Faced with rapid urbanisation and climate change, cities across Southeast Asia are grappling with a myriad of environmental challenges, from air pollution and water scarcity to traffic congestion and food insecurity. As the issues become more of a threat, changes must occur rapidly to counteract the impact on the region’s ecosystems. It is now becoming even more vital for any startup in Southeast Asia to consider the UN sustainable development goals (SDGs) when planning, initiating, and running their companies.

Fortunately, there is hope as amidst these daunting issues, a new wave of innovative climate tech startups is emerging, harnessing technology to combat urban climate challenges and pave the way towards a more sustainable future. 

We explore if climate tech startups in Southeast Asia making any real impact?

While many companies in various sectors are trying to become more sustainable and ecologically sound, the following five Southeast Asian climate tech startups are making significant strides in tackling urban climate challenges.

Fairatmos

Fairatmos is an Indonesian startup founded in 2022. Its mission is to facilitate verified carbon offsetting and support Indonesia’s journey towards a net-zero future. The company’s platform connects project developers working on carbon sequestration initiatives, such as mangrove restoration and forest conservation, with businesses and individuals seeking to offset their carbon footprint. 

In December 2022, the company secured USD 4.5 million in seed funding led by Go-Ventures and Kreasi Terbarukan TBS. This funding will empower the startup to expand its platform with innovative features, broaden its reach to project developers and communities, and strengthen its team with diverse expertise, ultimately accelerating the impact on Indonesia’s transition to a sustainable future.

Zuno Carbon

Established in 2020, Zuno Carbon offers comprehensive carbon management solutions for organisations of all sizes. Leveraging AI and their Veridis platform, Zuno Carbon empowers businesses to track, analyse, and reduce their environmental footprint across their entire supply chain. 

This data-driven approach, recognised by industry awards and participation in Google’s Climate Finance Accelerator programme, has garnered them over USD 3 million in funding. The recent seed funding round of USD 2.5 million, led by Wavemaker Partners, will fuel Zuno Carbon’s expansion, product development, and mission to catalyse real-world decarbonisation efforts.

Unravel Carbon 

Unravel Carbon has emerged as a leading force in Asia with its AI-powered enterprise platform designed to empower companies to track and reduce carbon emissions. As Asia’s first AI-powered enterprise software, it specialises in monitoring and mitigating carbon emissions, including the comprehensive ‘Scope 3’ emissions. 

It developed an innovative platform offering SaaS decarbonisation software and access to sustainability experts, making it a comprehensive solution for businesses aiming for a greener future. In May 2022, the company announced a monumental USD 7.38 million from a seed funding round, the most ever raised by a climate tech software company in Asia. The round was led by Sequoia India’s Surge, with notable contributions from a diverse group of investors, including Alpha JWC Ventures and XA Network.

SunGreenH2

Founded in 2020, SunGreenH2 is a Singapore-based deep cleantech company specialising in high-performance electrolyser solutions for green hydrogen production. The startup’s innovative technology boasts double the hydrogen output while lowering energy consumption by 20% and utilising 30 times less precious metals than traditional methods. 

The company’s impactful technology has garnered recognition from CNN and a placement on the Cleantech 50 to Watch list for 2023. It also won the BloombergNEF 2023 BNEF Pioneers Award. SunGreenH2 actively collaborates with global industry players and has secured grant funding and support from prominent organisations like Caltech’s Rocket Fund, Shell, and the Energy Market Authority of Singapore. To further accelerate growth, the company secured USD 2 million in seed funding led by SGInnovate with other investors, including Vinci VC, Cap Vista, T. Chen Fong and Apsara Investments, and others.

Ureca

Another Singapore-based climate tech company, Ureca, empowers individuals and businesses to participate in carbon offsetting through its digital MRV technology, which uses IoT and machine learning to verify emission reductions. In November 2022, the company raised USD 1.5 million in a pre-seed funding round to scale its operations in Southeast Asia and launch a marketplace for direct investment in climate solutions. 

The company plans to expand its offerings to include energy efficiency programs and nature-based solutions, ensuring high-quality carbon credits on its blockchain-powered marketplace. According to its CEO and founder, Orchlon Enkhtsetseg, the pre-seed funding positions Ureca to become a leading climate tech player in the region.

Towards a greener tomorrow

These five Southeast Asian climate tech startups exemplify the power of innovation in addressing urban climate challenges. By leveraging technology and sustainable practices, they are driving positive change and laying the groundwork for more resilient, livable, and environmentally friendly cities and towns across the region. 

As they expand their reach and impact and become trailblazers in the climate tech startup in Southeast Asia landscape, these companies serve as beacons of hope in the fight against climate change, inspiring others to join the movement towards a sustainable urban future.