Amazon launching USD-2bn fund to invest in climate-friendly tech

Amazon.com Inc (NASDAQ:AMZN) on Tuesday announced it is launching a venture capital fund initially endowed with USD 2 billion (EUR 1.76bn) to invest in companies developing products, services and technologies that can expedite decarbonisation.

The Climate Pledge Fund will invest in businesses engaged in a number of industries, including transportation and logistics, energy generation, storage, manufacturing, food and agriculture, among others, according to the statement.

“The Climate Pledge Fund will look to invest in the visionary entrepreneurs and innovators who are building products and services to help companies reduce their carbon impact and operate more sustainably. Companies from around the world of all sizes and stages will be considered, from pre-product startups to well-established enterprises. Each prospective investment will be judged on its potential to accelerate the path to zero carbon and help protect the planet for future generations”, Amazon CEO Jeff Bezos said.

Amazon is the first signatory of the Climate Pledge, an initiative it co-founded with non-governamental organisation (NGO) Global Optimism last September. As part of the pledge, it then committed to reaching the net-zero carbon target by 2040, ten years ahead of the Paris Agreement goals, and invited other companies to join.

Announcing the latest venture, the e-commerce giant said it will look to involve fellow Climate Pledge signatories in the new investment programme.

Amazon also revised its previously stated sustainability targets, this time committing to run on 100% renewable power by 2025.

In the Climate Pledge last year, the goal was to use renewable power for 80% of energy needs by 2024 and 100% by 2030.

Amazon has so far announced its ties to 91 renewable energy projects worldwide, which the company said would amount to over 2,900 MW of combined capacity.

(USD 1.0 = EUR 0.882)

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