Kanin Energy has been named a top investible startup. Photo via kaninenergy.com

A Canadian organization has called out the top 50 most investible energy transition companies in the country, and one Canada-founded, Houston-based startup made the cut.

The 2023 Foresight 50, Foresight Canada's 50 Most Investible Cleantech Ventures, sought to highlight the top companies moving the needle toward Net Zero. Kanin Energy — founded by CEO Janice Tran in Calgary in 2020 but relocated to Houston by way of Greentown Labs — developed a waste-heat-to-power concept for generating clean energy.

“The ventures included in this year’s Foresight 50 are nothing short of awe-inspiring. These game-changing innovators are scaling the critical climate solutions we need to solve the world’s most urgent climate challenges and accelerate the transition to net zero. Congratulations and thank you for all you are doing for Canadian cleantech," says Jeanette Jackson, CEO of Foresight Canada, in a news release.

According to the organization, 41 cleantech investors evaluated detailed profiles the companies submitted. They looked at investibility, potential environmental and employment impact, leadership and team, and probability of success, according to Foresight Canada.

"Canada has no shortage of inspiring innovators with the potential to solve global climate challenges. But these companies struggle to attract the long-term capital and recognition needed to make their businesses competitive on a global scale," Kanin Energy's team writes in its news release.

A year ago, the Kanin team visited Houston to see if the city could be a fit for an office. In July of 2022, Tran opened Kanin Energy offices in Greentown Labs.

“We’re hiring and building our team office out of Greentown. It’s been really great for us,” she previously told EnergyCapital.

Earlier this month, Kanin Energy was named a finalist in the 2023 Houston Innovation Awards.

The six finalists for the sustainability category for the 2023 Houston Innovation Awards weigh in on their challenges overcome. Photos courtesy

4 biggest challenges of Houston-based sustainability startups

Houston innovation awards

Six Houston-area sustainability startups have been named finalists in the 2023 Houston Innovation Awards, but they didn't achieve this recognition — as well as see success for their businesses — without any obstacles.

The finalists were asked what their biggest challenges have been. From funding to market adoption, the sustainability companies have had to overcome major obstacles to continue to develop their businesses.

The awards program — hosted by EnergyCapital's sister site, InnovationMap, and Houston Exponential — will name its winners on November 8 at the Houston Innovation Awards. The program was established to honor the best and brightest companies and individuals from the city's innovation community. Eighteen energy startups were named as finalists across all categories, but the following responses come from the finalists in the sustainability category specifically.

    Click here to secure your tickets to see who wins.

    1. Securing a commercial pilot

    "As an early-stage clean energy developer, we struggled to convince key suppliers to work on our commercial pilot project. Suppliers were skeptical of our unproven technology and, given limited inventory from COVID, preferred to prioritize larger clients. We overcame this challenge by bringing on our top suppliers as strategic investors. With a long-term equity stake in Fervo, leading oilfield services companies were willing to provide Fervo with needed drilling rigs, frack crews, pumps, and other equipment." — Tim Latimer, founder and CEO of Fervo Energy

    2. Finding funding

    "Securing funding in Houston as a solo cleantech startup founder and an immigrant with no network. Overcome that by adopting a milestone-based fundraising approach and establishing credibility through accelerator/incubator programs." — Anas Al Kassas, CEO and founder of INOVUES

    "The biggest challenge has been finding funding. Most investors are looking towards software development companies as the capital costs are low in case of a risk. Geothermal costs are high, but it is physical technology that needs to be implemented to safety transition the energy grid to reliable, green power." — Cindy Taff, CEO of Sage Geosystems

    3. Market adoption

    "Market adoption by convincing partners and government about WHP as a solution, which is resource-intensive. Making strides by finding the correct contacts to educate." — Janice Tran, CEO and co-founder of Kanin Energy

    "We are creating a brand new financial instrument at the intersection of carbon markets and power markets, both of which are complicated and esoteric. Our biggest challenge has been the cold-start problem associated with launching a new product that has effectively no adoption. We tackled this problem by leading the Energy Storage Solutions Consortium (a group of corporates and battery developers looking for sustainability solutions in the power space), which has opened up access to customers on both sides of our marketplace. We have also leveraged our deep networks within corporate power procurement and energy storage development to talk to key decision-makers at innovative companies with aggressive climate goals to become early adopters of our products and services." — Emma Konet, CTO and co-founder of Tierra Climate

    4. Long scale timelines

    "Scaling and commercializing industrial technologies takes time. We realized this early on and designed the eXERO technology to be scalable from the onset. We developed the technology at the nexus of traditional electrolysis and conventional gas processing, taking the best of both worlds while avoiding their main pitfalls." — Claus Nussgruber, CEO of Utility Global

    Kanin Energy set up shop in Greentown Labs last year to grow its impact on the energy transition. Photo via Getty Images

    This energy transition startup taps Houston to grow, build its waste-heat-to-power tech

    eyes on hou

    Waste heat is everywhere, but in Houston, the Energy Capital of the World, it is becoming a hot commodity. What is it? Janice Tran, CEO of Kanin Energy, uses the example of turning ore into steel.

