We recently completed our ninth investors roundtable working with our friends at CTLR (Cleantech Leaders Roundtable). We had a great roster that included:
- Amanda Bamberger, Ecosystem Integrity Fund
- Philip Y. Li, E8 Angels
- Alfred Griffin, Coalition for Green Capital
We discussed a variety of topics, but regardless of the question asked or answered, these folks were consistently impressive with the breadth of their perspective.
In the days ahead, I'll share snippets from this roundtable. Below are three key takeaways from each investor’s perspective.
Alfred: 7:00 - There are three trends in the clean energy sector: 1.) When supply will be sufficient to have a big impact on U.S. deployment? 2.) Data centers, which require a lot of power, should be supplied with clean energy. 3.) Manufacturing jobs are being created via projects bolstered by the IRA – interesting patterns in red vs. blue states.
Phil: 20:20 - There is a scarcity of mid-stage funders because evaluating companies at that stage requires significant technical expertise. And, smaller deal sizes and fewer opportunities make this stage less attractive compared to project finance, where standardized templates simplify investments and offer more reliable returns than experimental, small-scale projects.
Amanda: 22:46 - The IRA has had mixed results. While a significant number of people took advantage of its benefits, only about 5% of tax filers utilized it. Long-standing incentives such as the Investment Tax Credit (ITC) have been strengthened, ensuring their availability for the next decade. That continues driving sector growth. The credits’ transferability has spurred increased activity in tax equity structures. However, onshoring domestic production for domestic content bonuses has seen middling success. While joint ventures between U.S. and foreign companies initially showed promise, some projects have stalled, leaving uncertainty about the IRA’s overall impact on reshoring manufacturing.