Venture capital investments for cleantech companies have done well for the past 3 quarters, according to both Cleantech Group and Ernst & Young.
In the US, Ernst & Young reported investments in cleantech companies reached a record $1.6 billion in Q3 2008, up 55% from the previous quarter. A total of $3.3 billion was invested in the first three quarters of 2008, surpassing the figure for the same period last year by 71%.
Companies who deal with solar, energy efficiency, alternative fuels, hybrid transportation, and water, were some of the big green financing recipients this year.
Ernst & Young does not expect investments to slow down next year:
"In light of challenging economic times, the US cleantech market may be entering a transitional period. However, the structural market drivers of the cleantech sector remain intact, suggesting that the prospect for long-term market development is positive," says Joseph Muscat, Americas Director of Cleantech and Venture Capital, Ernst & Young LLP.
"Factors such as technological advances, consumer demand and programs at both the federal and state-level help to create the conditions needed for long-term growth in cleantech."