Last Week in ConTech - 25 November 2024
NEPA act under review + New York approves first of a kind toll to finance mass transit projects
Last Week in ConTech is a summary of the most important construction startup funding, news, policy changes and national project investments in the last 7 days. The goal is to provide decision makers with information on technology solutions and macro-economic trends in construction to help drive innovation in the industry.
In this issue there are:
11 Startup Fundings
14 Policy and Regulatory Changes
5 New National Infrastructure Projects & Priorities
0 New investment fund
2 Acquisition
6 News articles
16 new jobs posted - view here
Reading time: 14 mins
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Startup Funding
Site Autonomy
Teleo, a Californian startup, raised $7m in Series A extension funding. They retrofit heavy construction and mining equipment to support semi-autonomous functionality and remote operation by off site operators. More here.
[View open jobs - 11 roles in Software]
Inspection Monitoring
BrightAI, a San Francisco startup, raised $15m in Seed funding. They have developed an end to end platform for blue collar industries which uses sensors to monitor physical assets helping to catch and predict issues before they arise including provisioning of real time asset monitoring, wearable copilots for field reporting and guidance and autonomous inspection capabilities for complex and dangerous tasks. More here.
Modeling
Podium, a Singorporean startup, raised S$20.4m in Series A1 funding led by Autodesk. They have developed a platform which is able to automatically generate detailed building models based on factors such as the estimated cost of the project, number of units, desired floor to ceiling height and loading limits. More here.
Notes:
The platform was incubated inside of Lendlease in 2020 becoming an independent company in September 2024.
It assists with design for manufacturing and assembly (DfMA) with suppliers able to upload product data such as specifications and catalogs allowing the designer to generate building designs with their materials and pre-fabricated components.
Their computational model is able to integrate manufacturing constraints and cost analysis within the design process.
Water
Aquaria, a San Francisco startup, raised $112m in funding. They have developed atmospheric water generators which produce water from ambient air allowing standalone water stations to operate independent of water / plumbing infrastructure finding traction in the construction, resort and remote infrastructure markets. More here.
[View open jobs - 1 role in Sales, 1 role in Operations, 1 role in Project Management]
Notes:
Aquaria’s solution is able to produce water utility scale water, upwards of 100,000 GAL per day.
This technology could fundamentally rethink how we design and develop our cities as it reduces the need for subsurface water infrastructure (piping).
Additionally it allows for the development of land which does not have traditional infrastructure and water access.
Epic Cleantec, a San Francisco startup, raised $12m in Series B funding. They have developed water recycling systems which deploys onsite water treatment and reuse systems into individual buildings, groups of buildings and at a community scale. It converts wastewater into treated water for non-potable use. More here.
Notes:
Countries and cities around the world are facing a severe drought crisis.
This is increasingly reflected in guidelines recommending the use of stormwater or recycled gray water for tasks such as garden watering, car washing and toilet flushing (new residential developments often dictate greywater use as part of their design guidelines).
Greywater refers to domestic wastewater generated in households or office buildings from streams without fecal contamination (wastewater streams which are not from toilets).
Building Decarbonization
Kugu, a Berlin startup, raised $9m in Series A funding. They have developed building energy and control systems allowing real estate companies to monitor real time usage and emissions to automatically identify optimization strategies. More here.
[View open jobs - 3 roles in Software, 1 role in Finance]
Robotics
Swap Robotics, a Canadian startup, raised $3m in funding. They have developed robots for utility scale solar construction, operations and maintenance assisting with solar panel laying during the construction phase and management of vegetation during the later phases. More here.
[View open jobs - 12 roles in Other]
Drones
Skydio, a Californian startup, raised $170m in Series E funding. They design and manufacture drones that use AI for autonomous flight specializing in asset inspections including bridges, utility infrastructure, defense equipment as well as construction site monitoring. More here.
[View open jobs - 1 role in Customer Success]
Notes:
Skydio is the largest American drone manufacturer and was sanctioned by China.
This has forced them to ration their batteries for customers due to induced supply constraints.
Sustainable Materials
Prism Worldwide, a Washington state startup, raised $40m in Series A and A1 funding. They develop polymer intermediates derived from ground tire rubber. This can be used as a polymer modifier in asphalt applications offering a sustainable alternative to virgin synthetic rubber which is added to asphalt to improve durability. More here.
Business Management
Odoo, a Belgian startup, raised €500m in funding. They provide enterprise resource planning software for small and medium sized businesses (including construction) offering a wide range of applications for the management of business functions such as finance, sales, marketing, supply chain, productivity (including project management, timesheets, field services) and HR in one integrated platform. More here.
Other
Prokeep, a New Orleans startup, raised $25m in Series A funding from investors including Ironspring Ventures. They have developed a customer communication and engagement platform for distributors in verticals such as HVAC, plumbing, roofing, lumber etc providing centralized communication, relationship management and broadcasting text services to deliver a better customer experience. More here.
