Global venture investments in clean technology companies rose 83 per cent to $1.9 billion in the first quarter of this year compared to the same period in 2009, setting a record of 180 deals in the period.
According to a report by leading market research firm Cleantech Group and global consultancy Deloitte, the number of venture deals soared to a new record of 180 in the first quarter of 2010, edging past its previous high of 165 deals in the fourth quarter of 2009.
"Preliminary Q1 2010 results for clean technology venture investments in North America, Europe, China and India, totalled $1.9 billion across 180 companies," the report stated.
Cleantech refers to technologies that help save the environment, energy and natural resources. Venture investment in the space increased 29 per cent in Q1 from the previous quarter and 83 per cent from the same period a year-ago.
"The bounce back in venture investment from lows in early 2009 has continued, with the first three months of 2010 representing the strongest start to a year we have ever recorded," Cleantech Group President Sheeraz Haji said.
"The key to the growth has been increasing interest in a broader range of cleantech themes, such as smart mobility and resource efficiency, which are now taking over from the historically dominant renewable energy sector," Haji added.
Growth in cleantech venture investment was matched by new funding from utilities and corporations. Total capacity additions announced by utilities increased in the first quarter of 2010 compared to Q4 2009, as government incentives spurred spending on the part of companies.
While in the private sector, direct investments announced during the first quarter increased by 140 per cent compared to Q4 2009, primarily by energy and consumer and industrial products companies.
Significant investments in biomass and wind projects were announced by Royal Dutch Shell and General Motors.
Moreover, solar, wind and smart grid continue to be attractive sectors for top companies looking to invest in clean technologies.
Transportation was the leading segment for cleantech deals in the quarter by amount invested, having a record $704 million, the report revealed.
Solar was in second place ($322 million), while energy efficiency was the most popular segment measured by number of deals, with 39 funding rounds, ahead of solar and transportation with 27 deals each.
