The ZENERGY Podcast: Energy Leadership, Finance, and Technology

What does it take to scale sustainable technologies from promising ideas to world-changing solutions? That's the challenge at the heart of today's discussion on sustainable energy and climate innovation. Today, we're thrilled to have Eoin Ó hÓgáin, Partner and Chief Investment Officer at Power Sustainable, joining us.

With over 20 years of experience in the energy and climate sector, Eoin brings a wealth of knowledge from his roles at Morgan Stanley, McKinsey & Company, and now Power Sustainable. He'll share insights on the evolution of renewable energy, the challenges of scaling sustainable technologies, and the exciting innovations in areas like food waste reduction.

In this episode, we'll dive into Power Sustainable's ambitious plans to scale up investments from billions to trillions, explore the changing landscape of utilities and renewable energy, and discuss practical advice for aspiring entrepreneurs in the sustainability space.

Get ready for an enlightening conversation that spans from cutting-edge agritech to the future of infrastructure equity. As we unpack the technologies and strategies that are shaping a more sustainable world.

[02:20] -  Eoin has been in the energy and climate space for over 20 years. His first foray into the sector was when he began working for Morgan Stanley.

[04:00] -  After getting his MBA, he worked for McKinsey & Company mostly in the energy space.

[05:06] -  There isn't a utility in the country that hasn't embraced renewables and has some type of program for storage and energy efficiency.

[06:26] -  Power Sustainable is going to scale up from the billions to the trillions. This is why they're in private equity and infrastructure debt.

[08:21] -  Utilities are stakeholders in the energy system. Twenty years ago there was a significant degree of cynicism about renewable energy.

[18:22] -  They have a private equity strategy on the agra foods side. One of the projects they are tackling is food waste which is 8% of the global greenhouse gas emissions.

[19:38] -  They're working on a powder that can turn food waste into food for your plants.

[20:41] -  The technologies are there, it's just a challenge to get them in the hands of people who will use them.

[22:28] -  The investment teams are trying to hit a return target while having a climate sustainability impact.

[23:48] -  The challenge with infrastructure equity is to supply enough capital and scale it up.

[25:07] -  How the investment landscape has evolved since the founding of Power Sustainable.

[29:42] -  It's exciting that we can see and feel the impact of these initiatives. There are astonishing technologies and businesses that deserve to be supported.

[30:45] -  Keep end users front and center. It's unlikely a project will get to scale if people can't see the benefits for themselves.

Getting to zero by 2050 might be the most difficult challenge humanity has ever taken on. That’s because nearly everything we do in our daily lives contributes to greenhouse gas emissions, from how we plug in to how we grow things, make things, get around, and stay cool and warm.

Breakthrough Energy is committed to supporting new technologies that change the way we live, eat, work, travel, and make things so we can avoid the most devastating impacts of climate change.

Cristina Shoffner manages strategic initiatives for Breakthrough Energy’s U.S. Policy & Advocacy team. She leads the policy team’s private sector engagement and supports strategy development to advance Breakthrough Energy’s efforts towards an ambitious U.S. climate policy agenda that encourages innovation and accelerates the deployment of clean technologies.

Cristina joined Breakthrough Energy in January 2021 from the United States Senate, where she served as policy advisor to U.S. Senator Debbie Stabenow and Senate Democratic Leadership. There, she supported Senator Stabenow’s energy and environmental policy agenda and responsibilities as chair of the Senate Democratic Policy & Communications Committee.

Before serving in the Senate, Cristina was Special Assistant for Legislative Affairs in the White House Council on Environmental Quality under President Obama.

[2:07] - Cristina shares her background and what drove her to pursue a career focused on energy policy and advocacy.

[4:08] - In 2020, Cristina had been working in the Senate but wanted to work in the private sector when she was recruited by Breakthrough Energy.

[5:45] - Breakthrough Energy is an impact platform committed to helping the world avoid climate disaster.

[7:04] - Cristina describes some of the programs offered by Breakthrough Energy and what the teams in each program work on.

[10:21] - Breakthrough Energy has a massive platform of companies and innovators to tap into.

[12:32] - The work at Breakthrough Energy is rooted in science and technology.

[14:34] - Cristina shares some of the initiatives that she is most excited about.

