ADD2443 CleanTech London Phase One

Type of decision: 
Assistant Director's decision
Code: 
ADD2443
Date signed: 
23 March 2020
Decision by: 
Luke Bruce, Interim Head of Economic Development

Executive summary

The overarching programme ‘CleanTech London’ aims to be a collaborative partnership of nine founding partners including the GLA family and key stakeholders in the ecosystem.

It has been designed to drive greater economic activity in London’s cleantech businesses and increase the sector’s growth rates. It seeks to build on London’s existing strengths and help the capital become a world leading cleantech innovation hotspot.

This ADD seeks approval for the expenditure of £25,000 which has been endorsed by the London Economic Action Partnership (LEAP) to resource key project inception work including a business plan for the partnership, provide secretariat function, partnership exploration for commercial opportunity, and a launch event.

Decision

That the Interim Head of Economic Development approves the award of a grant of up to £25,000 to Sustainable Ventures to deliver the ‘Clean Tech London Inception Phase’ Project. This includes a business plan for the partnership, secretariat function, partnership exploration for commercial opportunity and launch event.

Part 1: Non-confidential facts and advice

Introduction and background

The Mayor of London’s plans for increasing London’s prosperity by creating a fairer, more inclusive city advocates ‘good growth’ - growth that is well planned and sustainable and does not come at the expense of environmental degradation or greater inequality. In setting the target for London to become a zero carbon city by 2050, the opportunity exists to showcase how a successful and growing global city can also be a sustainable one. CleanTech London sits at the intersection of the Economic Development Strategy, the London Plan and the Mayor’s Environment Strategy.

Economically, Low Carbon and Environmental Goods and Services (LCEGS) is a hugely important and rapidly growing sector in London’s economy – as evidenced by the market reaching £39.7bn in value by 2017/18. The current market value highlights that businesses are responding to the need to reduce their energy use, resource consumption and environmental impact, thus creating market opportunities for businesses able to supply these types of goods and services.

CleanTech London (CTL) has been designed to drive an increase in growth and productivity in London’s cleantech businesses, thereby securing inclusive job opportunities for all of London’s working communities. By supporting London’s cleantech businesses to address London’s own environmental challenges, the aim is to enhance the skills and knowledge to compete in the growing global market for low carbon goods and services.

CleanTech London is proposed as a long-term programme, commencing in 2019 and with an action plan spanning an initial three-year horizon. It has three overarching aims:

• building an inclusive, well networked cleantech community, with a unified voice that represents London nationally and globally;
• stimulating innovation and enhancing market access by supporting cleantech businesses to address London’s own environmental and economic challenges; and
• supporting firm growth by ensuring key barriers to developing, commercialising and scaling-up cleantech innovations are addressed.

These aims will be delivered by GLA officers and third-party partners. GLA has progressed a non-legally binding collaborative partnership agreement with Founding Partners from: University College London (UCL), Imperial, Sustainable Ventures, Climate-KIC, Transport for London, London & Partners, London Legacy Development Corporation, and London Waste and Recycling Board.

This ADD seeks approval for the expenditure of £25,000 which has been endorsed by the London Economic Action Partnership (LEAP) in December 2019 to resource key project inception work including a business plan for the partnership, provide secretariat function, partnership exploration for commercial opportunity, and a launch event. Approval is sought to award a grant of up to £25,000 to Sustainable Ventures to deliver the ‘Clean Tech London Inception Phase’ Project. This project, ‘CleanTech London Inception Phase’ is targeted at the 3-month development phase to include production of a business plan for the partnership, ongoing secretariat function, partnership exploration for commercial opportunity and creation of brand identity. The outcome of this phase will help inform additional policy development and any further research and actions to launch the CleanTech London programme.

Although there is no GLA budget currently identified to support further work, the GLA aims to potentially explore bidding for future LEAP funding depending on the CleanTech London Phase One outcomes. In addition, there is a corresponding European Regional Development Fund bid led by Imperial College London, of which the GLA is a delivery partner, that has been submitted for consideration to develop the London Centre for Cleantech Innovation, which would support the delivery of CleanTech London after the inception phase. The CleanTech London collaborative partnership also intends to explore collaborative external funding opportunities.

