The Clean Technology Challenge

In 2006, venture investors pumped $1.28 billion into clean technology companies in China, Europe, Israel and the U.S., the group said today. That’s about double the $664.1 million invested in 2005, according to the research, which was compiled the data with help from Ernst & Young.

Today, Dow Jones Venture One has released a more precise definition to what is meant by “clean technology.”

Companies that directly enable the efficient use of natural resources and reduce the ecological impact of production. Areas of focus include energy, water, agriculture, transportation, and manufacturing where the technology creates less waste or toxicity. The impact of cleantech can be either to provide superior performance at lower costs or to limit the amount of resources needed while maintaining comparable productivity levels.

Where is Sacramento on the Clean Tech map? If area leaders want this region to be branded the Clean Tech epicenter it's time for more action and less talk. Based on the discussions in local circles there is broad support for the concept. Maybe we need a real challenge to do something. Here's a start.

Venture Capital in Sacramento - Invest 20% of your Portfolio in Clean Tech.
Local Government & Business - Go Clean. 100% Clean energy by 2010.
Builders - Build 20% of your New Homes with Clean Energy sources.
SARTA - Incubate Clean Tech and Offer $$$ for companies in Clean Tech to move to Sacramento

Any more?

Sacramento Saves the World from Global Climate Change

Corn is a "Low Carbon" Fuel, Join the Clean Energy Diet and Lose Unwanted CO2

Last night, President Bush, in his State of the Union called for more intensive use of ethanol and other alternative fuels in an attempt to cut gasoline use by 20 percent by 2017. This initiative could boost the prospects of many Sacramento Clean Energy companies. Shares of Sacramento-based Pacific Ethanol Inc. jumped 6 percent in anticipation of Bush's State of the Union speech. Pacific Ethanol recently moved its headquarters to Sacramento from Fresno.

Among other things, Bush proposed a mandatory fivefold increase in alternative fuel consumption by 2017. Corn-based ethanol is the leading alternative fuel, although the president also called for greater use of products like biodiesel and cellulosic ethanol -- a form of ethanol made from things like agricultural waste.

Even Gov. Arnold Schwarzenegger is calling this week for a "low carbon" fuel diet to lighten California's greenhouse gas load. The executive order issued Thursday establishes a statewide goal of shrinking the carbon footprint of California transportation fuels by at least 10 percent by 2020.

Nationally, a consortium of ten large energy and industrial companies, including California energy giant PG&E, Inc. has broken ranks with some other U.S. business groups by calling on the federal government to enact strict limits on emissions that can trap heat in the atmosphere and help create a market for credits issued to companies that cut emission.

With companies like Nu Edison, Mariah Power, and Jadoo Power getting support from organizations like Sarta and the Clean Start Power Up business plan competition, this region may just become the first major Clean Tech hub. The key will be attracting and growing these companies in the Sacramento region. The business plan competition is nice, but how about introducing a world-wide technology competition for Clean Energy with a big payoff like the X-Prize. Or requiring these companies to move to the region in order to receive funding and support. If we really want to go green local cities and counties could give clean energy a huge boost by mandating clean energy policies and initiatives on home builders and large corporations.