[View open jobs - 1 role in Sales, 1 role in Marketing]
Notes:
This helps manage the relationship between the material supplier and the contractor.
Policy and Regulatory Changes
A Court Just Broke America’s Most Divisive Environmental Law. Here’s What Happens Next.
A panel on the D.C. Circuit Court of Appeals ruled that key rules governing the National Environmental Policy Act (NEPA), which requires the federal government to study the environmental impact of its actions, do not carry the force of law.
Whenever the federal government wants to build a new piece of infrastructure it has to go through NEPA.
NEPA studies which were originally meant to be just a few pages long can now be as long as thousands of pages and take years to complete.
NEPA doesn’t actually require the government to take the most environmentally friendly action, it only mandates that the government study the alternatives and arrive at a decision.
If this is upheld, it could affect hundreds of cases around NEPA into question, vastly weaken NEPA and allow the government to build projects quickly.
Trump's transition team aims to kill Biden EV tax credit
President-elect Donald Trump's transition team is planning to kill the $7,500 consumer tax credit for electric-vehicle purchases as part of broader tax-reform legislation.
Ending the tax credit could have grave implications for an already stalling U.S. EV transition.
Notes:
This will have an impact on the demand and construction of electric charging infrastructure.
NYC congestion pricing plan approved by MTA board; $9 tolls get green light
The MTA board fast-tracked Gov. Kathy Hochul's plan to finance mass transit with congestion pricing.
The plan is designed to provide $15 billion in funding for signal modernization, accessibility improvement, the expansion of the Second Avenue Subway line, and more projects.
It is the first toll plan of its kind in the nation.
Massachusetts passes bill to speed clean energy and slow gas expansion
A bill that will limit gas pipeline expansion, make it easier to site and build renewables, and allow utilities to use geothermal energy instead of fossil fuels was passed.
A key change is that for clean energy projects, instead of having to go through multiple agencies for approval, the Energy Facilities Siting Board will oversee the entire process.
It also places a time limit on challenges to renewable energy projects to 15 months.
DOE awards up to $2.2B to Gulf Coast, Midwest hydrogen hubs
The U.S. Department of Energy on Wednesday finalized award commitments of $1.2 billion for the Gulf Coast Hydrogen Hub and $1 billion for the Midwest Hydrogen Hub.
Funding for three other hubs were approved earlier this year.
The hub approvals will clear the way for hydrogen projects that were waiting for associated infrastructure or offtake agreements to come together.
US judge strikes down Biden overtime pay rule
A federal judge in Texas on Friday permanently blocked a Biden administration rule that would have made about 4 million more salaried U.S. workers (including those in construction) eligible for overtime pay.
The judge said the U.S. Department of Labor rule that took effect in July improperly bases eligibility for overtime pay on workers' wages rather than their job duties.
Washington voters approve pro-natural gas measure
A ballot measure blocking Washington’s efforts to phase out the use of natural gas in homes was passed.
Initiative 2066 requires utilities and local governments to provide natural gas to eligible customers and prevent approval of utility rate plans that end or restrict access to natural gas, or make it too costly.
It also erases changes to the energy code, approved by the Washington State Building Code Council, that offer builders incentives in the permitting process for choosing electric heat pumps instead of natural gas furnaces.
NOAA, U.S. Department of Transportation team up to advance climate-smart transportation
A new memorandum of understanding signed today by NOAA and the U.S. Department of Transportation (DOT).
The MOU will enable DOT and transportation stakeholders from state, tribal, territorial, local and commercial entities to collaborate with NOAA climate scientists and communicators to exchange a wide range of information and resources.
It means transportation sector officials will have easier access to climate and environmental information, along with technical assistance.
4-state coalition gets nearly $250M for I-95 electric truck chargers
The Environmental Protection Agency has awarded nearly $250 million for a multistate project to add electric truck chargers along an East Coast freight corridor.
The coalition will use the grant to fund a regional charging network for electric medium- and heavy-duty trucks along Interstate 95.
The interstate was also identified by the Biden administration as a priority for the National Zero-Emission Freight Corridor Strategy.
Europe to Ramp Up Lithium Mining to Cut China’s Market Grip
97% of lithium, a key component of electric vehicle batteries, comes from China.
With demand for battery electric vehicles set to triple in Europe in the next 10 years, the EU is set to open new lithium mines.
They have set a target to produce at least 10% of its annual consumption by 2030.
Notes:
This will have a second order effect on industrial / manufacturing construction spending.
Europe will need to construct an entire supply chain to process and refine lithium as well as to manufacture electric vehicle batteries and the vehicles themselves.
EU to demand technology transfers from Chinese companies
Brussels is planning to force Chinese companies to transfer intellectual property to European businesses in return for EU subsidies.
New criteria requiring Chinese businesses to have factories in Europe and share technological knowhow will be introduced when Brussels invites bids for €1bn of grants to develop batteries.
Govt extends deadline for electric construction equipment safety compliance (India)
Indian automakers have been granted a three-month extension to comply with the stricter safety standards for electric construction equipment.
