Can climate tech really make money?

THE urgency to tackle climate change has put climate tech in the spotlight, but questions remain: Can climate tech make money, or is it just a moral responsibility? The debate is complex, with valid points on both sides.

Critics say climate tech is risky and hard to profit from. Early renewable energy projects, such as solar and wind, were very expensive and needed government support to compete with fossil fuels. New technologies such as green hydrogen and carbon capture face similar issues today. They need huge investments, depend on government policies, and can be uncertain.

In the 2000s, many cleantech startups failed because they couldn’t turn their ideas into scalable businesses. This “valley of death” is still a big hurdle. In Asia, things are even harder due to heavy reliance on coal, inconsistent regulations, and lower income levels, making governments hesitant to pass on green transition costs to consumers.