RMI, a non-profit, along with Third Derivative, RMI’s global climate tech accelerator, has launched the Industrial Innovation Cohorts initiative with a $2 million grant from The Lemelson Foundation. This programme targets the decarbonisation of key industries like cement, steel, and chemicals, which collectively account for 30% of global carbon emissions and are among the hardest to reform.
The new initiative will organise three cohorts of startups, each dedicated to innovating in one of these high-emission industries, providing them with the tools needed to expand and refine their technologies. This effort is part of The Lemelson Foundation’s $50 million Climate Initiative, designed to fill the existing gaps caused by high capital costs, lengthy asset lifecycles, and stringent industry standards. Startups will receive financial backing, along with access to market insights, expert advice, and industry connections essential for attracting further investment and advancing their solutions.
Rushad Nanavatty, Managing Director at Third Derivative, emphasised the complexity of decarbonising these foundational industries, and said, “Steel, cement, and chemicals are tough to decarbonie for a lot of reasons. They have formed the backbone of modern life — produced at scale, cost-effectively, and reliably — for decades. Their massive, long-lived plants and intricate value chains demand many innovations working in concert. But visionary founders are finding ways to produce them without carbon pollution, and our mission is to accelerate their path to market.”
The cohorts will focus on reducing clinker in cement and concrete, employing hydrogen-based and novel iron reduction methods in steel manufacturing, and increasing recycling and the use of renewable feedstocks in the production of chemicals and plastics. Each group will address major pollution sources and consider solutions across the value chain, including material and energy efficiency improvements and enabling technologies like green hydrogen and electrified industrial heat, aiming to contribute significantly to the decarbonisation of these vital sectors.
“The climate crisis requires a fundamental transformation of the global economy,” said Eric Lemelson, president of The Lemelson Foundation, adding “In addition to powering our homes, businesses, and transportation with cheap, carbon-free renewable energy, we must rapidly reduce the heavy emissions of the ‘hard-to-abate’ industries, including steel and concrete. As an inventor, my father Jerry recognised the central role played by invention in solving so-called ‘wicked problems’ like climate change. I know that if he were alive today, he’d be as thrilled and inspired to support the work of RMI and Third Derivative to realise full industrial decarbonisation as we are.”
Bryan Fisher, RMI managing director said, “Cement, steel, and chemicals are the building blocks of society — other than water, these are the most used materials in the world. They are also some of the most difficult to decarbonise. Innovation will play a critical role in reducing emissions from these industrial sectors, helping turn ambitious investments from public and private players into scalable climate solutions. Many promising technologies are already emerging, and we are excited to work with members of the Industrial Innovation Cohorts to get them to the next level of commercialisation and adoption.”