All of us at some point have wondered what the environment will look like to future generations. One has only to see the smog we are creating and the retreat of the glaciers to understand the damage we are causing to our environment.

It shouldn’t then be surprising to learn California is a leader in creating this damage. It is the 12th largest source of global warming emissions, exceeding most entire countries. We think it’s time California cleans up its energy.

Currently the state and federal government are considering legislation to help with our global warming. California Renewable Energy Standard already requires regulated electric utilities and competitive supplies to increase the use of wind, solar, and other renewable electricity sources by 20% by 2010 (SB107). Those actions will create a “pull” for new companies to provide the clean energy and that “pull” is already attracting the attention of investors.

In the US, approximately $2.5 billion will be invested in clean energy companies this year. That number could easily double in the next decade. Every week we hear of some new “clean energy” fund being created. CalPERS and CalSTRS are behind some of this and are willing to invest hundreds of millions of dollars. With PG&E money, there is a California Clean Energy Fund looking to invest specifically in Northern California. There is momentum behind creating more clean energy businesses.

Sacramento, California, is aggressively pursuing alternative forms of clean energy through an organization called CleanStart. CleanStart, a clean energy initiative of McClellan Technology Incubator, is chartered with helping clean energy entrepreneurs in the Sacramento region take their technology ideas and turn them in to viable clean energy solutions. Today, Sacramento has approximately 40 start-ups in the clean energy space, with another 300 likely in the early development stage. Sacramento is well on its way to becoming the “Clean Energy Capital” of California. It is attracting clean energy entrepreneurs who want to establish companies in the area. Through CleanStart, the entrepreneur support structure—mentoring, senior business advisors and visibility with investors is established to help entrepreneurs move from an idea to a company. The time is right and the backing in terms of funding and entrepreneur support is here in Sacramento.

Sacramento has some real advantages as a future hub of the clean energy industry. The region is well-endowed with world-class academic institutions cranking out good ideas and with sources of research funding to take those ideas and prove they work. It has inexpensive space for inventors to try out their ideas and a growing bench of experienced coaches willing to help. Most of all, this region is blessed with customers that really want to “buy green”, the biggest asset of all. We hope to see all households participate in SMUD’s Greenergy Program, purchasing clean energy for a small additional fee.

CleanStart wants to see at least 10 new companies in the area by 2008 and 25 by 2010 come from its efforts. CleanStart will start small and build on success. In ten years, we want to have $5 billion in clean energy sales from businesses in the region, coming with 10,000 new jobs. That’s the plan—clean energy, a better environment, and a healthier local economy.
To learn more about CleanStart or to be a sponsor of CleanStart, visit our web site at www.cleanstart.org.

Ingrid Rosten
CleanStart
www.cleanstart.org