Government policy, entrepreneurship and consumer awareness will accelerate clean technology innovation in China — and the future is bright for investors, says venture capitalist Gary Rieshel.
Cleaner and more efficient technologies are needed in all China's industries.
Tougher penalties for non-compliers and higher scrutiny of emissions are providing business opportunities for firms, venture capitalists and entrepreneurs. In the face of closer monitoring, many cities are outsourcing the operation and maintenance of their water treatment plants to professional firms, which is to be commended, says Rieshel.
And the coal power industry is adopting the same approach. This is encouraging firms to upgrade existing coal-fired power plants with modern technologies that can typically increase efficiency by one per cent and reduce emissions by up to 70 per cent. Better coal efficiency and reduced emissions will also help the move to electric vehicles, says Rieshel.
But he recommends that investors develop expertise to properly assess clean technology opportunities before spending their money. This could open doors for scientists to enter the venture capital industry, says Rieshel.