The revised deadline requires manufacturers to comply with the new norms by January 1, 2025.
It encompasses critical safety measures for battery systems, electrical components, and overall vehicle construction.
The new safety regulations aim to protect both workers on construction sites and the public.
IRS finalizes direct pay rules, increasing access to IRA’s clean energy tax credits
Direct-pay eligible entities like local governments, public school districts, churches and hospitals will now more easily be able to jointly invest in clean energy projects.
The regulations expand on an Inflation Reduction Act provision that allows entities with little to no federal tax liability to benefit from clean energy tax credits via direct pay.
Because partnerships are not generally eligible to qualify for the direct pay provision, the regulations clarify how co-owned projects in the clean energy space can elect not to be treated as partnerships for tax purposes.
Virginia Tech receives $1.1M for advanced, mobile 3D construction printer
The $1.1 million Community Innovation Demonstrations grant has been awarded to the Center for Housing Research at Virginia Tech for testing, training, and research.
This includes a partnership to print 10 affordable homes across the state by 2026.
National Infrastructure Projects & Priorities
Global
Six More Countries Endorse the Declaration to Triple Nuclear Energy by 2050 at COP29
This announcement brings the total number of countries endorsing the declaration to 31.
This now includes Kenya, Kosovo, Kazakhstan, El Salvador, Nigeria and Turkey.
In September 2024, at New York Climate Week, 14 of the world’s largest banks and financial institutions from five countries signaled their support for tripling global nuclear capacity.
Related:
Last week, the US Administration issued a roadmap outlining plans for the deployment of 200 GW of nuclear capacity by 2050.
United States
Future Google supplier Kairos gets approval to build two small nuclear reactors
The small modular reactor startup Kairos Power received approval from the U.S. Nuclear Regulatory Commission to start construction on two test reactors.
In October, Kairos Power inked a deal with Google to provide 500 megawatts of electricity for its data centers.
This permit is for a scaled down version of what they plan to build to supply Google with energy in 2030.
China
China Starts First Gigawatt-Sized Offshore Solar Power Project
The open-sea photovoltaic plant off the coast of Shandong made its first connection to the grid.
It has a total installed capacity of 1 gigawatt.
As of this year China has more than 700 gigawatts of solar capacity.
Shandong, an industrial hub south of Beijing, plans to add more than 11 gigawatts of offshore solar by 2025, with an aim of building 42 gigawatts of capacity.
Sinopec, Aramco Begin Construction on $10 Billion Refinery-Petrochemical Plant in China
The complex marks Saudi Aramco's second major refining and petrochemical joint venture with a Chinese state oil major.
For Aramco, it is another step towards growing its downstream business outside the Kingdom of Saudi Arabia and is part of a plan to supply a million bpd of crude oil to China for oil-to-chemicals investments
United Kingdom
Britain Sets Out to Be a Clean Energy Destination
At COP29, Britain announced they would aim to reduce its emissions by 81 percent by 2035, compared with levels in 1990.
This is inline with recent goals to produce the country’s electricity mainly from renewable energy sources by 2030.
This requires a doubling of wind power on land and a threefold expansion of solar capacity.
It also requires the construction of new power lines to take the energy from where it’s produced to where it’s used.
It requires an estimated $80 billion in investments and needs changes to planning rules.
News
Half of IIJA funds unspent with Trump set to take office
Three years into the five-year federal law, $568 billion, or 47%, of Infrastructure Investment and Jobs Act funds have been announced.
More than 66,000 construction projects are advancing due to this legislation.
The law faces an uncertain future as the Trump administration prepares to take office.
Building up a storm Managing Corruption and Fraud Risks in Asia Pacific construction projects
One estimate is that the total value of construction activity will increase from US$7.9 trillion in 2022 to nearly US$14 trillion in 2037.
India, China and the United States are expected to account for more than 51 percent of all work done in the global construction and engineering market by 2037.
Within Southeast Asia, Indonesia, the Philippines, Malaysia and Vietnam are projected to be the four fastest-growing construction markets. Specifically:
In Indonesia, the new administrative capital Nusantara represents an estimated project value of US$45 billion, with construction expected to take place over 20 years;
In the Philippines, the government’s “Build Better More” infrastructure programme is expected to spur the development of rail systems, roads, airports and seaports;
In Vietnam, continued ongoing urbanization is expected to sustain high growth in housing, infrastructure and related industries.
The article goes into the sources of corruption risk and how to manage.
Chart: Green industrial projects are stuck in limbo
Nearly 700 projects to clean up steel, cement, and other industries are in progress worldwide — but developers are struggling to finance and build them.
Oklo Secures Partnerships for Up to 750 Megawatts of Power for U.S. Data Centers
Oklo design and develop Small Modular Reactors.
Gas stations won’t go away after the EV revolution—they’ll just get better
The most dangerous roads in America have one thing in common
If I missed anything this week, please reply and let me know! I’ll make sure to include it next week.