European Carbon Unbound Summit

It has been just over a month since the inaugural European Carbon Unbound Summit¹ took place in London. This landmark event brought together a host of industry experts, startups, investment banks and investors to discuss the latest developments in the charge for carbon dioxide removal (CDR) as well as the broader energy transition investment landscape. CDR technologies (which provide a means of extracting carbon out of the atmosphere) is currently the development area in Energy Transition and Climate Investment with the most buzz about it. For the time being the industry is still in its infancy, and general consensus sees it as critical tool in the fight to reverse the damaging effects of climate change.

At Dartmouth we are particularly interested in the role the Finance sector will play in helping to achieve the incredibly ambitious global climate targets. Undoubtedly it will require huge levels of investment, so it was no surprise to see the likes of JP Morgan, Barclays, and UBS in attendance as well as venture investors Planet A Ventures, Just Climate and Speedinvest. One of the Summit’s focal points was centred around the role of private capital in developing the industry. The talk Venture Capital: Plugging the Funding Gaps shone an interesting light on the current situation and the potential investment trajectory over the coming years.

Clearly, we are dealing with nascent technology and the venture capital industry is doing an excellent job of accelerating its growth, but there is a clear expectation that in the not-so-distant future larger platforms will begin to focus their efforts on the sector in order to scale. It was extremely exciting to hear the discussions and roundtables delving into how CDR will continue to develop and become a key pillar in future energy transition investment strategies alongside decarbonisation, natural capital, and renewables. As a wealth of new funds have emerged, the energy transition sector has become a central specialism to Dartmouth Partners’s Real Assets strategy. As a result, we have seen a surge in interest from candidates, sparking intense competition over the limited investment positions currently available in the market.

In addition we have noticed a considerable shift in Gen Z and younger generation being motivated by roles in this tech revolutionising sector, supported by the findings in our 2023 Gen Z Hiring Report which highlights the a ‘clear generational interest in making a positive impact on the world through their work’. Three out of ten respondents (33.3%) who are expecting to graduate in 2024 rated the importance of ESG related strategy/values as a key factor in their decision making when choosing a new role, compared to just 20.6% of 2020 graduates. And it is not just talent that have jumped on the excitement and opportunities the energy transition and climate investment sectors are increasingly creating in the financial services industry; businesses big and small are also looking to make a positive difference. If you are interested in discussing developments in CDR technology or the energy transition sector, and how your can successfully expand into these areas, reach out to me directly at thomas.amos@dartmouthpartners.com.

1. Learn more about the great work of Carbon Unbound Europe.