2024 Climate Tech Predictions

2023 was a big year for climate progress with the Inflation Reduction (IRA) Act incentives beginning to take shape and the COP28 summit producing a call to transition away from fossil fuels and a loss and damage fund to help vulnerable countries adapt to climate impacts. But it was also a year of regression. COP28 produced the same pledges that have proven meaningless for the last 27 go-rounds and the combo of economic slowdown and the big-money IRA programs not paying out yet hindered potential achievements. Some good, some bad and in other ways a “very weird year” for climate tech and climate progress.

It has also been a big year for Redwood, full of client wins, partnerships, and employee activism! On the media relations front, reporters, editors and producers in climate, business, and tech media responded to Redwood’s outreach at almost twice the industry average (according to data from media relations platform Propel). We are also well above average in converting those responses into wins for our clients. We look forward to using new tools to continue to improve our media relationships and increase coverage of client stories.

Revisiting our predictions from last year, we did pretty well.. Home services professionals embraced often in collaboration with tech-forward facilitators like our client Sealed. We love seeing more climate storytelling in mainstream media and are glad to see more attention given to tidal powerAdditionally, there were several positive developments in nuclear power, including bringing uranium enrichment capabilities back to the U.S. and unprecedented amounts of funding and government support for the industry.

So what will we see in 2024?

As regulations tighten, carbon accounting and advising will become big business

First thing’s first: my prediction from last year of the best carbon offsets rising to the top and carbon markets reaching a new level of respectability did not come true. Demand for carbon offsets declined, more damning stories about carbon projects appeared in the media, and it’s safe to say the voluntary carbon market (VCM) is worse off now than at the end of 2022. For the record, I still believe a new and better version of carbon offsets will come on the scene and facilitate meaningful climate progress…but it may take another couple years.

On a related note, 2024 will bring the practices of tracking and reducing GHG emissions into the mainstream of business operations and journalism. Groundbreaking laws passed by the State of California and the European Union are just the start of government requirements for businesses to consider the climate crisis and its impacts. Some business pioneers with lots of money to spend have already implemented sophisticated carbon accounting systems and impose their own internal carbon price. The rest of the 99% of companies in the world are grossly unprepared to calculate their emissions, much less make and execute plans to reduce them. As a result, the services of carbon accounting, carbon management, carbon advisory, etc. (the terminology is still working itself out) will see a surge in demand. This trend will really kick into high gear when the U.S. Securities and Exchange Commission finally approves its long-delayed Climate Disclosure Rule.

-Josh Garrett, CEO

Debates over the use of public lands will be a major election issue

As with most election years, the lawmaking process will soon come to a standstill, leaving President Joe Biden with limited options with which to advance his agenda and rally support from climate change voters. Exercising authority over federally managed lands will be the easiest way to demonstrate his commitment. Administrative actions by agencies such as the Bureau of Land Management will become a campaign issue, as they continue to prioritize conservation, recreation and renewable energy projects over more traditional land uses, such as fossil fuel and mineral extraction.

-Matt Matyjek, Account Director

Circularity will become a prominent feature in ESG reporting

In the evolving landscape of ESG reporting, circularity will emerge as a pivotal component in 2024. There is already a global trend towards recognizing the importance of circularity, and many sustainability reporting standards and frameworks, such as the Global Reporting Initiative (GRI) and the Sustainability Accounting Standards Board (SASB), have started incorporating circular economy considerations into their guidelines. Corporations are progressively recognizing the necessity to curtail waste, mitigate environmental impact, and embrace a closed-loop approach to both production and consumption, prompting the integration of more circular practices. Circular economy principles align closely with ESG goals, offering a holistic perspective that goes beyond linear resource models. As companies increasingly embrace circularity, I expect it to become a prominent feature in ESG reporting, reflecting a commitment to responsible and resilient business practices.

-Jonaliza Ceklic, Account Director

AI will have its greenest year yet

AI will help kickstart a refreshed climate data movement and spark unprecedented efficiency projects in the key verticals of transportation, healthcare, city infrastructure, grid operation. Ultimately, AI can help to make companies greener and help to streamline processes that require a lot of energy. The often-understated intersection between climate and AI will finally come into full focus especially as it relates to calculating carbon impacts to a degree never seen before. A wave of efficiency-focused climate-related AI offerings will be announced ensuring AI has its “greenest” year yet.

-Ryan Quintana Account Supervisior

The US grid will get a renewable energy kickstart

Interest in renewable energy and grid infrastructure will skyrocket, especially in the United States. North American grid advancements will take center stage in 2024. A focus on advancing the US energy infrastructure will kickstart a movement of companies making clean energy purchases and progressing toward net-zero goals.

