Environmental challenges act as a spur to invention and innovation. R&D will continue to be important as companies and investors seek disruptive technology solutions that can change the economics of, and rewards from, new environmental products or processes. Significant private and public funds have already been established, many of which are still investing despite the current economic slowdown. The short‐term challenge is to ensure that these funds continue to flow and to sustain future growth. National and international environmental targets are likely to focus the public and investment spotlight on low carbon sector technologies and performance. At the same time, rising energy demand from developing nations and fluctuating energy prices are likely to increase the international focus on energy security and encourage continued investment in new energy technologies. .
