The Ecosystem Advantage: How InnoEnergy is Redefining Clean Tech Investment

Lily Regardsoe conducts a conversation with Lowina Lundström. They discuss why the Nordic approach to impact investing might hold the key to accelerating Europe's energy transition.

In a world where venture capital often feels like a numbers game, Lowina Lundström brings a refreshingly human perspective to clean tech investment. As CEO of InnoEnergy Scandinavia, she embodies a philosophy that goes far beyond traditional financial returns—one that views the energy transition as both a marathon requiring endurance and a collaborative effort demanding diverse voices.

As part of Green Executives, Renewables Report series, Lily Regardsoe sat down with Lowina Lundström. Her passion for systemic change was immediately evident. With 17 years in the energy sector and a background leading Sweden's national grid, she brings a unique understanding of how complex energy systems actually work—knowledge that proves invaluable when investing in technologies that must integrate seamlessly into our existing infrastructure.

Elements Contributing to Ecosystem Advantage

The Art of Co-Building Companies

"The shortest answer, maybe a bit bold, is that we're not just writing cheques. We are co-building companies," Lundström explains, highlighting what sets InnoEnergy apart from traditional venture capital firms.

This hands-on approach stems from a deep understanding that clean tech startups face unique challenges. Unlike software companies that can scale rapidly with minimal capital, energy technologies are often "capital intensive and slow to scale"—a combination that typically scares traditional VCs. But for InnoEnergy, this presents an opportunity rather than a barrier.

The secret lies in their comprehensive de-risking strategy. Rather than simply providing funding and hoping for the best, InnoEnergy embeds itself within portfolio companies, helping with everything from securing non-dilutive funding to shaping go-to-market strategies. They maintain dedicated teams covering EU policy, talent acquisition and technology development—essentially becoming an extension of each startup's capabilities.

Consider their investment in sustainable aviation fuel company VolagHy or their support for green silicone production, Maana Electric —critical for both solar panels and batteries. These aren't just financial bets; they're strategic moves within a broader ecosystem designed to accelerate the entire clean energy value chain.

The Power of Ecosystem Thinking

Perhaps most impressively, InnoEnergy has cultivated what Lundström calls "a major asset" an ecosystem of more than 1,400 partners spanning investors, corporates, research institutes, academia and public bodies. This network effect creates opportunities that pure capital alone never could.

"We plug these companies into this ecosystem," Lundström notes, describing how they facilitate "warm introductions" rather than cold outreach.

The results speak for themselves: she recalls a case where a utility company and a storage startup, both initially hesitant, ended up piloting together within six months thanks to InnoEnergy.

This ecosystem approach reflects a fundamental truth about the energy transition: transformation doesn't happen in silos. With 40% of InnoEnergy's shareholders being industrial players actively seeking innovative solutions, the firm serves as a crucial bridge between cutting-edge startups and established industry.

Diversity as Innovation Catalyst

Lundström's leadership philosophy offers another lesson for the broader business world.

"Having a team where everyone thinks alike... you might think is efficient, but I would say [it's] very dangerous," she observes.

Her team includes at least eight different nationalities, a strong gender mix with different backgrounds—a diversity that creates what she calls "great tension."

"Innovation requires some discomfort," she explains, "and I think diversity is definitely one way to unlock it."

This insight extends beyond team composition to InnoEnergy's investment strategy, where they seek out solutions across the entire energy spectrum, from storage and renewables to smart grids and industrial decarbonisation.

Building the Workforce of Tomorrow

While many investors focus solely on financial returns, InnoEnergy takes a broader view of value creation. Their dual role as both investor and educator reflects Lundström's conviction

that "you can't build the hydrogen economy without people who know how to run electrolysers."

Their Master School, InnoEnergy Masters+, welcomes students from across the globe, building energy engineering with business acumen. The program has created an alumni network spanning over 70 countries with more than 2,000 graduates now working throughout the energy ecosystem—as industry professionals, policymakers and startup founders.

This educational mission isn't just altruistic; it's strategic.

"Despite the color of the collar, everyone is needed," Lundström emphasises, recognising that the energy transition touches every layer of society, from engineers designing wind farms to technicians maintaining them, from policymakers drafting green deals to construction workers retrofitting buildings

The Nordic Advantage

Scandinavia's emergence as Europe's "green lung" provides InnoEnergy with unique advantages.

Norway achieves nearly 100% CO2-free electricity production, Sweden reached 99% last year, while Finland and Denmark follow at 91% and 87% respectively.

This clean energy foundation, combined with transparent governance and bold public-private collaboration, creates an ideal testing ground for new technologies.

But Lundström acknowledges the challenges too. The Nordic market's small size—just 28 million people—means successful companies must think globally from day one. Additionally, much of the region's power grid infrastructure is reaching the end of its technical lifetime, requiring massive reinvestment and expansion to accommodate new renewable sources and large consumers.

Policy as Partnership

Unlike many business leaders who view regulation as an obstacle, Lundström sees policymakers as essential partners.

"Policymakers really want to make a difference," she notes, but "they need the voice of the innovators and the voice of the industry."

InnoEnergy actively engages with both European Commission and national bodies, providing the expert input that policymakers need to craft effective legislation. This collaborative approach recognizes that successful energy transition requires alignment between innovation, investment, and regulation.

The Marathon Mindset

Perhaps most importantly, Lundström's approach embodies a long-term perspective often missing in today's investment landscape.

"The energy transition is a marathon, not a sprint," she reminds us. "You both need the speed, but you need the endurance."

This philosophy shapes everything from investment decisions to exit strategies. While traditional VCs often view exits as the ultimate goal, InnoEnergy sees them as "just one milestone in a much longer journey."

When portfolio companies are ready to graduate, they're handed over to partners who can take them to the next level—ensuring continuity in the broader mission of energy transition.

Looking Forward

As InnoEnergy scales its ambitions—recently announcing plans to mobilize €160 billion in clean tech investment by 2030—Lundström's approach offers valuable lessons for the broader investment community. Success in clean tech requires more than capital; it demands ecosystem thinking, patience and a willingness to roll up your sleeves and co-build the future.

In a sector where technological innovation must navigate complex regulatory environments, lengthy development cycles and massive infrastructure requirements, perhaps we need more investors who think like Lundström—viewing their role not as passive financiers, but as active partners in humanity's most important transition.

For those seeking to understand how impact investing can drive real-world change, Lowina Lundström and InnoEnergy Scandinavia provide a compelling blueprint: combine deep sector expertise, patient capital, ecosystem thinking and above all, remember that behind every breakthrough technology are the people who make it possible.

Our thanks to Lowina Lundström for her time and insights.