-Ryan Quintana, Account Supervisior

Global commitments and consumer demand will transform our food systems in environmentally sustainable and regenerative ways

As 2024 approaches, the dialogue around climate change and food systems is shifting towards sustainable and regenerative farming methods, while the approach to plant-based diets is becoming more inclusive and holistic. The urgent need to reduce agricultural emissions, enhance carbon sequestration, and promote overall environmental health is moving governments, farmers, policymakers, and even consumers to embrace regenerative practices. This year’s COP28 reflected an unprecedented focus on the climate impacts of food and agriculture. This was the first year the conference held “Food, Agriculture and Water Day,” during which the UN Food and Agriculture Organization (FAO) released a roadmap aimed at guiding countries toward "zero hunger" while adhering to the 1.5 degrees C target. Also notable, the United States and the United Arab Emirates announced that funding for the Agriculture Innovation Mission for Climate (AIM for Climate) has grown to more than $17 billion. This increase in funding aims to support and advance climate-friendly farming practices globally.

Regenerative agriculture practices not only support climate progress but also have the potential to uplift communities and local economies. A prime example is Redwood client WhatIF Foods, a CPG company demonstrating how regenerative agriculture can enhance on-farm productivity and yields, thereby improving economic conditions for local communities for their suppliers in Ghana. This shift towards regeneration is mirrored in the rising popularity of concepts like "climavore” and "reducetarian," which emphasize reducing animal product consumption in favor of a plant-rich diet for its reduced environmental and climate impacts. This evolving discourse underscores the momentum toward more widely accessible, holistic solutions that address the entire food ecosystem.

-Jessica Harrington, Senior Account Executive

sustainable food — Photo: Wendy Wei/Pexels

News media will expand their coverage of climate solutions

In general, media coverage has successfully informed audiences about the effects of the climate crisis. It’s important but disheartening news, and is only half of the story. According to the IPCC’s Sixth Assessment Report, we already have all of the technology needed to solve the climate crisis. What we need now is more adoption and awareness of solutions, and more media outlets and news sources will rise to meet that need in 2024. With resources such as Covering Climate Now and Solutions Journalism Network’s Climate Solutions Reporting Guide and The New York Times Climate Forward I expect we will see an increase in climate solutions reporting in 2024.

-Emily Prettyman, Senior Account Executive

A Climate tech unicorn will emerge from the energy efficiency space

Inflation Reduction Act benefits are set to go into effect en masse in 2024, affecting homeowners and businesses across the country. The energy efficiency industry is a win-win-win for all involved; home and building owners save on their electricity bills, contractors and businesses get paid for their work in buildings and on products, and the government makes progress on climate legislation goals and stabilization of the electric grid. With massive amounts of government money and increased interest from homeowners and businesses across the country, it is only a matter of time before a unicorn in the industry emerges.

-Keely McNeme, Account Executive

Blue carbon solutions will gain momentum

Blue carbon solutions–natural carbon dioxide removal and GHG emissions-reducing systems based in oceans and coasts–will gain momentum, driven by increased investment, policy support, technological advancements, and heightened public awareness. Coastal communities deeply connected to blue carbon ecosystems, will assume a leading role in these initiatives. In addition to their incredibly efficient carbon sequestration and storage abilities, blue carbon ecosystems like mangroves, seagrass meadows, and salt marshes also serve as natural barriers against storms and rising sea levels, regulate water quality, and provide food security for coastal communities, offering significant co-benefit potential for climate mitigation and adaptation. Given the intensifying impacts of climate change, harnessing the protective power of these ecosystems is critical. In the upcoming year, expect coastal communities to drive efforts in managing and monitoring blue carbon ecosystems, advocating for initiatives, and influencing policy decisions across various levels.

-Taylor Arnette, Social Media and Marketing Intern

Investments into R&D of Sustainable Aviation Fuel (SAF) will increase substantially

Virgin Atlantic completed the world's first transatlantic flight using 100% SAF in November 2023. While SAF is a nascent technology that comprises only 0.1% of global aviation fuel and can't become the only type of jet fuel due to the high amount of biomass usually needed for its production, it also produces up to 70% fewer carbon emissions than traditional jet fuel. With no end to air travel in sight and customers increasingly skeptical of airlines' offset programs, moving towards a more sustainable method of aviation will be critical to meeting emissions goals. Lufthansa recently announced their intent to develop SAF from sunlight that couples carbon capture with concentrated solar power (CSP) to produce synthetic gasses that can be used as fuel. Though SAF certainly has its drawbacks and the industry is barely beginning, I anticipate there to be increased investment in its production and amplified public interest in its potential impacts on aviation.

-Phoebe Skok, Media Relations Intern