CTC #36 - $260M raise for smart traffic, BDC's new fund for climate startups, and Ford invests $1.8B in ON
Plus - Series A rounds from Flashfood and ChargeLab, a battery storage acquisition, and more
Welcome to another issue of Climate Tech Canada! I hope you’re having a great week. I’m feeling recharged and ready to get back into the swing of things after a vacation spent hiking around the Bruce Peninsula.
In this week’s issue, we have one of the largest funding rounds ever from smart traffic startup Miovision, Series A funding for Flash Forest’s drone-based reforestation platform, a $15M Series A for ChargeLab, the “Android of EV charging”, and more.
Elsewhere, Canada made slow but steady progress cutting emissions in its latest carbon inventory update; a new $150M venture fund for early stage climate tech software startups; Ontario’s EV sector continues to grow with a massive $1.8B investment from Ford Motors to transform its Ontario plant into an EV manufacturing hub, plus a whole lot more! Let’s get into it.
Subscribe to get the latest on Canadian climate tech delivered to you bi-weekly
Miovision (Kitchener, ON) raised $260M to expand its traffic management solution. Miovision’s platform uses AI to help cities manage traffic lights and congestion, reducing emissions and making roads safer. The funding will fuel product development and integration of new acquisitions.
Flash Forest closed a $11.4M Series A round for it’s drone-based reforestation solution. Flash Forest’s rapid post-wildfire reforestation solution plants trees faster and cheaper than traditional methods, and in more remote areas.
ChargeLab (Toronto, ON) secured $15M USD in a Series A extension as part of a strategic partnership with electrical parts company Eaton and charging network operator Silver Comet. The partnerships will help ChargeLab expand its reach in the US market.
Graphite Innovations & Technology (Halifax, NS), or GIT, closed a $10.2M Series A round for its sustainable marine coatings. GIT’s graphene coatings reduce friction, improving fuel consumption and lowering emissions while also improving the durability of ships’ hulls. The funding will be used to expand production capacity, grow the customer base, and build strategic partnerships.
Sepura Home (Victoria, BC) closed a $3.7M seed round for their home composting solution. Sepura’s device replaces in-sink garbage disposals by collecting solid food waste in a sealed container to then be composted. The funding will be used for go-to-market efforts.
Oneka (Sherbrooke, QC) received $4.9M in seed funding from Sustainable Development Technology Canada (SDTC). Oneka has developed a wave-powered desalination system, replacing fossil fuel-based solutions.
SDTC also announced $2.8M in seed funding across 28 companies developing a wide range of climate solutions. Recipients include:
NULIFE GreenTech (Saskatoon, SK) - transforming industrial waste into low-carbon fuels
Litus (Calgary, AB) - novel lithium extraction that recovers 2x the amount of lithium
Datanergie (Montreal, QC) - harnessing waste heat from decentralized computing to decarbonize indoor heating & cooling
Eneon (Calgary, AB) was acquired by US Clean Energy, a clean energy platform and holding company. The acquisition will allow Eneon, which offers battery energy storage solutions, to expand into the US market and accelerate growth with access to capital.
📈 Milestones & Growth
Noventa Energy Partners received a $100M loan commitment from Canada Infrastructure Bank. The financial backing will enable heating and cooling upgrades through Noventa’s Energy-as-a-Service offering.
Shift Energy, based in Saint John, NB, signed an agreement with Cadillac Fairview to roll out its AI-powered tech for managing electricity consumption in buildings across the GTA.
Svante partnered with GE Gas Power to develop carbon capture solutions for gas-fired power plants.
Li-Cycle is expanding its battery recycling operations to Europe and was selected as Vietnam-based VinES’ preferred recycling partner. Li-Cycle was also a winner at Bloomberg NEF’s Pioneer Awards for 2023.
🔭 Here & there
A handful of long-reads and random discoveries in climate
🌎 In the news
Canada released its official greenhouse gas inventory for 2021. Emissions for the year are down 8.4% vs 2005 and 7.4% below 2019 pre-pandemic levels. Transport and oil & gas emissions increased by 5% and 4% respectively.
Emissions intensity, as measured by emissions per GDP, have steadily declined since the late 90s, as GDP growth continues to decouple from emissions.
A report from the Parliamentary Budget Officer found that most Canadians will benefit from carbon pricing, receiving more in rebates than they pay. While some parts of the report suggest the wider economic impact of carbon pricing on job growth and incomes may not be as rosy, the PBO warned against taking select parts out of context and ignoring the costs of doing nothing to address climate change.
But there are costs for doing nothing to address climate change as well. New models from Environment and Climate Change Canada show that the costs of climate change are higher than previously thought - around $247 per tonne of carbon vs $54, and climbing to $294 by 2030.
Energy and Environment ministers from G7 nations met in Japan to discuss climate commitments. The group left without a firm commitment to phasing out coal (a key objective for Canada), but secured other commitments like reporting on the phase-out of fossil fuel financing and expanding renewable energy with specific targets for solar and offshore wind.
Business Development Bank of Canada (BDC) launched its new $150M Sustainability Venture Fund to invest in businesses developing sustainable technologies. The fund will focus on software companies from Seed to Series B with light capital requirements and high scalability.
BMO launched its new Greener Future Financing program to help agriculture businesses decarbonize and improve their climate resiliency. Eligible loan areas include renewable energy, energy efficiency, heat pump systems and more.
The feds opened consultations on new rules for plastics labelling as part of its zero plastic waste goal. The consultation focuses on improving the accuracy and clarity of plastic packaging that claim recyclability or compostability
Ford Motors will invest $1.8B to transform its Oakville, ON assembly plant into a “high-volume” EV manufacturing hub.
Alberta announced an “aspirational”plan to achieve net-zero by 2050, though it currently lacks concrete targets or timelines.
Nova Scotia announced $3M in new funding for Net Zero Atlantic’s Emerging Concepts and Technologies Research program. The funding will support made-in-Nova Scotia solutions that reduce emissions.
A second green hydrogen hub has been approved in Nova Scotia. Operated by Bear Head Energy, the hub will use wind to produce hydrogen and ammonia for export to Europe.
B.C. introduced updated rules for strata buildings to make it easier for residents to install EV chargers.
Quebec is committing $7M over three years to training programs for heavy–duty electric and hybrid vehicle maintenance in order to support growing adoption.
Concordia University in Montreal announced plans to make all 80 of its buildings net zero in the next 15 years.
📣 What’s going on
📅 Alberta Cleantech Awards 2023: Hosted by Foresight Canada, the first annual awards ceremony recognizes change-makers from across Alberta working on the transition to a low-carbon economy. April 27th in Calgary.
📅 Greenwash Detectives: A Roadmap to Genuine Sustainability: Hosted by the Toronto MCJ community, this event explores the ins and outs of carbon accounting with experts from CarbonGraph and Carbonhound. April 27th in Toronto.
💡 Reshaping Energy Systems: The competition is seeking applications from projects working across energy systems, including energy storage, low-emission vehicle fleets, energy transport and distribution and more. Successful applicants can receive between $250K and $10M for projects. Applications close June 15th.
Featured postings from some of Canada’s most innovative companies:
⚡️ Business Analyst, Program Partnerships - BluWave-ai (Ottawa, ON)
🥬 Senior Associate Brand Manager - GoodLeaf Farms (Guelph, ON)
🔌 Software Developer - ChargeLab (Remote)
Have a role you’d like to promote? Drop me a line on Twitter
That’s all for this week. Thanks for reading and if you’re enjoying the newsletter, share it with a friend!