Climate technology has entered a decisive phase. The focus is no longer only on innovation and pilot projects, but on scale, revenue, and real-world impact. Governments, large corporations, and financial institutions are now backing climate startups that can move quickly from proof of concept to full commercial deployment. In 2025, the fastest-growing climate startups are those that combine deep technology with execution speed, strong funding, and long-term customer contracts.
These companies operate across energy storage, battery recycling, geothermal power, carbon removal, construction materials, aviation, and grid resilience. Growth is measured not just in valuation, but in factories built, megawatts delivered, tonnes of carbon removed, and customers served. The following ten startups stand out for their rapid expansion, large funding rounds, and meaningful progress toward decarbonizing major sectors of the global economy.
Redwood Materials
Redwood Materials has emerged as one of the most important players in the battery supply chain. The company focuses on recycling lithium-ion batteries and recovering critical materials such as lithium, nickel, and cobalt. As electric vehicle adoption accelerates and grid-scale batteries multiply, demand for recycled materials has surged.
In 2025, Redwood Materials expanded its processing capacity and secured major growth funding that supports new facilities and technology upgrades. Automakers and energy storage companies increasingly rely on recycled materials to reduce costs and emissions while strengthening domestic supply chains. Redwood’s growth reflects a broader shift toward circular manufacturing in clean energy, where waste becomes a strategic resource rather than a liability.
Form Energy
Form Energy is transforming how electricity grids manage long periods without wind or sunlight. The company’s iron-air battery technology is designed to store energy for multiple days at far lower cost than traditional lithium-ion systems. This capability is critical for replacing coal and gas plants that provide steady power during extended periods of low renewable generation.
During 2024 and 2025, Form Energy moved from pilot projects to industrial-scale manufacturing. New factory investments and commercial utility contracts have driven rapid hiring and infrastructure buildout. Utilities now view long-duration storage as a necessity rather than an experiment, positioning Form Energy as a central player in the next phase of grid decarbonization.
Fervo Energy
Fervo Energy is redefining geothermal power by applying advanced drilling and subsurface modeling techniques borrowed from the oil and gas industry. Unlike traditional geothermal, which is limited to specific locations, Fervo’s approach expands geothermal potential across many regions.
In 2025, the company raised a large funding round to support a major geothermal project capable of delivering firm, carbon-free electricity at utility scale. This project demonstrates that geothermal can provide constant clean power for data centers, cities, and industrial users. Fervo’s rapid growth highlights rising demand for energy sources that can operate around the clock without emissions.
Climeworks
Climeworks is one of the most recognized companies in direct air capture, a technology that removes carbon dioxide directly from the atmosphere. The company operates large-scale capture plants and sells permanent carbon removal to corporations seeking to meet climate targets.
In 2025, Climeworks secured significant new investment to expand its next generation of capture facilities and reduce costs per tonne of carbon removed. As regulatory and corporate pressure grows around credible climate action, demand for high-quality, permanent carbon removal has increased sharply. Climeworks’ expansion signals a shift from symbolic removals to industrial-scale climate infrastructure.
Heirloom
Heirloom takes a mineral-based approach to carbon removal, using natural chemical reactions to bind carbon dioxide into stable solid forms. This method focuses on durability, transparency, and scalability, which are increasingly important for buyers of carbon removal credits.
The company closed a major funding round in late 2025, attracting global investors and industrial partners. This capital supports international expansion and large-scale deployment. Heirloom’s growth reflects rising interest in carbon removal pathways that can operate at gigaton scale over the coming decades.
Charm Industrial
Charm Industrial converts agricultural and forestry waste into bio-oil and injects it deep underground for permanent carbon storage. This approach removes carbon while also addressing biomass waste that would otherwise decompose and release emissions.
Throughout 2025, Charm Industrial signed multiple long-term purchase agreements with large corporations seeking durable carbon removal. These contracts enabled the company to expand operations into new regions and increase processing capacity. Reliable demand and repeat customers have made Charm one of the fastest-scaling companies in the carbon removal sector.
Pachama
Pachama operates at the intersection of climate science and artificial intelligence. The company uses satellite imagery and machine learning to monitor forests and verify nature-based carbon projects. Trust and transparency are critical challenges in nature-based solutions, and Pachama aims to address both.
Growth over the past two years has been driven by expanding enterprise partnerships and broader adoption of its monitoring platform. As companies seek credible, data-backed climate solutions, tools that reduce uncertainty and risk have become essential. Pachama’s expansion reflects the growing importance of verification infrastructure in climate markets.
CarbonCure
CarbonCure focuses on one of the world’s most carbon-intensive materials: concrete. The company’s technology injects captured carbon dioxide into concrete during mixing, where it becomes permanently mineralized. This process strengthens the material while reducing its carbon footprint.
By 2025, CarbonCure technology had been used in tens of millions of concrete deliveries across multiple countries. Adoption by major construction firms demonstrates that climate solutions can scale rapidly when they align with existing industrial processes. CarbonCure’s growth shows how emissions reductions can be embedded directly into everyday materials.
ZeroAvia
ZeroAvia is developing hydrogen-electric propulsion systems for aviation, targeting short-haul and regional aircraft. Aviation remains one of the hardest sectors to decarbonize, making progress in this area especially significant.
The company advanced engine testing and certification programs in 2025, supported by public funding and industry partnerships. As airlines face pressure to cut emissions, zero-emission propulsion for regional routes offers a realistic near-term pathway. ZeroAvia’s expansion reflects growing confidence that hydrogen can play a role in clean aviation.
IND Technology
IND Technology applies artificial intelligence and advanced sensors to detect faults in electrical transmission lines. The goal is to prevent wildfires, reduce outages, and improve grid reliability in a warming climate.
In late 2025, the company raised growth capital to accelerate deployments with utilities across North America. As extreme weather increases and infrastructure ages, utilities are investing more heavily in preventive technologies. IND Technology’s rapid expansion highlights how climate adaptation and resilience are becoming as important as emissions reduction.
What Makes These Startups Fast-Growing
The fastest-growing climate startups share several traits. They have secured large funding rounds that enable rapid hiring and infrastructure development. They have moved beyond pilots into commercial contracts with utilities, governments, and global corporations. Most importantly, they are solving problems tied directly to energy security, cost reduction, and regulatory compliance.
Growth in climate technology is not just about innovation, but about execution. Companies that can build factories, deliver power, remove carbon, or integrate into existing supply chains are pulling ahead of competitors.
Risks and Challenges
Rapid growth also brings challenges. Manufacturing delays, policy changes, permitting issues, and market volatility can slow progress. Carbon removal companies face pressure to reduce costs, while energy startups must navigate complex regulatory environments. The ability to manage these risks will determine which of today’s fast growers become long-term leaders.
Outlook for 2026 and Beyond
Looking ahead, continued growth will depend on long-term contracts, cost reductions, and supportive policy frameworks. Startups that can demonstrate reliable performance at scale will attract more capital and customers. The coming years will likely see consolidation, public listings, and deeper partnerships between climate startups and established industrial players.
Conclusion
The fastest-growing climate startups in 2025 are no longer experiments. They are building the physical infrastructure of a low-carbon economy. From battery recycling and geothermal power to carbon removal and clean aviation, these companies show how quickly climate solutions can scale when technology, capital, and demand align. Their progress offers a clear signal that climate innovation is moving from promise to permanence.
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