[17:18] - There has been so much legislation passed and it can seem overwhelming and confusing for companies to leverage.

[19:23] - There are many Breakthrough Energy innovations that are really exciting and Cristina is very optimistic.

[23:04] - What are the biggest challenges across cleantech?

[25:20] - Cristina shares some areas that could use some more collaboration with lawmakers.

[27:19] - Looking ahead, Breakthrough Energy is optimistic.

Biomimicry is a practice that learns from and mimics the strategies found in nature to solve human design challenges in a regenerative way. The Biomimicry Institute empowers people to create nature-inspired solutions for a healthy planet. Their goal today is for biomimicry to become a natural part of the design process, to create a new generation of innovators who support all life on this planet.

Jared brings his entrepreneurial background and startup coaching experience to the Biomimicry Institute, where he supports startups as they commercialize biomimetic innovations that are addressing major climate and environmental issues. Before joining the Institute, Jared developed and ran startup training programs with Penn State University’s incubator and accelerator programs and was the Program Director of Thought For Food, a global community of food and agriculture entrepreneurs. He is the creator of the open-source startup training toolkit Startup Guts, was an initial founding member of the AgTech company GreenTowers, and started a small food preservation company in rural Kenya. He has an Executive Certificate in Social Impact Strategy from the University of Pennsylvania, and a BS in Mechanical Engineering from Penn State University.

Show Notes:

[1:21] - What is biomimicry? Jared explains what this means and how understanding biomimicry can help us solve a lot of climate challenges.

[3:36] - Jared did not begin his career in this space. He shares how he found himself in the climate space and why it has become so important to him.

[6:40] - You can’t predict future customers if you don’t understand their past behaviors.

[7:34] - One of the most successful and exciting programs the Biomimicry Institution offers is a startup support program called The Ray of Hope Accelerator.

[8:29] - Jared shares some of the data and statistics that show the success from The Ray of Hope Accelerator.

[11:58] - Jared describes some of the companies that are a part of the Biomimicry Institute’s portfolio.

[13:21] - If we work with nature instead of against it, we can make things stronger.

[14:36] - There is a lot to learn from nature and many ways to apply what we learn.

[16:18] - A key component of the Biomimicry Institute’s support is education.

[19:25] - Jared shares how he and his team stay up to date on their own education and learning in the industry.

[22:54] - What sets the Biomimicry Institute apart?

[25:13] - There are several things that Jared is excited about when it comes to new technologies and new things to explore that could impact the climate world.

[28:51] - This area has a ton of growth opportunities and potential for positive change.

Terraformation provides early-stage financing for biodiverse carbon projects. They function as an extension of a team to identify, design, and grow reforestation projects that deliver a portfolio of high-quality carbon credits. Their partnership team connects with forestry organizations around the world to build a pipeline of future reforestation projects across Africa, Latin America, and Southeast Asia.

Yee Lee was the first team member to join Terraformation and has an extensive track record as a serial entrepreneur with involvement in many of the most impactful companies in the tech industry. Yee began his career in Silicon Valley as an early team member at PayPal and, over the course of 25 years, has served in engineering and product management roles at companies like eBay, Google, Skype, TaskRabbit, and Facebook. Yee founded four startup companies in the social network, ecommerce and fintech sectors. These roles have allowed Yee to leverage his extensive understanding of engineering, design, social apps, and fintech to scale transformative products.

At Terraformation, Yee leads the Growth and Capital Markets team, focused on growing the global regenerative forest restoration industry by creating systems and resources that help foresters start more new projects and be more successful.

[1:33] - Yee shares his background and his “why” in dedicating his career to climate and forestation.

[4:30] - After working for 25 years in tech, Yee made connections with Yishan Wong, who later became the Founder and CEO of Terraformation.

[7:24] - How did his experiences in Silicon Valley lead him to a career change?

[9:58] - In the early days of Terraformation, Yee and Yishan determined what could be scaled to make a difference in climate change.

[11:13] - Creating forests is a value creation exercise.

[14:11] - If you are interested in having conversations with those who are in the climate space, Yee gives some tips. Most people are eager to network.

[19:00] - Yee describes the early days of networking at Terraformation.

