On tour with SSUP’s Gia Climate Lab: Exploring Indian Climate Tech

On tour with SSUP’s Gia Climate Lab: Exploring Indian Climate Tech

Summer Start up Tour Team ‘Gia Climate Lab’ comprising of Aayush Sonthalia, Gouthami Gadamsetty and Isabel Havens explored how India’s climate tech growth opens doors for entrepreneurs and investors to drive sustainability.


This summer MBA’24D students Aayush Sonthalia, Gouthami Gadamsetty and Isabel Havens, all passionate about climate innovation and entrepreneurship, embarked on the INSEAD Summer Start-Up Tour (SSUP!) sponsored by the INSEAD Hoffmann Institute.

The team, named ‘Gia Climate Lab’, chose climate tech in India as their focus for the 4-week trip. India is the world’s fastest-growing major economy, it is also a country which is one of the most vulnerable to climate change risks. Yet both consumers and companies are generally unwilling or unable to pay a ‘green premium’ for sustainable solutions. This leaves a large opportunity gap for Indian climate entrepreneurs to develop cost-effective innovations that can scale without raising prices.

To carry out their research, Gia Climate Lab travelled across the major innovation hubs in India—New Delhi, Mumbai, Bengaluru, and Hyderabad. During their 4 weeks in India, they met with over 45 climate tech entrepreneurs, investors, and think tanks.  They also hosted an event in Bengaluru with the Indian INSEAD Alumni Association, and they attended India’s 1st ever Plastic Recycling & Sustainability Conference in New Delhi.

It was a packed agenda which yielded impressive findings.  These findings can be found in a detailed research report in collaboration with Professor Bala Vissa on INSEAD Knowledge. Here we bring you a summary of the 4 opportunities for Indian climate tech startups identified by Gia Climate Lab:


1. Growth through later-stage investment

India’s climate tech venture capital (VC) scene is experiencing growth yet much of the avaliable capital has focused on early-stage startups, leaving a large gap in Series B and Series C funding for companies ready to scale up. The Indian climate VC model is still developing, and while early-stage capital is flowing, the market needs more investment for later stages of growth.

VCs like Avaana Capital, Peak Sustainability Ventures, and Ankur Capital are emphasising the need for patient capital to support later-stage climate tech ventures. Later-stage investment offers an exciting opportunity for those looking to support the next wave of climate innovations.

2. B2B has significant success but exceptions exist

India’s income disparity makes direct-to-consumer (D2C) models challenging to scale. Acquiring individual customers is often too costly for climate startups, but companies using business-to-business (B2B) models have found significant success. There are, however, exceptions where D2C can work under specific conditions. SolarSquare, a rooftop solar company based in Mumbai, successfully transitioned from a B2B to a D2C model in 2020 by making their solar panels modular and cost-effective. This allowed them to grow rapidly, powering 14,000 homes across 12 cities. SolarSquare co-founder Shreya Mishra explained the firm was able to expand quickly into the Indian household market due to the affordability, design, high-quality installation and service.

3. Agriculture is poised for disruptive innovation

While energy and mobility have attracted over 60 percent of climate tech funding since 2021, agriculture is emerging as a promising new frontier in India. Entrepreneurs and investors should be alert to the potential in agriculture tech. Areas of note include waste and recycling, alternative materials, carbon markets, and loans to farmers.

Agriculture employs around 55 percent of India’s population. Companies like Strawcture and Dharaksha are turning agricultural waste, which would otherwise be burnt, into sustainable materials. This creates new revenue streams for farmers while reducing environmental damage. Another company, FarMart, is helping small-scale farmers by connecting them with markets and providing financial support.

4. India is leading climate innovation across the Emerging Economies

India is positioning itself as a leader in climate tech for emerging economies. India has a track record of rapid adoption of new technologies, for example, the Unified Payments Interface (UPI). Launched in 2016 it has become widespread, used by businesses ranging from street vendors to high-end restaurants. The next frontier of this technology is in climate with the Unified Energy Interface (UEI).Business managers should watch how India’s innovative climate solutions spread beyond its borders. These solutions offer scalable opportunities to other developing countries facing similar climate challenges.


Whether through new finance models, successful B2B approaches, or new agricultural technologies, India’s climate tech sector is exciting. It is not just about tackling environmental challenges, rather it offers real opportunities for entrepreneurs and investors to innovate and grow.


To read the detailed report on INSEAD Knowledge with research in collaboration with Avaana Capital click here

To find out more about the INSEAD Summer Startup Tour click here


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