Abu Dhabi’s Initiative to Support Climate Tech Start-ups

Hub71, the global technology ecosystem in Abu Dhabi, has recently introduced a programme geared towards extending support to climate technology start-ups, with strong backing from prominent organisations in the public and private sectors in the UAE.

The unveiling of the Hub71+ ClimateTech ecosystem took place at the Cop28 climate conference in Dubai, at which it secured funding commitments from over 25 local and international partners. A total of 342 start-ups submitted their applications for the programme, with 100 of them currently under review for potential inclusion in a shortlist. According to Ahmad Alwan, Deputy Chief Executive of Hub71, selected start-ups will receive an incentive of Dh250,000 ($68,000) and an initial Dh250,000 in cash support. Additionally, high-performing start-ups stand to be eligible for an extra cash injection of up to Dh250,000 in exchange for equity.

Mr Alwan stressed that the initiative aims to unite various entities with a shared mission towards climate tech and to foster their growth by providing access to capital, market, and talent. Several entities such as Adnoc, the Ministry of Climate Change and Environment, and others have pledged financial support and potential investments for participating start-ups.

In addition to funding, the UAE is committed to a green agenda, including a pledge to achieve net zero emissions by 2050 and reduce carbon emissions by 40% by 2030. The country has also invested billions in clean energy and green infrastructure projects worldwide, demonstrating a firm commitment towards sustainability.

To further fuel the growth of climate tech start-ups, there has been a significant influx of funding in the UAE. According to a report by start-up data platform Magnitt, ClimateTech start-ups in the UAE received about $401 million of total funding from 2018 to 2022, representing two-thirds of the total funding in the Mena region and Turkey.

This initiative by Hub71 reflects a growing global focus on climate tech solutions, which are increasingly becoming the cornerstone of national and international agendas. The programme aims to drive efficiencies and productivity across various sectors to reduce emissions and create a lasting impact on climate.

The initiative aligns with the UAE’s vision to lead the burgeoning climate technology sector. Hub71, which currently has more than 260 member start-ups, has successfully created over 1,000 jobs and collectively raised about Dh5 billion since its establishment in 2019.

In conclusion, the introduction of the Hub71+ ClimateTech ecosystem represents a significant stride in promoting climate technology start-ups and fostering a sustainable, green economy in the UAE and beyond. With the backing of public and private sector organisations, these start-ups will have access to the necessary resources to develop innovative solutions that can address the pressing challenges of climate change.