[21:51] - While it seems like Terraformation’s goal is to plant 1 trillion trees, it is really the world’s goal to reforest that much land. Terraformation has teams that work on doing as much as possible to restore nature.

[23:36] - Terraformation needs foresters trained in a specific skill set. There are not enough people with these skills to reach these goals.

[27:08] - Terraformation is known for its seed banks.

[30:17] - What is the role of machine learning and AI in reforestation?

[31:56] - Yee shares what the next few years will look like for Terraformation and the broader reforestation movement.

Azolla Ventures invests in breakthroughs that could avert catastrophic climate change. They focus on ventures at the earliest stages, where risk and reward are highest. Their priority is impact first: every investment holds the potential for large-scale greenhouse gas reductions and a more just climate for all. Founded by Prime Coalition and enabled by catalytic capital, they seek out bold entrepreneurs from all corners and embrace opportunities outside of venture norms.

Amy Duffuor is the co-founder and General Partner of Azolla Ventures. She is also a Managing Director at Prime Impact Fund, Azolla Ventures’ predecessor vehicle. Her professional background spans business, finance, and impact across three continents. Amy has served as a board member for Azolla Ventures portfolio companies Heaten and Carbon Reform, as well as Prime Impact Fund portfolio companies Clean Crop Technologies, Noon Energy, and Ovipost.

In addition, Amy serves on the board of the Northeast Clean Energy Council (NECEC); the Leadership Council of Activate, a nonprofit that empowers scientists to bring their research to market to address climate change; the Advisory Council of ReFED, a national nonprofit focused on food waste; and the Advisory Board of GreenTech Noir, a global community for Black people working in sustainability and climate tech.

[01:16] -  Amy walks us through the co-founding of Azolla Ventures and how it began with the Prime Coalition and a mission to use catalytic capital to drive climate innovation. 

[02:09] -  Catalytic capital is tax exempt, structurally patient and more flexible, and it can be used to de-risk technologies for downstream investors.

[05:13] -  Azolla Ventures helps lessen risk through a unique funding model that combines both catalytic capital with more traditional venture capital.

[07:04] -  They invest in pre-seed, seed, and Series A rounds in hardware based companies. Hardware requires a longer investing horizon.

[07:26] -  There are three key evaluation investment criteria that underscore the importance of catalytic capital in their model. 1. Gigaton scale climate impact. 2. Additionality. 3. Attractiveness to downstream commercial capital.

[12:26] -  There are often other investors investing alongside Azolla Ventures. They try to be thoughtful about how they put these syndicates together.

[14:39] -  Amy talks about how Azolla sources potential investment partners. 

[16:14] -  Azolla has a unique process that begins with a pitch to a member, then a full-team pitch, then it's time for the investment advisory committee who help with the last two steps of additionality and downstream funding.

[20:09] -  Most companies raise rounds with 18 to 24 months of runway. 

[21:34] -  First tip is to understand what stage your company is at and realize it may not be the right stage for venture capital.

[22:43] -  Be confident about demonstrating your expertise but humble about what you don't know.

[23:58] -  Be coachable and agile.

[24:38] -  The driving motivation for Azolla is large-scale climate impact.

[26:08] -  Challenges include the long investment horizon and capital intensity and the project financing valley of death.

[29:05] -  Founders need to be commercially minded and focus on customers and partners towards the later stages.

[29:53] -  Amy's advice is don't be so focused on the job, be focused on the skill sets that you're gaining.

The mission of the U.S. Environmental Protection Agency (EPA) is to protect human health and the environment. To accomplish this mission, the EPA strives to develop and enforce regulations, provide grants, study environmental issues, sponsor partnerships, teach people about the environment, and publish information to keep the public informed.

Sanjay Seth is Chief of Staff & Senior Advisor for Climate and Equity for the U.S. Environmental Protection Agency, Region 1, which is a 550-person unit of the EPA focused on the New England region. In this role, he supports the Regional Administrator to craft and implement policy, planning, operations, and personnel strategies across all programs, with a focus on climate change, environmental justice, and regional implementation of the Bipartisan Infrastructure Law and Inflation Reduction Act programs.

[1:25] - Sanjay shares his background and his current role at the EPA. For him, climate work is incredibly exciting but also very challenging.

[4:12] - People who have done the least harm to our climate are experiencing the most grief about its decline.

