Rethinking value for a net-zero economy
Innovation is key
Adopt supportive business models that align climate ambition with commercial success. From circularity and service-based offerings to collaborative ecosystems and shared infrastructure, the way companies create and capture value is shifting. Innovation in business models is key to making CO₂-free technologies scalable, resilient, and investable - especially in sectors where high costs and fragmented supply chains risk slowing down progress.
Criticality of the topic
Decarbonization is not just a technological shift, it requires a transformation in how value is created, captured, and shared. Many traditional business models depend on fossil inputs, linear value chains, and resource-intensive logistics, making them vulnerable to emissions costs, supply shocks, and geopolitical risks.
To scale CO₂-free technologies, companies must adopt models that support circularity, resource efficiency, and cross-sector integration. For example, developing sustainable aviation fuels (SAF) illustrates how value chain alignment is essential: airlines need access to affordable SAF to drive demand, but manufacturers are reluctant to invest in 100% SAF-compatible aircraft without sufficient supply. Without coordination, high costs and low demand risk locking the sector in a status quo and delaying cost reductions.
Coordinated development across the value chain can reduce material dependence, unlock demand for low-carbon solutions, and enable shared infrastructure and innovation. Aligning business strategy with climate and resource constraints is essential for long-term resilience and competitiveness.
Latest developments
New business models are reshaping how climate-aligned value is delivered. Platform-based and service-oriented models, such as Energy-as-a-
Service (EaaS), mobility platforms, and virtual power plants, are replacing traditional ownership-heavy approaches, enabling greater flexibility and system efficiency.
Many clean tech leaders are pursuing vertical integration to secure upstream access to low-carbon materials and manage emissions across product life cycles. In parallel, industrial clusters and symbiosis models are emerging, allowing shared CO₂ infrastructure, hydrogen networks, and waste heat utilisation, boosting the feasibility of low-carbon operations.
Circular economy principles are gaining traction, with firms redesigning products for reuse, recovery, and service-based delivery, especially in construction, electronics, and heavy industry. Finally, collaborative commercial structures such as multi-offtaker PPAs, joint innovation platforms, and consortia for first-of-a-kind projects are helping to share risk, accelerate scale-up, and reduce barriers for emerging clean technologies.
Trends and outlook
Business model innovation will be a key enabler of clean tech deployment, particularly in sectors facing high costs or supply chain volatility. Companies that adopt service-based, circular, or collaborative models will be better positioned to scale climate solutions and capture long-term value. Regulation is reinforcing this shift, as frameworks like the CSRD, Ecodesign for Sustainable Products Regulation, and CBAM will increasingly require transparency and emissions accountability across value chains. As a result, firms will need to move from siloed, asset-centric approaches to integrated, climate-aligned ecosystems that optimize material use, emissions performance, and stakeholder collaboration, for instance from consumers.
Governments and other policymakers
Policymakers should incentivize climate-aligned business models through tax reform, regulatory sandboxes, and support for public-private innovation platforms. Industrial symbiosis and shared infrastructure can be accelerated through strategic zoning, planning support, and co-financing of common assets.
Mandating full value chain disclosure, via instruments like CSRD or CBAM, will push companies toward circular, low-emission models by increasing transparency and accountability. Governments should also reduce legal and administrative barriers that hinder collaborative ventures, enabling consortia and cross-sector partnerships to scale clean technologies and share commercial risks more effectively. Public procurement can also be a powerful driver of demand, by including climate performance as part of purchasing criteria. This may increase upfront costs but provides a market signal for low-carbon products and services, offering an alternative to direct subsidies or other support schemes.
Companies and industrial players
To support long-term decarbonization, companies should shift from traditional product sales to service-based or circular models such as leasing, performance contracting, or product-as-a-service. Integrating upstream and downstream value chains can help reduce emissions, secure critical materials, and enhance supply chain resilience.
Forming or joining cross-sector ecosystems can de-risk shared infrastructure and accelerate clean technology deployment. To drive accountability, climate-related KPIs should be embedded not only in operations but in business model performance metrics and board-level targets, ensuring that financial success is tied to climate alignment and long-term value creation.
Investors
Investors should assess not only the technologies but also the underlying business models of portfolio companies, examining their scalability, customer retention, and emissions exposure across the full value chain. Early-stage capital should be directed toward firms pioneering innovative business models that enable low-carbon value creation, not just technological breakthroughs.
Lifecycle carbon disclosures and circularity indicators should be integrated into ESG reporting to improve visibility on transition alignment. Investors can also play a proactive role by encouraging joint ventures and value chain collaboration within their portfolios, helping companies unlock new revenue streams and scale climate-aligned growth strategies.
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