President Obama has pointed to the peak the nation has to summit for a brighter cleaner energy future, but will venture capitalists join the trek?
That is a big question in the current climate where VCs seem, well, deflated about investing in cleantech. Bets on producing solar panels and biofuels are taking so much longer to get any returns. Smart meters are finding foes in some energy regulators and consumers. Electric cars are gaining public attention, but they won’t reach critical mass for a while – maybe 10 percent in the United States by 2020.
“We haven’t seen many new comers in the venture capital space in the last few years. This will have to change if we want things to move forward,” said Gil Forer, global director of cleantech at Ernst & Young, during a panel discussion at an energy conference in Abu Dhabi a few weeks ago. “If you look at exits for VCs, they took three to five years in the 90s; seven years in 2004-05. Now we are talking about nine years plus. Not a lot of VCs can sustain this time frame from investment to exits."
To read the full, original article click on this link: Wanted: Daring VCs for the Obama Plan | Renewable Energy News Article
Author: Ucilia Wang