[5:43] - How do we leverage private capital, promote energy and independence, lower costs, and help communities that have been left behind?

[6:47] - There are three components to the Greenhouse Gas Reduction Fund. Sanjay explains how the funds are invested in the community.

[10:08] - How is the distribution structured so communities can access these grants and funds?

[13:46] - Sanjay shares some of the recent successes experienced at the EPA.

[17:37] - How does the EPA work with communities to have an impact?

[19:37] - Assisting with technology and increasing access to grants and subgrants are some of the efforts of the EPA.

[21:47] - Working in climate is living in the space between optimism and skepticism to try to figure out how we make lasting progress.

[23:59] - Sanjay discusses some of the challenges he’s seen occur that they have worked on finding solutions for.

[26:30] - There are always going to be challenges and barriers when doing impactful work.

The Climate Investment Funds (CIF) is an enabler of pioneering climate-smart planning and climate action in low and middle-income economies, many of which are the least prepared yet the most prone to the challenges of climate change. CIF responds to the worldwide climate crisis with large-scale, low-cost, and long-term financial solutions to support countries in achieving their climate objectives. It is in the Climate Investment Funds’ core beliefs that helping communities shift faster to clean and green practices strengthens populations’ resilience against climate risks, stabilizes national and regional economies, and paves the way for more sustainable development where no one is left behind.

As the Senior Climate Change Specialist and Clean Energy Lead, Daniel Morris works with the Climate Investment Funds’ partners to help deliver transformational change in the energy systems of developing countries. Daniel’s 12 years of experience in working to build economic and policy solutions to the climate crisis are also derived from his previous roles as an Advisor to the US Executive Director of the World Bank and as a Policy Analyst in the US Treasury. In the latter position, he helped to execute the agency’s responsibilities related to the United States’ climate and energy agenda. 

[1:20] - Daniel shares his background and how he found himself in his current role at CIF.

[4:25] - It is important to Daniel to do good work that makes a difference.

[7:09] - Starting out as a consultant, he was able to establish some networking and the opportunity to learn more about CIF before being fully employed there.

[8:36] - Especially early in your career, take advantage of any opportunity you come across that can build your skills.

[9:56] - Understand the strengths of all the team members.

[12:34] - Daniel discusses the work streams and structures at CIF.

[13:56] - CIF partners with governments and multilateral development banks to develop country-led investment plans.

[16:27] - Daniel describes some of the programs at CIF and the focuses of each.

[17:48] - CIF covers a range of climate innovations, and Daniel oversees Clean Energy.

[21:53] - It is not a universal access model.

[23:27] - Daniel explains the changes and growth since the start of CIF.

[26:56] - From a commercial viability standpoint, what can CIF offer?

[30:15] - Daniel describes the enthusiasm and motivation for developing countries looking for clean energy.

[33:42] - Reflecting on his career path, Daniel shares the advice he would give himself at different stages in the development.

The mission of the U.S. Environmental Protection Agency (EPA) is to protect human health and the environment. To accomplish this mission, the EPA strives to develop and enforce regulations, provide grants, study environmental issues, sponsor partnerships, teach people about the environment, and publish information to keep the public informed.

Surabhi Shah has been working at the intersection of environmental protection and community work for three decades. At the U.S. Environmental Protection Agency, she has led programs in community revitalization, environmental justice and water quality. Surabhi’s leadership in building partnerships with communities, government agencies, NGOs, and the private sector was recognized by the Partnership for Public Service with the Service to America medal for “most admirable contribution to the American people”.

Prior to joining EPA, Surabhi held leadership positions at the North Carolina Department of Environmental Quality in their hazardous waste and drinking water programs.

[1:14] - Surabhi shares her background and a bit about her work at the EPA.

[3:01] - People are trying to make change happen and that’s what Surabhi was attracted to at the start of her career.

[5:38] - Surabhi shares some of the things she did and had to remember that helped her through working in the government and moving up at the EPA.

[8:45] - You can study government, but when you find yourself in an organization, you have to learn the culture.

[9:55] - Mentorship is very important and can make the biggest difference.

[12:01] - Something that can be tricky is when government policy changes. Surabhi describes some of the different focuses through different administrations.