Objectives and expected outcomes
  1. The CleanTech London action plan is organised around five key work-streams, including: Sector Promotion and Networking, Innovation and Enterprise, Places and Innovation Space, Skills and Inclusive Talent and Funding and Investment. The objectives of the programme are:

 

  • coordinate and clarify London's business support offer to cleantech innovators;
  • promote London's cleantech proposition internationally to attract businesses, talent and investment;
  • increase the cleantech innovation pipeline by linking London start-ups and SMEs to larger corporates;
  • address gaps in provision of business support and accelerator programmes focused on London's key environmental challenges;
  • enhance market access for cleantech innovators through city challenges and client brokerage events;
  • ensure co-workspace, incubation and grow-on space meets the needs of London businesses in different cleantech sub-sectors;
  • increase employment opportunities aligned with London’s priorities for inclusive growth and attract new talent to develop the innovative solutions needed for London's low carbon future; and
  • collaborate with London's finance community to bridge gaps in patient risk capital for early and mid-stage cleantech ventures.

​​​​​​​

  1. These objectives will be achieved through the following outputs:
    • develop detailed project plan for the CleanTech London delivery programme including determination of KPIs for the above objectives;
    • design and deliver a launch event to: 
      • alert ecosystem to overall CleanTech.London programme and provide call to action to market;
      • coordinate and clarify London's business support offer to cleantech innovators;
      • promote London's cleantech proposition internationally to attract businesses, talent and investment; and
      • provide forum to discuss how to enhance interactions between the business community and London’s economic policy drivers and environmental interventions.​​​​​​​
      • build a distinguishable CleanTech London brand including: 
        • establishment of brand mission statement;
        • creation of brand logo, identity & tagline; and
        • integration plan for brand into founding partners’ objectives.

 

The table below sets out how the funding will be used:

 

Cost name

Cost amount

Work package

Cost owner

Engagement and Communications

£10,000

  • Creation of brand identity and communication and engagement plan. 
  • Planning the delivery of a high-profile launch event of CleanTech London collaborative partnership
  • Ensuring senior level borough involvement
  • Marketing and comms aimed at the CleanTech sector.

LEAP

Project Manager

£15,000

Delivering, monitoring and reporting on the CleanTech London Programme

LEAP

 

Equality comments

Under Section 149 of the Equality Act 2010, as a public authority, the Mayor of London must have ‘due Regard’ of the need to eliminate unlawful discrimination, harassment and victimisation as well as to advance equality of opportunity and foster good relations between people who have a protected characteristic and those who do not.

Strategic equality, diversity and inclusion objectives are enshrined within the GLA’s programmes and activities according to the Mayor’s Equality, Diversity and Inclusion Strategy.

The activities delivered as part of CleanTech London will look to maximise its positive impact on equality for all Londoners, for example through ensuring that any programmes delivered will be promoted through a wide variety of channels to reach out to underrepresented groups, events will be accessible and communication channels will be used to showcase and celebrate innovation across a diverse SME base.

Other considerations

Links to Mayoral strategies and priorities:

 

  1. Both the Mayor’s Economic Development Strategy and the London Environment Strategy identify the importance of the CleanTech sector in addressing London’s climate change challenges. The Economic Development Strategy in particular sets out the Mayor’s ambition to lever London’s innovation to help solve London’s environmental challenges both to support business growth and help deliver London’s zero carbon ambitions. 

 

  1. The Mayor’s draft London Plan outlines how London will evolve and develop over the next 20-25 years. This strategy addresses the challenges and focus areas for development within the built environment, mobility, and infrastructure sectors. There is an opportunity to support the Mayor’s London Plan and accelerate the uptake of clean technology in London.

 

  1. It can be confirmed that no conflicts of interest were noted in the drafting and clearance of this decision.

 

 

Risk register:

Risk

Likelihood

Impact

Mitigation

Insufficient engagement by founding partners

Low

Low

Informal engagement with founding partners has already taken place over the past 1.5 years. Informal commitment is already secured from 8 prospective founding partners. 

Insufficient interest by businesses 

Low

Medium

The partnership objectives have been designed with feedback from businesses and further outreach will be conducted during the project inception phase to ensure buy-in

CleanTech London project inception phase does not translate into commercial opportunities

Medium

Medium

The project will align with the work across the ecosystem and across the Boroughs, as well as with other work at a regional and national scale to ensure that we bring forward practical opportunities. Phase One resource is meant to set up structural infrastructure in order for CleanTech London to launch, gain momentum and to start to unlock commercial opportunities.

Financial comments

Approval is being sought for the award of grant of up to £25,000 to Sustainable Ventures to deliver the ‘Clean Tech London Inception Phase’ Project. This includes a business plan for the partnership, secretariat function, partnership exploration for commercial opportunity and launch event.

The £25,000 cost of this proposal will be funded from the LEAP Core Budget for 2019-20 and 2020-21.

Activity table

Activity

Timeline

Delivery Start Date

February 2020

Set up CTL collaboration partnership with Founding Partners

March 2020

Three-month project inception plan agreed with Founding Partners

March 2020

Announcement of Partnership and Launch Event

June 2020

Delivery End Date

June 2020


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