Despite the focus of policy debates and environmental discussions on regulatory measures and systemic changes, the transformative potential of technology often remains underappreciated. Even though innovations such as renewable energy, artificial intelligence (AI), and the Internet of Things (IoT) have demonstrated their practical benefits, the role of technology continues to be downplayed in these conversations.
Yet, technological progress will be critical in addressing climate challenges, enabling adaptation, and reducing the responsibility being placed on consumers. A more disruptive and innovation-driven approach is necessary to achieve tangible results and scalable solutions.
The automotive and transport industries provide a vivid example of how technology can drive transformation. Innovations like electric bus systems and Lime's intelligent urban mobility solutions—which integrate electric bikes and scooters—are showing promise in reducing greenhouse gas emissions from this sector. Electric vehicles (EVs) exemplify the potential of technology to reshape entire industries.
Even so, further innovation is required. Governments must foster environments conducive to new ideas through supportive policies and increased investment to accelerate advancements.
Technology signals a new era for transportation
In 2023, the domestic transport sector accounted for 29.1 per cent of the UK’s territorial greenhouse gas emissions. Globally and locally, EVs are seen as a key solution to reducing these emissions.
The rapid evolution of the EV charging infrastructure over the past decade has addressed challenges like range anxiety and insufficient charging networks. Recently, new technology has emerged that can charge a vehicle from 10 per cent to 80 per cent in just 10.5 minutes, alleviating concerns about battery performance.
Automakers are also pushing boundaries and splitting opinions, with examples like Jaguar's Type 00 concept car and the company’s transition to EVs reflecting bold industry moves toward a cleaner future.
However, clean transportation goes beyond vehicles - it also encompasses energy sources. Smart grid systems, advanced energy storage, and vehicle-to-grid (V2G) technologies - which allow EVs to store and return surplus energy – all play crucial roles. Greater emphasis on these innovations could transform the transportation sector.
New fully electric cars achieved a 19.6 per cent market share of all new cars registered in the UK in 2024, up from 6.6 per cent in 2020. Still, barriers remain. Despite there being over 1.3 million fully electric cars in the UK, they account for only 4.01 per cent of vehicles on the road. While early adopters have embraced EVs, mass consumer adoption is now the critical challenge, particularly among cost-sensitive segments of the population. According to SMMT data, as of October 2024, one in five EVs costs less than its internal combustion engine (ICE) counterpart. In order to further improve these numbers, innovation must address affordability to drive widespread adoption.
The role of innovation, agility, and optimism
While advancements in EV technology have been remarkable, continued government support will be essential for the industry’s evolution and the achievement of climate goals. Acknowledging and investing in change-makers is crucial for fostering innovation and encouraging the broader adoption of EVs.
Unfortunately, many promising technological solutions fail at the pilot stage. The World Economic Forum identifies three key factors behind this: misalignment of incentives between governments and businesses, insufficient pressure from governments on businesses to create demand, and short-term expectations for return on investment. Worryingly, global investment in climate tech startups has fallen below 2019 levels.
To overcome these challenges and fully unlock the potential of technological innovation, governments and businesses must collaborate. Adequate funding and a strong demand are essential to accelerate research and development.
Addressing climate change also requires a shift from pessimism and austerity to innovation, agility, and pragmatic optimism. The entrepreneurial spirit driving technological revolutions must now focus on climate solutions.
Conclusion
Technology should not be viewed as a secondary tool in climate strategies but as a core driver of meaningful and scalable change. By cultivating an innovation-friendly ecosystem and maintaining an optimistic outlook, the transportation sector can serve as a model for how technology can address the climate crisis. Moving forward, it will be crucial to celebrate technological breakthroughs, encourage risk-taking and experimentation, and view climate challenges as opportunities for innovation.
Adam Rodgers, UK and Ireland country director, Easee
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