[14:54] - If you want change to last, you have to consider culture.

[15:58] - Surabhi demonstrates how we think about change. Can we change the structures and systems that we don’t even think about?

[20:56] - Grants would also be in the community action roadmap system.

[24:54] - Surabhi explains how a roadmap can help advance an agenda based on the current administration.

[28:01] - There is a balance that needs to be found to advance an agenda and guide political leadership.

[30:03] - Not long ago, we really couldn’t talk about climate change. But now there’s a huge body of work and a report can quickly change things.

[32:31] - How do we make sure that something is an impactful investment when things are constantly changing?

[34:38] - You can do exactly what you want to do, career-wise, and keep the climate crisis in mind.

[38:29] - Surabhi demonstrates how every career field impacts the climate crisis.

C40 is a global network of nearly 100 mayors of the world’s leading cities that are united in action to confront the climate crisis. Mayors of C40 cities are committed to using an inclusive, science-based and collaborative approach to cut their fair share of emissions in half by 2030, help the world limit global heating to 1.5°C, and build healthy, equitable and resilient communities.

Zachary Tofias serves as the Director of the Food and Waste Programme at C40. His work supports C40 cities’ transition toward regenerative resource management and reducing emissions through more sustainable consumption. The Food and Waste Programme is helping cities accelerate a worldwide transition to more effective municipal solid waste management, and the implementation of comprehensive solutions that reduce carbon emissions and increase resiliency throughout the urban food system.

Zach has been with the C40 Cities Climate Leadership Group since 2007 in partnership with the Clinton Climate Initiative. Over the course of this time, he has been City Director in Addis Ababa, Ethiopia, created and led the Climate Positive Development Programme, was the head of Urban Planning and Development, and recently was the Interim Director of Adaptation.

[1:14] - Zachary describes C40 and what the mission and unique structure is.

[2:16] - C40 started in 2006 as a global collaboration of mega cities.

[3:44] - Accelerators are science-based targets that show what is the highest level of science-based actions that cities should be taking.

[5:45] - Zach explains the peer cities model C40 uses to collaborate globally.

[11:35] - Large cities are the form of government that is closest to the people.

[13:47] - Zach is extremely optimistic about the opportunities for action towards making people’s lives better.

[15:47] - Engaging with the private sector is a space of enormous possibility.

[17:08] - Zach lists some of the areas of opportunities and solutions.

[18:44] - Everybody can and should be involved in the climate space.

The Office of Policy advises and supports priorities of the Secretary of Energy and other departmental elements on a range of topics related to domestic energy and climate policy issues, including technology policy, deployment and infrastructure policy, state, local, tribal, and territorial policy, and energy jobs. 

The Office of Policy works collaboratively across the department and federal government, leveraging existing capabilities of program offices and national labs to achieve policy analysis objectives and build long-term analytical capabilities.

Carla Frisch is the Acting Executive Director and Principal Deputy Director of the U.S. Department of Energy (DOE) Office of Policy. The Office of Policy provides analysis on all aspects of the energy sector and works across government to enable policy in support of a clean energy economy. Frisch has directed DOE offices focused on climate and environment, energy efficiency, renewable energy, transportation, and electricity systems. She has worked extensively on energy system vulnerabilities and solutions. Previously, she led the U.S. Program at RMI and was an Adjunct Professor at Northwestern University. Frisch holds degrees from Duke University and UNC Chapel Hill.

[2:49] - We are currently in a historic moment for energy policy, climate policy, and the American economy.

[4:13] - Since 2021, we have seen over 400 new or expanded manufacturing facilities in the US. Carla shares some data and goals for upcoming years.

[5:40] - This is the result of a concerted industrial strategy with four pillars.

[7:54] - Carla explains the DOE’s role, specifically the Office of Policy, regarding the Inflation Reduction Act.

[11:09] - We’re seeing a major shift and impact in the US, saving Americans money on their utility bills and reducing US greenhouse gas emissions.

[13:40] - We are also experiencing a historic moment when it comes to this tax credit.

[16:46] - There is a tax credit for an energy audit for those who don’t know where to start.

[18:54] - What job and career opportunities are there at the DOE?

[20:45] - Carla shares what inspired her to commit to climate policy and the advice she has for those looking to do that same.