    “There’s a lot of heat involved in that chemical process,” she says. “It’s a waste of energy.”

    But Kanin Energy can do something about that. Its waste-heat-to-power, or WHP, concept uses a technology called organic rankine cycle. Tran explains that heat drives a turbine that generates electricity.

    “It’s a very similar concept to a steam engine,” she says. Tran adds that the best term for what Kanin Energy does is “waste heat recovery.”

    Emission-free power should be its own virtuous goal, but for companies creating waste heat, it can be an expensive endeavor both in terms of capital and human resources to work on energy transition solutions. But Kanin Energy helps companies to decarbonize with no cost to them.

    “We can pay for the projects, then we pay the customers for that heat. We turn a waste product into a revenue stream for our customer,” Tran explains. Kanin Energy then sells the clean power back to the facility or to the grid, hence decarbonizing the facility gratis. Financing, construction, and operations are all part of the package.

    Kanin Energy began at the height of the COVID-19 pandemic, in the spring of 2020.

    “We started like a lotus. A lotus grows in mud — you start in the worst conditions and everything is better and easier from there,” says Tran.

    That tough birth has helped provide the team with a discipline and thoughtfulness that’s been key to the company’s culture. Remote work has forced the team to get procedures clearly in place and react efficiently.

    Back in May of 2020, its inception took place in Calgary. But the team, which also includes CDO Dan Fipke and CTO Jake Bainbridge, began to notice that many of their customers were either based in Houston or had Houston ties.

    A year ago, the Kanin team visited Houston to see if the city could be a fit for an office. In July of 2022, Tran opened Kanin Energy offices in Greentown Labs.

    “We’re hiring and building our team office out of Greentown. It’s been really great for us,” she says.

    With the company now in its commercialization stage, Tran says that becoming part of the Houston energy ecosystem has been invaluable for Kanin.

    The investments being made in climate tech and in energy transition make Space City the right place for the company. For Canadian-born Kanin Energy, Houston is now home. Investors across the nation, including Texas, are now helping Kanin to blossom, much like the lotus.

    Janice Tran is the CEO and co-founder of Kanin Energy. Photo via LinkedIn

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    This article originally ran on InnovationMap.

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    Houston geothermal company raises $97M Series B

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    Houston-based geothermal energy startup Sage Geosystems has closed its Series B fundraising round and plans to use the money to launch its first commercial next-generation geothermal power generation facility.

    Ormat Technologies and Carbon Direct Capital co-led the $97 million round, according to a press release from Sage. Existing investors Exa, Nabors, alfa8, Arch Meredith, Abilene Partners, Cubit Capital and Ignis H2 Energy also participated, as well as new investors SiteGround Capital and The UC Berkeley Foundation’s Climate Solutions Fund.

    The new geothermal power generation facility will be located at one of Ormat Technologies' existing power plants. The Nevada-based company has geothermal power projects in the U.S. and numerous other countries around the world. The facility will use Sage’s proprietary pressure geothermal technology, which extracts geothermal heat energy from hot dry rock, an abundant geothermal resource.

    “Pressure geothermal is designed to be commercial, scalable and deployable almost anywhere,” Cindy Taff, CEO of Sage Geosystems, said in the news release. “This Series B allows us to prove that at commercial scale, reflecting strong conviction from partners who understand both the urgency of energy demand and the criticality of firm power.”

    Sage reports that partnering with the Ormat facility will allow it to market and scale up its pressure geothermal technology at a faster rate.

    “This investment builds on the strong foundation we’ve established through our commercial agreement and reinforces Ormat’s commitment to accelerating geothermal development,” Doron Blachar, CEO of Ormat Technologies, added in the release. “Sage’s technical expertise and innovative approach are well aligned with Ormat’s strategy to move faster from concept to commercialization. We’re pleased to take this natural next step in a partnership we believe strongly in.”

    In 2024, Sage agreed to deliver up to 150 megawatts of new geothermal baseload power to Meta, the parent company of Facebook. At the time, the companies reported that the project's first phase would aim to be operating in 2027.

