Markets, not headlines, tell the real story of climate momentum. In Texas, renewables now make up nearly a third of the state’s energy generation. Commonwealth Fusion Systems recently raised $863 million to push forward one of the boldest bets in clean energy: commercializing nuclear fusion. Globally, investment in solar, storage, and electrification continues to hit record highs. These are not hypotheticals. The energy transition is no longer a partisan vision for the future, it has become inevitable, because it makes market sense.

At the same time, anyone working in climate knows that not every solution is moving at the same pace. Venture capital has grown more cautious. Regulatory frameworks are uneven at best. Areas such as carbon management, nature-based solutions and industrial decarbonization face tougher headwinds. But this is the reality of building enduring systems: progress is uneven, breakthroughs come with setbacks, and the path forward is never linear. What’s clear is that the energy transition has built its own momentum, and that momentum will carry other parts of the climate economy forward with it.

Battery storage is scaling almost as quickly as renewables themselves. In the U.S., more than 18 gigawatts of new storage capacity is expected to come online this year, a roughly 50% increase; critical infrastructure to smooth intermittency and make clean power dependable at scale. Globally, low-carbon electricity surpassed 40% of total generation for the first time in 2024, with renewables alone adding a record 858 terawatt hours to the grid. And after a turbulent period in venture capital, investment in climate startups has begun to stabilize, with U.S. funding rising 4% in the first quarter of 2025, marking the third consecutive quarterly increase, a sign that the venture pullback may have found its floor. These are signals of an economy that is already adapting, even in the face of regulatory uncertainty.

Even as momentum builds in energy and certain areas of climate tech, not every area is advancing at the same pace. Plastics management and circular materials, for instance, have seen real pullbacks: global consumer goods giants like Coca‑Cola and Nestlé have quietly dialed back their recycling and recycled-content targets in the past year amid waning regulatory pressure and public scrutiny. And the climate narrative has certainly become out of vogue. Still, technology is pressing forward. Companies like Modern Synthesis are achieving oversubscribed funding rounds, $5.5 million this year, to scale up biomaterials, offering alternatives to fossil‑derived fabrics. Amazon is working with Newlab this year to source solutions to decarbonize its devices through the first Amazon Devices Climate Tech Accelerator. These bright spots remind us that even where commitments falter, scalable solutions, and the breakthroughs they require, can still emerge.

At Newlab, we are witnessing this momentum firsthand. In our work with New York City Economic Development Corporation, we are facilitating energy storage pilots to help stabilize the grid. We are also enabling emerging technology in the built environment through mass timber construction projects to demonstrate how cities can decarbonize their skylines. In Southeast Asia, we are launching new oceantech initiatives to support marine ecosystem management. And in Louisiana, our investments in carbon management and industrial decarbonization reflect the reality that meaningful climate work often requires engagement with legacy industries as much as with emerging ones. None of this work is simple, but that’s the point: scaling climate solutions has always required working systematically to transform the status quo and build approaches that can endure economic realities.

Climate is not only a challenge of emissions and technology; it is a question of security and stability. Energy systems strained by geopolitical shocks, supply chains disrupted by extreme weather, and migration and conflict intensified by droughts and rising seas are no longer distant risks. They are the new reality, and they are linked directly to, or exacerbated by, a warming planet. Climate is not one issue among many; it is the connective tissue of global resilience.

Working on climate is working on global security. If we fail to accelerate climate action and adaptation, instability will deepen.

Progress in climate cannot be siloed and should not be stalled. The same infrastructure, financing models, and partnerships that enable renewable energy or sustainable materials are also what strengthen communities, reinforce supply chains, and make economies more resilient. By addressing climate, we address security, stability, and shared prosperity.

Next week, Newlab will again host New Climate Futures, New York Climate Week’s largest event dedicated to the entrepreneurs, investors, and partners building climate solutions that endure. It is more than a showcase; it is a space for candid conversations about what it takes to move from pilot to scale, and for charting the paths forward in areas where the work is harder and progress less certain. In 2025, these conversations are more urgent than ever, and more full of possibility, as we rally the resources and technologies that will define climate resilience.

The road ahead will not be smooth. There will be setbacks and compromises alongside breakthroughs. But the direction is unmistakable. The energy transition is underway, and climate remains at the core of our mission. Now is the time to accelerate—to support the founders tackling the hardest problems, to place the bets that will carry proven technologies through the next stage, and to build the infrastructure and partnerships that make enduring progress possible.

Climate is not a passing focus at Newlab; it is the foundation of our work. And in an uncertain world, that commitment matters more now than ever.

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