Supercharging the New Clean Energy Economy: Piva Capital Hosts Event with the U.S. Department of Energy
The world of energy and industrial technology is in the midst of a revolutionary transition, presenting both monumental opportunities and a myriad of challenges. This is why we recently held an event with the U.S. Department of Energy to discuss their initiatives around collaborating with the innovation ecosystem with the aim to supercharge investments in America’s clean energy future and ensure an affordable, reliable, resilient, secure, and equitable clean energy transition.
The event, which took place at the SVB Experience Center in downtown San Francisco, featured David Crane, DOE Under Secretary for Infrastructure, and Giulia Siccardo, Director, Office of Manufacturing and Energy Supply Chains (MESC), who spoke to the audience about funding programs the DOE has to offer, ranging from direct investments, government loans, tax credits, and grants that can help startups play a key role in America’s clean energy future. Their presentations were followed by a panel discussion with David and Guila, as well as Gleb Yushin, Co-founder & CTO of Sila Nanotechnologies, and one of Piva’s portfolio executives, Adam Rauwerdink, SVP of Business Development with Boston Metal, on transforming old industries, creating new ones, and ways to navigate startup challenges in partnership with the government.
The event was kicked off by Adzmel Adznan, Piva Capital’s co-founding Partner, who welcomed the group and gave an overview of Piva Capital and our mission to back visionary founders and emerging technology companies transforming the industry. He then introduced Under Secretary Crane, who offered a look at how the DOE is partnering with the private sector to ensure a secure, resilient, and sustainable energy future.
Crane highlighted the DOE’s significant role to deploy over $90 billion in investments from the Bipartisan Infrastructure Law and Inflation Reduction Act to drive the energy transition. Under his leadership, DOE’s Office of Infrastructure has rapidly scaled up, now administering 60 new programs and announcing over $40 billion in selections. Emphasizing the criticality of public-private partnerships, Crane outlined the DOE’s approach to investment, where the federal government can provide up to 50% of the funding, encouraging competitive and equitable project selection across political landscapes.
Following Crane, Giulia Siccardo took the stage to elucidate the mission of her office and painted a picture of a strategic pivot towards resilience in the energy sector, focusing on strengthening supply chains from critical mineral processing to energy product manufacturing. Addressing vulnerabilities caused by over-reliance on specific partners, companies, or regions, Siccardo’s office is intent on reshaping the energy economy into one that is diversified, circular, and multi-sourced. With $2 billion already deployed and plans to invest substantially more in 2024, the office sets its sights on catalytic projects across various sectors. Siccardo also underscored the DOE’s unique investment philosophy, which prioritizes long-term value creation and sustainability over immediate returns.
Panel Discussion: Insights from Industry Leaders
After David and Giulia’s remarks, Jillian Noël, an investor with Piva Capital, moderated a discussion where panelists discussed energy innovation, investment opportunities, and how capital, technology, and partnerships are converging to reimagine a clean energy future. Highlights follow.
The Scale of Change: Moving Towards 2030
The panelists addressed the pressing question of scaling businesses in climate tech as we approach the crucial 2030 milestone. Adam reflected on the thousands of new entrant startups and the considerable progress made since his early days at Boston Metal. The discussion brought to light the shift in the global steel industry towards Net Zero commitments and the synergy between private and public funds propelling the market forward.
Overcoming Funding Hurdles: The ‘Valley of Death’
One of the most candid parts of the conversation revolved around the infamous “valley of death” — a phase where technology moves from concept to scale, presenting significant funding challenges in capital-intensive industries. Gleb spoke about Sila’s journey of overcoming multiple “valleys of death,” highlighting the complexity of building in a new industry and the resilience required to succeed in battery manufacturing. Adam broke down his company’s approach to navigating this phase, focusing on the importance of diversifying the ways they fund their business, leveraging equity, debt, and early revenues from beachhead markets.
Strategic Partnerships and Government Involvement
The panelists discussed the collaborative efforts between investors, operators, and policymakers and how governmental departments like the DOE are helping emerging innovations in energy get the support they need without being bound to outdated infrastructure and processes. The group discussed the challenges of balancing flexibility and responsiveness with the structure of tax-payer-funded government programs and how DOE offices are working to learn and adapt how they support startups.
Big Projects, Big Impact
The journey of deployment at companies like Sila and Boston Metal was highlighted, showcasing how they faced and overcame challenges in scaling their technology. The role of the DOE in enabling such projects was also emphasized, with special attention given to their commitment to not just the advancement of technology but also to ensuring that the advancements are in line with environmental and societal benefits.
The Future of Energy and Manufacturing
The panelists discussed the future geographies and technologies that will shape the manufacturing and supply chain sectors. They concluded that critical mineral extraction and battery technology innovations would be at the forefront of this shift, alongside a rejuvenation of manufacturing in the United States, spurred by legislative actions like the Inflation Reduction Act. In this next chapter, they predicted we will see both a reinvention of traditional industries like material manufacturing and mining intertwined with the formation of new industries and energy sources.
Parting Thoughts
As we stand on the brink of a new era in energy and industrial technology, the road to a net-zero future is paved with innovation, dedication, and strategic collaboration. The insights shared by the panelists shine a light on the progress made and the work that lies ahead.
If you are a founder at the helm of an innovative solution that has the potential to transform the industry and help propel the country towards its net-zero goals, Piva Capital is actively seeking to support trailblazers who are ready to make a significant impact in the energy sector.
We understand the challenges and complexities that come with scaling groundbreaking technologies. With experience, resources, and a network that can bolster your growth, we are committed to being a part of the solution — by investing in the people and technologies that will redefine our future.
For more information on the U.S. Department of Energy’s clean energy strategy and initiatives, please visit https://www.energy.gov/.
For funding opportunities related to the Office of Manufacturing and Energy Supply Chains, please visit https://www.energy.gov/mesc/office-manufacturing-and-energy-supply-chains.