    The company also raised a $17 million Series A, led by Chesapeake Energy Corp., in 2024.

    Houston expert discusses the clean energy founder's paradox

    Guest Column

    Everyone tells you to move fast and break things. In clean energy, moving fast without structural integrity means breaking the only planet we’ve got. This is the founder's paradox: you are building a company in an industry where the stakes are existential, the timelines are glacial, and the capital requires patience.

    The myth of the lone genius in a garage doesn’t really apply here. Clean energy startups aren’t just fighting competitors. They are fighting physics, policy, and decades of existing infrastructure. This isn’t an app. You’re building something physical that has to work in the real world. It has to be cheaper, more reliable, and clearly better than fossil fuels. Being “green” alone isn’t enough. Scale is what matters.

    Your biggest risks aren’t competitors. They’re interconnection delays, permitting timelines, supply chain fragility, and whether your first customer is willing to underwrite something that hasn’t been done before.

    That reality creates a brutal filter. Successful founders in this space need deep technical knowledge and the ability to execute. You need to understand engineering, navigate regulation, and think in terms of markets and risk. You’re not just selling a product. You’re selling a future where your solution becomes the obvious choice. That means connecting short-term financial returns with long-term system change.

    The capital is there, but it’s smarter and more demanding. Investors today have PhDs in electrochemistry and grid dynamics. They’ve been burned by promises of miracle materials that never left the lab. They don't fund visions; they fund pathways to impact that can scale and make financial sense. Your roadmap must show not just a brilliant invention, but a clear, believable plan to drive costs down over time.

    Capital in this sector isn’t impressed by ambition alone. It wants evidence that risk is being retired in the right order — even if that means slower growth early.

    Here’s the upside. The difficulty of clean energy is also its strength. If you succeed, your advantage isn’t just in software or branding. It’s in hardware, supply chains, approvals, and years of hard work that others can’t easily copy. Your real competitors aren’t other startups. They’re inertia and the existing system. Winning here isn’t zero-sum. When one solution scales, it helps the entire market grow.

    So, to the founder in the lab, or running field tests at a remote site: your pace will feel slow. The validation cycles are long. But you are building in the physical world. When you succeed, you don’t have an exit. You have a foundation. You don't just have customers; you have converts. And the product you ship doesn't just generate revenue; it creates a legacy.

    If your timelines feel uncomfortable compared to software, that’s because you’re operating inside a system designed to resist change. And let’s not forget you are building actual physical products that interact with a complex world. Times are tough. Don’t give up. We need you.

    ---

    Nada Ahmed is the founding partner at Houston-based Energy Tech Nexus.

    Houston maritime startup raises $43M to electrify cargo vessels

    A Houston-based maritime technology company that is working to reduce emissions in the cargo and shipping industry has raised VC funding and opened a new Houston headquarters.

    Fleetzero announced that it closed a $43 million Series A financing round this month led by Obvious Ventures with participation from Maersk Growth, Breakthrough Energy Ventures, 8090 Industries, Y Combinator, Shorewind, Benson Capital and others. The funding will go toward expanding manufacturing of its Leviathan hybrid and electric marine propulsion system, according to a news release.

    The technology is optimized for high-energy and zero-emission operation of large vessels. It uses EV technology but is built for maritime environments and can be used on new or existing ships with hybrid or all-electric functions, according to Fleetzero's website. The propulsion system was retrofitted and tested on Fleetzero’s test ship, the Pacific Joule, and has been deployed globally on commercial vessels.

    Fleetzero is also developing unmanned cargo vessel technology.

    "Fleetzero is making robotic ships a reality today. The team is moving us from dirty, dangerous, and expensive to clean, safe, and cost-effective. It's like watching the future today," Andrew Beebe, managing director at Obvious Ventures, said in the news release. "We backed the team because they are mariners and engineers, know the industry deeply, and are scaling with real ships and customers, not just renderings."

    Fleetzero also announced that it has opened a new manufacturing and research and development facility, which will serve as the company's new headquarters. The facility features a marine robotics and autonomy lab, a marine propulsion R&D center and a production line with a capacity of 300 megawatt-hours per year. The company reports that it plans to increase production to three gigawatt-hours per year over the next five years.

    "Houston has the people who know how to build and operate big hardware–ships, rigs, refineries and power systems," Mike Carter, co-founder and COO of Fleetzero, added in the release. "We're pairing that industrial DNA with modern batteries, autonomy, and software to bring back shipbuilding to the U.S."