Clean energy startups are still waiting for promised federal funding - Greater Baton Rouge Business Report

Clean energy startups are still waiting for promised federal funding

A pile of government cash from last year’s climate law was supposed to fuel a wave of clean-energy startups. However, many are running out of money before the funding comes through, The Wall Street Journal reports.

Higher interest rates and rising costs have hurt the companies in what are often capital-intensive industries. Washington’s grinding bureaucracy has been slow to dole out the cash from the climate-focused Inflation Reduction Act.

Instead of minting a generation of startups, the government’s climate cash is set to flow to big companies that have better access to funding and moneymaking businesses that can offset costs.

Companies such as battery recycler Li-Cycle Holdings, hydrogen upstart Plug Power and small modular nuclear reactor firm NuScale Power are delaying or canceling projects because of ballooning construction costs and higher interest rates. Read the full story.