Canadian Startups Making Waves in Climate Tech

Climate tech lab in Canada

In a global push to combat climate change, Canadian startups are emerging as serious players in the climate tech ecosystem — with fresh ideas, clean technologies, and a strong commitment to sustainability.


From Coast to Coast, Innovation Thrives

In 2025, Canada’s climate tech landscape is more vibrant than ever. Over 600 startups nationwide are actively working on decarbonization, sustainable energy, circular economy solutions, and climate resilience. Whether it’s carbon capture in Alberta, green hydrogen in British Columbia, or regenerative agriculture in Quebec, the momentum is unmistakable.

Startups to Watch

  • CarbonLoop (Toronto): Specializes in carbon capture for industrial facilities using bio-based filtration systems. Recently closed a $22M Series B round.
  • HydraGreen (Vancouver): Producing scalable green hydrogen using renewable hydroelectric power.
  • ReGrowAI (Montreal): AI-powered soil analytics for regenerative farming. Partnered with Canadian grain producers to reduce emissions and increase yields.
  • ThermoVault (Halifax): Innovating thermal battery storage solutions for off-grid communities and Arctic infrastructure.

Government Support Fuels the Sector

A series of federal investments — including the $4 billion Clean Growth Fund and regional incentives under Sustainable Canada 2030 — have empowered young climate tech firms to scale quickly.

“Startups are playing a critical role in Canada’s path to net-zero,” said Minister of Innovation François Deschamps. “We’re proud to back these innovators through grants, R&D credits, and global trade partnerships.”

🌱 Fast fact: In 2025, Canadian climate tech startups attracted over $1.8 billion in venture capital — a record high.

Global Recognition and Export Potential

Canadian clean tech is not only attracting local investment but also international buyers. The European Union and Southeast Asian countries have entered multi-year procurement agreements with several firms for energy storage and emission monitoring tools.

The CleanTech Export Program launched this year by Global Affairs Canada aims to triple export volumes by 2027.

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The Road Ahead

Challenges remain — including talent shortages, high-scale production costs, and the need for faster pilot-to-market transitions. But optimism remains high.

“We have the brains, the infrastructure, and now the capital,” says ReGrowAI co-founder Émilie Fortin. “The world needs climate solutions, and Canada is stepping up.”

With the clock ticking on the global climate crisis, Canada’s startups are proving that innovation may be our greatest renewable resource.