(gentle upbeat music) (birds singing)
-: It's an exciting time
for climate investing in North America.
The capital we need is large.
By 2030, we're talking about $6 trillion
and private investors will be a big source of that funding.
And what's happening is policymakers recognize this
and are beginning to provide the incentives
to make that money flow.
In the USA we have the IRA and the IIJA.
Together, they represent about 500 billion in funding
for climate and energy over the next decades.
Canada is in a similar spot.
2023 incentives provide over 110 billion
in federal funding for the climate transition.
And what this means is climate technologies
that were once out of the money
are now in the money,
creating opportunity for those
that want to deploy capital.
In the US alone,
and this stat is an exemplar
of the kind of opportunity we're talking about,
the volume of in-the-money emissions
for carbon capture is now over 300 million tons.
That's 15 times the current US capacity.
That capacity needs to come online.
In low-carbon hydrogen,
a maximized tax credit can quickly bring
most use cases into the money.
And the new investment tax credit for utility scale storage
can bring returns of 20% or more.
What's happening is investors are moving,
they're acting, they're going after these opportunities,
and the fundraising market
is a great proxy for this activity.
2022 was a tough year for fundraising.
Overall fundraising was down 12% in the private markets,
while climate fundraising was up 30%.
(gentle upbeat music) (waterfall flowing)
-: Many of these climate related sub-sectors
offer investment opportunities across asset classes,
including infrastructure, private equity,
growth and venture capital.
Each one has a complex value chain
with a unique set of opportunities.
To navigate this complexity,
we've profiled several near-term opportunities
across eight industries of interest.
These opportunities are supported by sector tailwinds
including policy incentives that support economics,
new and maturing tech that is rapidly closing costs
and performance gaps,
and rising investor interest and confidence in the sector.
-: People ask me,
"Is this climate investing thing here to stay?"
And I tell them, "Yes, it is here to stay."
This is the early innings
and there is a long runway of capital deployment needed
to build the infrastructure,
scale the technologies,
and provide the enabling services
that will be needed for us to collectively achieve
our global climate and sustainability goals.
(upbeat gentle music) (water rushing)