILABLE, THE PATH TO 2050 LIES IN SCALING UP MODERN TECHNOLOGIES, PARTICULARLY IN SECTORS THAT ARE COMPLEX TO DECARBONIZE. TO UNLEASH THESE TECHNOLOGIES AND MAKE THEM MORE COST-COMPETITIVE, WE NEED TO SHORTEN THE TRADITIONAL 25-YEAR INNOVATION CYCLES AND ACCELERATE THEIR DEVELOPMENT.”
Due to the higher costs of these technologies compared to their traditional alternatives, more investment and regulation will be needed to ensure the commercial viability of cleaner products and services. While business leaders say they will not be able to achieve their sustainability goals without climate tech, 77% believe that product prices will be affected by “additional environmental costs”, and that they are not yet ready to bear them alone. The urgent need to scale climate tech coincides with a global recognition of the substantial investments required for a successful low-carbon transition. With significant advancements and governmental support in critical areas like low carbon hydrogen and sustainable fuels, the focus is now on accelerating the industrialization and deployment of these technologies. The concept of Intelligent Industry offers a framework to expedite this transition, leveraging data optimization, digital twins, and Industry 4.0 technologies to enhance efficiency and drive innovation in climate tech deployment, thereby reshaping industries and fostering a sustainable, climate-resilient future.
