The Long Game Of Sustainability | The Compass - March 2025
Green markets & more in our March newsletter.
We’ve been conditioned to expect fast progress, prioritizing the short game while growing impatient with the long game. That’s why some are disillusioned with sustainability markets like EVs, alternative protein, and green energy. They think the slow movement signals failure.
But real transformation doesn’t happen overnight. Superficial advances might, but not systems-level change. Uprooting old systems, shifting behaviors, and building new industries is messy and non-linear. Friction is inevitable. So today’s roadblocks in green markets shouldn’t be a surprise—nor cause for panic.
History reminds us that radical change takes time. Take personal computers: once bulky, expensive, and met with skepticism, PCs are now ubiquitous. Their adoption required technological improvements, shifting consumer behavior, and infrastructure development.
We’re seeing the same dynamic with green markets. Despite what the anti-ESG narratives are claiming, these markets are steadily and incrementally gaining traction. For example…
Alternative Protein: Headlines proclaim plant-based meat a “bust” because sales have slowed. But plant-based meat is now in virtually every grocery store, and major fast-food chains offer protein alternatives. Consumer demand is growing, with 72 million U.S. households identifying as flexitarian. As the industry continues to improve taste and bring down costs, growth will continue.
EVs: EV sales in the U.S. grew 60% year over year between 2022 and 2023, hybrids are booming, and charging infrastructure is continuing to expand across the country. More automakers are entering the space, increasing competition and affordability.
Renewable Energy: Despite fossil fuel pushback, clean energy is thriving. In 2022, U.S. renewable energy generation surpassed coal for the first time. Solar was the fastest-growing U.S. power source in 2023, and wind energy is set to expand. Nuclear innovation is also gaining traction, with Bill Gates alone investing over $1 billion in reactor development.
Across all three sectors, these industries aren’t collapsing. They’re hitting natural inflection points. So how do we accelerate adoption and ensure these markets thrive?
Practice patience. Behavior change takes time. Just because progress slows doesn’t mean it stops.
Stop viewing green solutions as outright replacements. Alt protein isn’t here to eliminate meat; it’s here to reduce harm and introduce sustainable options.
Prioritize performance and value. Consumers won’t buy green products just because they’re sustainable—solutions must be competitive on quality, convenience, and price.
Scale to reduce costs. Unlike software, scaling physical goods requires capital-intensive infrastructure. Investors—not just ESG-focused ones—must step up.
Educate the market. Awareness matters. We must highlight the companies driving real change and help consumers understand the benefits of sustainable solutions.
Building markets takes time. Despite naysayers, progress is happening every day. The economy is in transition—let’s stay the course, deploy capital boldly, and shape a future we believe in.
With gratitude,
Jason W. Ingle
E hello@thirdnatureinvestments.com
in jwingle
P.S. Is there a topic, news story, or trend you’d like us to explore in an upcoming issue or blog? We’d love to hear from you, drop us a line at the email address above!
Third Nature News
The Power of Partners in Earth Systems Investing
Jason W. Ingle
Speaking with a cohort of MIT Sloan MBA students studying the intersection of systems thinking, finance, and sustainability gave me a renewed sense of optimism for the future. While the impact investing space can often feel disheartening due to setbacks and systemic inertia, these students’ bold, solutions-driven mindset was truly inspiring. Our conversation also reinforced a key tension in investing: the balance between specialization and a broader systems-based approach. My early impact investing work in food systems showed me that narrow focus can create blind spots, overlooking the interconnectedness of systems like water, energy, and biodiversity. Today, we see similar siloed thinking in climate tech investing, where fragmentation may limit impact and lead to unintended consequences. This realization led us at Third Nature to adopt an “earth systems” approach, integrating expertise across sectors through strategic partnerships with thematic fund managers.
What We’re Reading
How We Make Progress Now
The Crucial Years
In recent weeks, we’ve seen massive setbacks in climate policy, including the dismantling of key initiatives such as the Paris climate accords, IRA spending, and renewable energy projects, alongside a declared “energy emergency” to accelerate fossil fuel expansion. This blitzkrieg approach, driven by Big Oil’s deep influence, has left the climate movement facing a daunting challenge—how to erode this entrenched power while organizing against the stark reality of escalating climate damage. The path forward will require fresh strategies beyond traditional resistance, drawing lessons from historical movements and leveraging the economic realities that now favor clean energy. The fight is far from over, but it demands persistence, creativity, and a strategic shift in approach.
Researchers make the case for shift from economic growth to human well-being within planetary limits
Mongabay
New research concludes that humanity would benefit more if it aims for ecological sustainability and stays within the limits of what Earth can provide, rather than pursuing relentless growth. The success of capitalism depends on the push for growth, which requires the use of resources and energy, and comes at the cost of ecological damage. Economists have proposed alternatives that focus on staying within a set of planetary boundaries that define the safe operating space for humanity. The review, published in the journal Lancet Planetary Health, draws on more than 200 resources from the scientific literature.
Our Companies in the News
Reducing Plastic Usage Requires Coordinated, Holistic Efforts
Retail Touchpoints
Saloni Doshi, CEO of EcoEnclose, explains why she’s excited by the advancements in producing packaging out of agricultural waste, fallen leaves or restorative on-purpose crops such as seaweed and hemp. EcoEnclose recently partnered with Sway, launching the first-ever line of polybags featuring seaweed as its hero ingredient. Whatever a business needs from its packaging, there’s likely a cutting-edge sustainable solution out there already taking form.
Transforming Food Waste into Community Support
Shift and Thrive Podcast
How can businesses leverage technology to simplify food donations while building strong partnerships with nonprofits to tackle food insecurity more effectively? In this episode of the Shift and Thrive podcast, Natalie interviews Kimberly Smith, CEO of Copia, a company revolutionizing food donation through technology. Kimberly shares how Copia automates surplus food redistribution, simplifying the donation process for businesses while supporting nonprofits. The conversation delves into leadership, emphasizing trust, accountability, and fostering a strong team culture.
The Future of Bioplastic Production Requires Targeted Collaboration and Coordination
Synbiobeta
Bioplastics are emerging as a crucial solution to plastic pollution, but their widespread adoption has been hindered by cost and performance challenges. Companies like Sway and Atlantic Sea Farms are demonstrating how seaweed-based alternatives can address these barriers while driving environmental and economic benefits. Sway, co-founded by Julia Marsh, leverages seaweed extracts to create compostable bioplastics, partnering with regenerative seaweed farmers to build sustainable supply chains. Meanwhile, Atlantic Sea Farms is proving that regenerative kelp farming not only diversifies maritime incomes but also restores marine ecosystems.
 |
|
Once sustainable industries reach the tipping point on cost, the politics don't matter. Florida is passing California in terms of new utility scale solar capacity on its grid....Texas is in the lead. https://grist.org/energy/florida-is-now-a-solar-superpower-heres-how-it-happened/
We need to catch this wave with alternative protein. Plant-based meat is still more expensive than its conventional counterparts, but seafood is where we can hit price parity first. And if it taste delicious, then the "fake meat" chorus will get very quiet.