The U.S. is at a critical energy crossroads: artificial intelligence (AI), electric vehicles (EVs), U.S. manufacturing growth, and escalating climate-related disasters are demanding far more power than our current infrastructure can deliver. The aging energy grid, designed for another era, is struggling to meet these needs, creating bottlenecks for cleantech expansion. With nearly two decades of experience in cleantech—having founded three companies and led BP's fleet electrification efforts in the U.S.—I’ve encountered numerous challenges. However, these experiences have taught me valuable lessons about what works, and what doesn’t, as we move forward into Cleantech 3.0.
Here are some actionable insights from my cleantech journey.
Cleantech solutions should be as simple as pressing an “easy button”—like the Staples ad campaign from years ago. Clean energy, from generation to delivery, should not be more complicated than ordering a pizza, with the sausage-making details (and headaches!) left to the vendors. To apply this, map out every interaction your customer has with your product or service, from initial engagement to after-sales support, and streamline each step.
Customer obsession is key. By addressing pain points and simplifying the experience, you not only meet their needs but also build loyalty and drive referrals.
Lesson: Simplify processes and make your product as intuitive as pressing an “easy button” to solve customers' most pressing challenges.
Securing large venture capital (VC) rounds may seem like a measure of success, but it can lead to unsustainable growth. VC investors often push for rapid market capture, which can result in reckless spending before achieving a true product-market fit. During economic downturns, entrepreneurs may find themselves abandoned and struggling to survive.
Instead, success in cleantech is about consistent progress—like the tortoise who beat the hare. Staying lean allows you to maintain control, adapt to changes, and avoid unnecessary spending. Assess your company’s financial health regularly, and create metrics focused on profitability and customer satisfaction rather than just growth. True success lies not in how much capital you raise but in how effectively you use it to achieve profitability and sustainability.
Lesson: Focus on profitability and sustainable growth. Raising money is just the beginning; success comes from building a financially viable business.
Cleantech faces challenges like regulatory hurdles and long adoption cycles. A strong company mission and a dedicated team are essential to keep moving forward. The right culture fosters unity, resilience, and purpose, motivating employees through tough times.
After selling Amply Power to BP in 2021, my team stayed focused on what we set out to build from the start—transition to electric transportation at scale. Our laser-sharp mission led us to partner with major players like Hertz and Tesla to make it happen. Ensure that your company mission is aligned with both your team’s values and industry trends, so employees feel connected to a larger purpose.
Lesson: Build a mission-driven culture that unifies your team and drives long-term success.
Cleantech 3.0 requires collaboration. Strategic partnerships help companies scale faster, validate their technologies, and unlock new opportunities. At my energy storage company Green Charge Networks, early collaborations with brands like 7-Eleven and UPS helped prove our technology and attract investments.
Today, partnerships in cleantech are crucial for establishing credibility and accelerating growth. Whether collaborating with industry giants or smaller innovators, focus on partnerships that bring complementary strengths and allow for the scaling of your core technology.
Lesson: Leverage partnerships to validate your offering, secure funding, and scale.
In my cleantech journey, one of the biggest challenges I’ve faced has been regulatory delays in electricity upgrades and interconnections. The alternating current (AC) grid, built in the early days of electrification, simply isn’t keeping up with today’s energy demands. We are currently navigating a landscape shaped by established utilities and regulatory frameworks that have not kept pace with the speed of technological advancements. Regulatory red tape often slows the adoption of new technologies, delaying the deployment of critical infrastructure, like EV charging stations or renewable energy sites.
AC originally won out over direct current (DC) due to its efficacy in stepping up and stepping down voltages for long-distance transmission. However, the centralized, one-directional model no longer meets the needs of modern distributed generation and intermittent energy sources. One of the key inefficiencies in the current grid is the repeated conversion of DC power (produced by sources like solar panels and batteries) to AC for transmission, only to convert it back to DC at the end-user stage. Each of these conversions leads to substantial energy losses—up to 20%—and introduces additional points of potential failure in the system. DC technology, which Thomas Edison championed, has evolved and is now emerging as a more efficient solution for energy delivery.
The next frontier in Cleantech 3.0 is about supplying power quickly, efficiently, and sustainably. Revisiting Edison’s ideas on DC can help us adapt to today’s energy needs and overcome the barriers that hold back innovation.
As energy leaders, we must ask ourselves whether our current approaches truly meet the demands of today’s technology-driven world. What can you simplify for your customers? Are you optimizing resources to prioritize long-term sustainability over short-term wins? Reflect on these lessons and consider how to shape your strategies for the future of energy.
Vic Shao is a 3x cleantech entrepreneur and the founder of DC Grid, a company focused on delivering rapid power solutions for large energy consumers through direct current technology. He previously founded Green Charge Networks and Amply Power, both of which were acquired by major energy companies.
