US-based industrial conglomerate GE and UK-based environmental organisation Carbon Trust have partnered together, initially over the next 18 months, including a $5m low carbon technology business incubation fund.
The fund will invest in infrastructure applications. The partnership is part of GE’s $200m Ecomagination Challenge, through which GE and partners have committed $134m to global start-ups since its launch in 2010.
GE UK Chief Executive Mark Elborne added: "GE was one of the first global companies to develop a strategy around the environment and business with our highly successful ecomagination initiative. We are increasingly focused on identifying new businesses, technologies and human talent in this area. GE sees the business benefit but also the potential these new technologies offer in delivering overall economic growth and improved resource efficiency."
Tom Delay, Carbon Trust Chief Executive, said: "This announcement marks a major development for the Carbon Trust and will help Europe achieve its potential. The region has historically led innovation in this area but we increasingly need to ensure clean technology businesses are commercialised fast and effectively so Europe can keep ahead.
During a downturn, supporting these businesses becomes doubly important: research studies show that such high growth businesses account for a disproportionate amount of job growth. At the same time, they have a greater need for capital than lower growth businesses and this can be an issue if banks are restrained on lending. Incubation funds such as this one can help."