Funding Development of Environmental Technologies (FUNDETEC)
Lack of access to funding on terms that suit the needs of riskier, growth-oriented technology development enterprises is often cited by technology developers as a significant barrier to innovation, development and commercialisation. This is particularly the case for investments in environmental technologies, which are often considered riskier than alternative technology investments.
The R&D project FUNDETEC, funded by DG Research and the Private Sector, in charge of a consortium composed of TBLI, Banque Populaire, SDRC, FORSEO, EPE and IZT, will, during 12 months, focus on commercial-type and public funding instruments for environmental technology development. The research will address certain public support measures, such as public-private partnerships. These measures, and other evolved private sector funding mechanisms, can have a strategic impact well beyond their immediate outputs. By helping bridge the gap between developers and funders, and between early stage innovation and commercialisation, such funding schemes support the growth of downstream applications and the societal and economic welfare that flows from them.
The FUNDETEC project will examine funding of environmental technology development and commercialisation. The objectives are to measure the performance of existing funding schemes (emphasising commercial-type funding), determine how environmental aspects are dealt with, identify obstacles and suggest evolution of new schemes.
IZT will exclusively examine the public funding instruments and mechanisms for environmental (non-energy) technologies in the EU. In the public realm, there is a range of applicable non-subsidy financial instruments. More modern instruments aim to increase leverage by combining public and private money, or by using public money as a guarantee. The area of intervention includes instruments that increase the availability of risk capital, instruments that provide equity financing, and loan guarantees to encourage the start-up of new technology-based firms.
Project management:Christian Kamburow
Project team:Volker Handke and Christian Kamburow
Background information on the project (in English):
First results as well as proceedings on the IZT/ forseo Freiburg workshop on public funding instruments are available here.