How open innovation can accelerate decarbonisation
A crucial role for start-ups on the road to net zero
By Akilah LeBlanc on Nov 25, 2022
The energy transition is upon us, and the need for swift and decisive action is clear. If we continue at our current incremental pace of change, we will not be able to avoid the most serious consequences of climate change. The fast-track to decarbonisation requires radical ideas, innovative technologies and genuine private–public collaboration. Shell is deeply involved, both as a partner and a convener, in business ecosystems that deliver technology and digital innovation. We see this as a fundamental requirement for accelerating the transition to a net-zero emissions future.
Digital technology helps in four key ways.
- Making today's energy system more effective and more efficient.
- Accelerating the design of low-carbon solutions.
- Enabling effective implementation and management of an emerging energy system that is more complex and diverse.
- Unlocking new business models by creating economic incentives and demand signals that attract investment into low-carbon technologies and bring them to market sooner.
An International Energy Agency reporti stated that 35% of the cumulative carbon dioxide emissions reductions needed for a sustainable future will come from technologies that are currently at the prototype or demonstration phase. Another 40% of the reductions are expected to come from technologies which have not yet reached commercial maturity. It is crucial, therefore, that in the coming years we focus on technology innovation and commercial development.
Strong partnerships with start-ups and entrepreneurs
Throughout the digital technology community there is enormous energy and enthusiasm for net zero and the energy transition. There are numerous start-ups working in all areas of the energy system. Digital and physical technologies are being combined to transform business activities for everything from green hydrogen projects to the assessment of nature-based solutions. Shell is working with start-ups and innovation partners to accelerate the development of technology which helps society to transition to a net zero emissions future.
Start-ups and entrepreneurs bring a different mindset and fresh perspectives to the net zero challenge. They can move much faster than big organisations and find it easier to do new things. This makes them a perfect fit for companies like Shell, which are less nimble, but can offer strong financial support, extensive technical capacity and easy access to global partners and markets.
What do start-ups and entrepreneurs gain from collaboration?
Incubators and accelerator programmes help start-ups in three key ways. The first is direct access to a network of investors and corporate bodies that can help scale the new technologies. The second is access to a network of mentors who can help them avoid common pitfalls. And the third is support with the promotion and publicity that helps new businesses prosper.
Start-ups can also provide the vital bridge between publicly funded research and technology product development. Those whose focus is research, like the teams at the National Renewable Energy Laboratory in the USA, rely on start-ups to help commercialise their ideas. By working with public research bodies and commercial organisations, start-ups can access and leverage the best of laboratory facilities and enter a support ecosystem that goes far beyond technical assistance.
Ideas into action
Shell is supporting a range of start-ups and scale-ups that operate in the area of decarbonisation. Space Intelligence, for example, is a satellite data analytics start-up that uses freely available satellite data to track changes in land cover and in the carbon stocks held in vegetation and peatlands. These high-quality datasets are helping to address deforestation and to guide the restoration of damaged ecosystems. Space Intelligence’s trusted maps help companies ensure that the money they provide is being spent effectively and that carbon offsets are real and verifiable.
“We have seen massive benefits from the Shell GameChanger programme,” says Ed Mitchard, professor at University of Edinburgh and co-founder of Space Intelligence. “It provided funding for us to try out a new way of using satellite data to map land cover change in Brazil. It has been a very positive experience working with the innovative people within Shell.”
Shell is also working with Mirico, a scale-up company that helps customers achieve net zero by monitoring emissions of greenhouse gases over large industrial sites. “Collaboration is a great way to bring new ideas to market,” says Mark Volanthen, Chairman of Mirico. “Corporates have established customers and established brands, while start-ups tend to be more innovative and reactive to the rapidly changing needs of markets. Decarbonising established industries calls for innovative thinking, and we see entrepreneurs at the forefront of that.”
Working with entrepreneurs encourages Shell to move more quickly and to take early decisions on which processes and technologies to support and develop. These open partnerships bring together disruptive technologies, innovative thinking and the commercial and financial backing that will make new ideas a reality.
Better technologies, better companies
Start-ups and scale-ups are important vehicles for turning good ideas into ventures. Innovators have a key role in showing what could be done with new digital technologies. But they have to be supported by entrepreneurs and corporates to ensure that the tools for driving the energy transition become widely available.
