The Innovations Pushing Transport Toward Net-Zero

The global transport infrastructure is deeply intertwined with the fossil fuel industry. Transportation contributes 15% of global emissions, making it the second-largest emitter of greenhouse gases. To achieve transport decarbonization, the sector must wean itself off fossil fuels which still powers most vehicles worldwide.

 

There are promising signs of progress.. The electrification of road transport is accelerating, with advancements in electric vehicles and batteries leading the way. However, other transport segments—public transit, freight, aviation, and maritime—still have a long road ahead. Decarbonizing long-distance transport remains one of the toughest challenges.

 

To cut emissions, the transport sector must immediately improve energy efficiency across all modes and expand the use of low-carbon fuels. Yet, progress is hindered by declining investment. Climate Tech funding for transport has steadily decreased, from 22.3% of total Climate Tech funding in 2020 to 19.1% in 2024. Achieving deep emissions reductions will require significant infrastructure investments to enable low- and zero-emission transport solutions at scale.

 

Solutions across Transport

 

Transport decarbonization requires a comprehensive strategy to build a sustainable, zero-emission mobility system. Climate technologies offer promising solutions, from electric vehicles and charging stations to low-carbon fuels and other innovations. The Climate Tech Taxonomy categorizes these breakthroughs, making it easier to track progress across each sector.

 

 

Electric Vehicles

 

The electrification of road vehicles via EVs is a game-changer for the transport sector. EVs allow the industry to integrate clean energy sources and reduce dependence on fossil fuels. EV adoption is growing strong, with global sales surpassing 10 million in 2022, accounting for 14% of all car sales.

 

Some of the key Climate Tech innovations in road transport electrification include:

• EV Manufacturing – Advanced battery technologies increase energy density and charging speeds, while automated production and lightweight materials improve efficiency.
• Electric Air Transport – eVTOLs (electric vertical take-off and landing) and electric aircraft reduce aviation emissions, making urban air mobility and short-haul flights more sustainable.
• Electric Trucks – Battery-electric models dominate short- and mid-range transport, while hydrogen-powered trucks enable longer distances with fast refueling.
• Electric Scooters – Compact and powered by electric motors, they offer a zero-emission solution for urban commuters and short-distance travel.
• Electric Vessels – Ships and boats run on electric propulsion, using high-capacity batteries and efficient motors to cut maritime emissions.

 

Notable startups to watch out in Electric Vehicles

 

Indian-based Euler Motors manufactures commercial electric three-wheeler cargo vehicles with industry-leading payload capacity, range, and battery performance. Euler Motors raised $60M in Series D funding in March 2025 from Hero Motocorp.

 

US-based Circuit operates on-demand, 100% electric shuttle services, bridging first- and last-mile transit gaps. Its eco-friendly model reduces congestion and lowers emissions in urban areas. Circuit raised $17M in Series B funding in February 2025 from Mackinnon, Bennett & Company, Tribeca Venture Partners, and Impact Engine.

 

UK-based Greenjets develops advanced electric propulsion systems for aviation, offering quiet, efficient, and sustainable alternatives to traditional jet engines. Greenjets raised $7M in Series A funding in March 2025 from Md One Ventures, Fuller Family Ventures, Spacewalk VC, and others.

 

Charging Stations

 

Charging stations serve as critical infrastructure for the shift to cleaner transportation, supporting both electric vehicles (EVs) and alternative fuels. While traditional EV charging points dominate, many stations accommodate compressed natural gas (CNG) and liquefied natural gas (LNG) too. Hydrogen fuel stations further strengthen the ecosystem by enabling zero-emission fuel cell vehicles with quick refueling capabilities.

 

Despite rising EV sales, charging infrastructure has not kept pace. A reliable and widely accessible network is essential to ease range anxiety, improve user convenience, and support long-distance travel. Charging must also integrate seamlessly into daily life—at home, workplaces, and public locations.

 

Advancements in EV charging focus on speed, flexibility, infrastructure management, and user experience. Key innovations include:

• EV Charging Technology – Faster charging speeds, smart energy management, and improved grid stability through innovations like ultra-fast charging, wireless charging, and vehicle-to-grid (V2G) solutions.
• Hydrogen Fuel Stations – These refueling hubs enable hydrogen-powered vehicles to achieve long driving ranges with quick refueling, positioning hydrogen as a strong contender in clean transportation.
• Charging Digitalization – Smart charging solutions, including dynamic load management and real-time pricing, optimize grid demand and improve cost efficiency.
• EV Charging Financing – New business models like Charging-as-a-Service (CaaS) reduce upfront costs, making charging infrastructure more accessible for businesses and consumers.

 

Notable startups to watch in Charging Stations

 

French-based Qovoltis producesEV charging stations for homes, condominiums, businesses, and car parks. Its smart charging technology optimizes speed and power based on user schedules, electricity availability, and real-time rates. Qovoltis raised $49M in Series B funding in October 2024 from Andera Partners, Epopée Gestion, and Paris Mouratoglou.

 

California-based Ample enables ultra-fast EV charging through modular battery swapping, delivering a full charge in under five minutes. Its autonomous robotics-based platform enhances efficiency and accessibility for EV owners. Ample raised $25M in Series D funding in November 2024 from Mitsubishi Corporation.

 

US-based Treehouse offers turnkey Installation-as-a-Service for seamless EV charging for residential, commercial, and fleet applications. They offer services like EV charging, electrical upgrades, and home battery systems. Treehouse $16.6M Series A funding in October 2024 from Eaton, Invest Detroit, inVest Ventures, Montage Ventures, and more.

