This report investigates the global state of cleantech
innovation in entrepreneurial start-up companies. We are currently faced with a range of climate, energy and economic challenges. Technology start-ups provide one of the most important vehicles for developing and commercializing innovation to meet these challenges, while generating value for investors. This report reasons as to where these innovative cleantech companies will spring-up over the next decade, and shows which countries are falling ahead and below the curve for cleantech innovation.
• Thirty-eight countries were evaluated on 15 indicators related to the creation and commercialisation of cleantech start-ups, generating an index measuring each one’s relative potential to produce entrepreneurial cleantech start-up companies and commercialise clean technology innovations over the next 10 years.

• The index highlights the fundamentally global nature of cleantech innovation, with both eastern and western hemispheres giving rise to new companies and key players. North America and northern Europe do emerge as the primary contributors to the development of innovative cleantech companies, though the Asia Pacific region is following closely behind.

• Denmark topped the index, with its unique combination of a supportive environment for innovative cleantech start-ups, evidence of those start-ups emerging as well as a strong track-record of companies commercialising their
cleantech innovations and scaling them up to widespread market adoption, particularly in wind.

• Scandinavia performed notably well, as Sweden and Finland also placed third and fourth respectively. These countries shared Denmark’s supportive environment and high concentration of new cleantech companies, yet are behind on their ability to scale-up entrepreneurial cleantech companies to wider commercial success. (A pattern shared by fifth place country the United States.)

• Israel took second, as it leads the pack in its capacity to produce new innovative cleantech companies. Given its size, the country generates a large number of high potential cleantech start-ups with relatively little input to the innovative process from government or private sources. However, to date at least, Israel lacks the domestic market and local expansion capital to match this innovation with strong company and product commercialisation.

• China and India placed 13th and 12th respectively, but stand out as having a strong potential to rise through the ranks in the coming years. While not currently creating innovative cleantech companies in great numbers relative to the size of their economies, they are already strong centres for cleantech production, and have increasingly supportive governments, large sums of private money ready to be invested, and massive domestic markets.

• Overall the index shows countries that put significant resources into supporting cleantech innovation are rewarded with more emerging and commercialised cleantech companies, validating the approach many governments have taken to actively promote cleantech innovation nationally.

To read the report, please click here.