Shell can help by integrating technologies from start-ups with scalable solutions that we can bring to market to accelerate the transition to a net-zero emissions energy system. We acknowledge that rapid digital transformation of the energy sector will require a broad ecosystem where each organisation brings specific strengths and expertise. Achieving net zero will test the members of these ecosystems to the limits of their capability and stretch what they can do. The result will be better technologies, better companies and a profound impact on the biggest challenge facing the world today.
i Clean Energy Innovation, IEA flagship report, July 2020
https://www.iea.org/reports/clean-energy-innovation
Akilah LeBlanc is General Manager for Commercial Innovation Partnerships at Shell and leads the Shell GameChanger start-up acceleration program, where Shell partners with start-ups to accelerate the development of energy-related technology solutions.
Read Video Transcript
Read Video Transcript
Title: {Working with entrepreneurs towards net-zero emissions}
Duration: {4 :18} minutes
Description:
{Shell and Partner voices discuss the goal of net zero emissions, new technologies and collaborations}
{In the scenery of Web Summit 2022, discover how Shell is deeply involved, both as a partner and a convener, in business ecosystems that deliver technology and digital innovation.
The fast-track to decarbonisation requires radical ideas, innovative technologies and genuine private–public collaboration.
Start-ups and entrepreneurs bring a different mindset and fresh perspectives to the decarbonization challenge. They can move much faster than big organisations and find it easier to do new things. This makes them strong partners for technology and digital innovation.}
{Working with entrepreneurs towards net-zero emissions} Transcript
[Background music plays]
{Uplifting music}
[Visuals]
{Opens with footage of Web Summit logo in front of building. Then cuts inside for montage shots of participants attending the event.}
[Visuals]
Cuts to Akilah, full frame.
[Text displays – name strap]
Akilah LeBlanc
General Manager, Shell GameChanger
[Akilah LeBlanc]
{General Manager, Shell GameChanger}
[Akilah LeBlanc]
{Entrepreneurs are a critical part in decarbonizing society because we need inventors that bring novel, disruptive ideas.}
[Visuals]
Cuts to montage shots of event while Akilah is talking.
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Cuts Johanna, full frame.
[Text displays – name strap]
Johanna Jamison
Program Manager Program, National Renewable Energy Laboratory
[Johanna Jamison]
{Program Manager Program, National Renewable Energy Laboratory}
[Johanna Jamison]
{The energy transition is upon us. But if we continue to move at our current pace of incremental adoption, it won't be fast enough to avoid the warming that brings with it the most serious consequences.}
[Visuals]
Cuts to shots of the Earth and civilians walking while Johanna is talking.
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[Text displays – name strap]
Mark Volanthen
Chairman, Merico
[Mark Volanthen]
{Chairman, Merico}
{The energy transition’s disrupting well-established supply chains and technology and innovation are playing a key role in accelerating that change.}
[Visuals]
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Dan Jeavons
Vice President, Computational Science & Digital Innovation, Shell
[Dan Jeavons]
{Vice President, Computational Science & Digital Innovation, Shell}
[Dan Jeavons]
{So technology innovation is fundamental to the energy transition, particularly in the hard to abate sectors. Digital technology has a critical role to play.}
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Tom Siebel
CEO, C3 AI
[Tom Siebel]
{CEO, C3 AI}
[Tom Siebel]
{I think one of the most exciting aspects of the collaboration with Shell has been their idea of opening their ecosystem to the world.}
[Visuals]
Cuts to bird’s-eye shot of a car driving on a road through the trees, followed by a point-of-view shot from the car, and a low-angled shot of the sky.
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[Mark Volanthen]
{Mirico helps our customers achieve net zero through monitoring emissions of greenhouse gasses over large industrial sites.}
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Cuts to shot of Mirico sign while Mark is talking. Then cuts back to Mark, before cutting to wide shot of industrial site.
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[Text displays – name strap]
Fabio Ciccateri
CTO, Finno Energy
[Fabio Ciccateri]
{CTO, Finno Energy}
[Fabio Ciccateri]
{Finno Exergy is developing a retrofitting solution for gas turbine that will reduce their fuel consumption and CO2 emission of up to 20% and will enable them to run with any mixture of hydrogen and methane.}
[Visuals]
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[Text displays]
Ed Mitchard
Co-Founder & Chief Scientist, Space Intelligence
[Ed Mitchard]
{Co-Founder & Chief Scientist, Space Intelligence}
[Ed Mitchard]
{Space Intelligence is a satellite data analysis company. We map land cover and the carbon stored in forests across the whole world using different types of satellite data.}
[Visuals]
Cuts to shot of forest before cutting back to Ed.
