Understanding Green Tech
Green technology is an umbrella term that describes the use of technology and science to create products and services that are environmentally friendly. Green tech is related to cleantech, which specifically refers to products or services that improve operational performance while also reducing costs, energy consumption, waste, or negative effects on the environment.
The goal of green tech is to protect the environment, repair damage done to the environment in the past, and conserve the Earth's natural resources. Green tech has also become a burgeoning industry that has attracted enormous amounts of investment capital.
The use of green tech can be a stated goal of a business segment or a company. These goals are typically outlined in a company's environmental, sustainability, and governance (ESG) statement, or can even be found in the mission statement of a firm. Increasingly, socially responsible investors are looking to narrow down their prospective investments to only include companies that specifically employ or produce green technologies.
History of Green Tech
While green tech has become increasingly popular in the modern age, elements of these business practices have been in use since the Industrial Revolution. Beginning in the early 19th century, scientists began to observe the ecological impacts of coal-burning industrial plants, and manufacturers have sought to reduce their negative environmental externalities by altering production processes to produce less soot or waste byproducts.