 

Transport Fuels

 

The transport sector accounts for nearly 60% of global oil demand, and rising economic standards continue to drive consumption. However, long-term projections suggest a shift. The Global Energy Perspective 2023: Oil Outlook forecasts that oil demand will start to decline by year 2030. This trend is mostly driven by a decrease in fossil fuel-powered road transport, as more EVs hit the road. Given the scale of road transport, especially in remote regions, phasing out fossil-fueled vehicles must happen gradually.

 

Similarly, scaling low-emission fuels is necessary for high-energy sectors like aviation and maritime. Transitioning ships and planes to alternative fuels should help cut emissions.

 

Innovation in low-carbon fuels powers the shift to sustainable transport through solutions such as::

• Biofuels produced from renewable sources like crops, algae, and waste materials provide a cleaner alternative to fossil fuels, helping to cut emissions.
• Hydrogen is a fuel cell technology that delivers zero-emission energy with potential across multiple transport applications.
• Synthetic Fuels are created through carbon capture and utilization and offer a scalable option to lower the carbon footprint of internal combustion engines.

 

Beyond fuel alternatives, improving fuel efficiency is an easy path to transport decarbonization. Advancements in vehicle technology optimize energy use and reduce fuel consumption. Key innovations include real-time traffic monitoring, fleet management systems, and next-generation engine designs.

 

Transport Fuels Startups to Watch

 

US-based Emvolon converts stranded energy resources such as landfill gas, biogas, and waste biomass into high-value, carbon-negative fuels and chemicals like green methanol and green ammonia. Its technology drives transport decarbonization while creating economic value by preventing methane and CO₂ emissions,. Emvolon raised $10.5M in Series A funding in October 2024.

 

Swedish company Liquid Wind develops eFuel production facilities to supply eMethanol, a low-carbon fuel designed to decarbonize hard-to-abate sectors. Liquid Wind raised $46.8M in Series C funding in November 2024 from Samsung Venture Investment, Hycap, and Uniper.

 

Twelve’s industrial-scale electrochemical technology uses CO₂ electrolysis to convert CO₂ and water using renewable electricity into jet fuel. This zero-emission process eliminates the need for fossil fuel-based feedstocks. Twelve raised $83M in Series C funding in February 2025 from Mitsui & Co., Development Bank of Japan, The Climate Pledge, and others.

 

London-based Protium develops, owns, and operates renewable energy and green hydrogen infrastructure to deliver zero-emission energy solutions. It serves green aviation, consumer-facing industries, and commercial transport with end-to-end sustainable energy services. Protium raised $39.2M in Series B funding in December 2024 from Toho Gas, ITOCHU Corporation, Swen Capital Partners, and Barclays.

Ports and Maritime Transport

 

The global economy is highly dependent on international shipping which facilitates nearly 90% of worldwide trade. However, it also accounts for 70% of global shipping-related energy emissions, making it one of the hardest sectors to decarbonize. Achieving net-zero emissions in maritime transport requires a strategic combination of energy efficiency improvements and a transition to renewable fuels.

 

Advancements in both container ships and port infrastructure are accelerating the shift toward maritime transport decarbonization. Innovations in container ships focus on reducing emissions, improving fuel efficiency, and integrating cleaner propulsion systems:

• Advanced hull designs and propulsion systems enhance fuel efficiency by reducing drag and optimizing energy use.
• Alternative fuels such as LNG, hybrid propulsion, and ammonia-based fuels offer lower-carbon solutions to power long-haul shipping.
• Emissions capture and monitoring technologies enable real-time tracking of pollutants, helping ships comply with global environmental regulations.
• Electric maritime transport utilizes battery-electric propulsion to cut emissions, particularly for short-distance ferries and smaller vessels.

 

In port infrastructure, key developments include the creation of charging and refueling stations for ships, implementation of smart port technologies, and optimization of maritime container operations. Some of the innovative solutions include:

• Smart port technologies leverage IoT and AI to optimize logistics, minimize delays, and reduce fuel consumption.
• Automated and remotely operated equipment improves efficiency, cutting turnaround times and operational costs.

 

Preserving marine ecosystems is essential to maintain coastal health. Marine environment remediation involves restoring polluted or damaged marine ecosystems to their natural state. Innovative solutions focus on pollution prevention and cleanup:

• Ballast water treatment systems use filtration, UV radiation, or chemical disinfection to stop the spread of invasive species.
• Oil spill management employs advanced techniques like bioremediation, where microorganisms break down oil, and deployment of oil-absorbing nanomaterials for rapid cleanup.

 

Ports and Maritime Transport startups that should be on your radar

 

Japanese company PowerX Inc. develops large-scale battery storage solutions for electric and hybrid ships, addressing zero-emission and electrification challenges in maritime transport. PowerX raised $21.3M in Series C funding in March 2025 from Toyota Tsusho India Pvt Ltd, Frontive Services, ITOCHU Corporation, and Imabari Shipbuilding Co.

 

French-based Syroco supports the energy transition of maritime transportation. Its weather routing and voyage optimization platform helps fleet owners and operators enhance vessel efficiency and reduce environmental impact. The company closed a $7.86M Series A round from Seventure Partners and Alter Equity in December 2024.

 

Scaling Clean Technologies is Important for Transport Decarbonization

 

With the global demand for transport expected to rise in the coming years, transitioning to sustainable mobility solutions is more urgent than ever. Electrification is already making a significant impact, but achieving net-zero emissions requires scaling alternative fuels, improving energy efficiency, and investing in cutting-edge innovations across all transport modes. 

 

Investors need real-time market intelligence and funding data to unlock opportunities in clean transportation. 

 

Want to explore emerging opportunities in transport decarbonization? Request a demo with us today!.