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Cuts to shots of Dan and Mark talking to guests at the summit.
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[Mark Volanthen]
It's great for start-ups to collaborate with corporates. They bring established routes to market, established customers and often established brands as well.
[Visuals]
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[Fabio Ciccateri]
{Collaborating with corporate is a great opportunity for start-ups like us to improve on multiple levels and get more professional.}
[Visuals]
Cuts to shot of Ed talking to Dan.
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[Ed Mitchard]
{Large corporations often have funds that they can deploy, which could be used, for example, to help the natural world…}
[Visuals]
Cuts to montage of drone flying, a car being designed on a computer, a close up of a person riding on an electric scooter, and lab scientists examining the growth of vegetation.
[Ed Mitchard]
{… But they often lack the nimbleness that small companies have to develop new and innovative solutions. So I believe start-ups can benefit hugely from working with corporations to help them target that money and get those innovative ideas off the ground.}
[Visuals]
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[Text displays]
Danny O’Brien
Managing Director, EMEA & Global Programs, SVG Ventures | THRIVE
[Danny O’Brien]
{Managing Director, EMEA & Global Programs, SVG Ventures | THRIVE}
[Danny O’Brien]
{At SVG ventures THRIVE. We work with some of the leading corporates in the agri-food tech sector, including Shell, to convene an ecosystem of partners and help start-ups scale.}
[Visuals]
Cuts to shots of Danny, Johanna and Akilah talking at the summit.
[Visuals]
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[Johanna Jamison]
{And we at the National Renewable Energy Laboratory are focused on research. So we really need to collaborate with start-ups to commercialise the technology. We almost work as the extension of their team to offer critical and unique capabilities.}
[Visuals/Animation]
Cuts to shot of lab table. Digital drawings of renewable energy sources appear, including electric chargers, solar panels and batteries.
[Visuals]
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[Danny O’Brien]
{I think the unique role that venture investments play in accelerating start-ups is giving them a chance. The data will show that, most investments fail, but the ones that succeed achieve outsized impact.}
[Visuals]
Cuts to generic shot of team members analysing data, before cutting back to Danny.
[Visuals]
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[Animation]
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[Dan Jeavons]
{Working closely with the start-up ecosystem gives us the ability to tap into the best and brightest minds with real diverse thinking.}
[Visuals]
Cuts to shot of Mark, Dan and Akilah talking at the summit, followed by close up of Akilah.
[Visuals]
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[Akilah LeBlanc]
{Shell has several open collaboration teams that work with start-ups all the way from proof of concept to start-ups that have a product ready for material investment and to go to market.}
[Visuals]
Cuts to shot of Akilah talking to participants, before cutting back to her, full frame.
[Visuals]
Cuts to Tom talking to Dan and two other participants at the summit.
[Visuals]
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[Tom Siebel]
{They will take you to the limits of your capability. They will make you stretch what you can do. You will be a better company.}
[Visuals]
Cuts to shots of a staircase, team members analysing data on a board, and a shot of a sign that reads: “Partnering with the technology industry for a cleaner energy future”
[Visuals]
Cuts to Tom, full frame.
[Tom Siebel]
{If I were a start-up with new technology, the company that I would like to partner with is Shell.}
[Visuals]
Cuts to shot of satellite orbiting Earth, followed by high-angle shot of forest.
[Animation]
Wipe transitions to Ed, full frame.
[Ed Mitchard]
{We’ve gained massively from working from Shell. This gave us funding to try out a new way of using satellite data to map land cover change in Brazil.}
[Visuals]
Cuts to shot of Akilah hosting a panel at the summit.
[Visuals]
Cuts to Akilah, full frame.
[Akilah LeBlanc]
{Open innovation and collaboration are extremely important for Shell. It's only by combining the innovative ideas that we get to affordable energy solutions, and that we get to cleaner energy solutions.}
[Visuals]
Cuts to shot of Akilah speaking on the panel, before cutting back to her, full frame.
[Visuals]
Cuts to shots of wind turbines and solar panel fields.
[Visuals]
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[Dan Jeavons]
{One of my core beliefs is that energy transition is going to be a team sport.}
[Animation]
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[Johanna Jamison]
{No one of us can solve this challenge on our own.}
[Visuals]
Cuts to shots of digital wind turbine simulation and a TV promoting the Shell Energy Transition Experience.
[End board with logo]
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@Shell International Limited 2022
