From IMPEL to Impact: Lessons Learned in Accelerating Innovative Building Technologies

The built environment is a complex ecosystem of social institutions and physical infrastructures. Innovation and entrepreneurship in the building industry are critical levers for market transformation toward equitable climate action. However, climate tech innovation for the built environment is not moving fast enough for global needs, and it lacks fundamental diversity, leading to inequitable outcomes. IMPEL (Incubating Market-propelled Entrepreneurial-mindset at the Labs and Beyond) -a U.S.Department of Energy incubator–addresses these critical issues. Over five years, IMPEL has enabled 250 innovators, including 55% women and diverse founders, to accelerate their buildings and clean energy technologies towards market and climate impact. IMPEL provides access to strategic mentoring and coaching, carbon tools training, testbeds, and powerful public-private pipelines, including industry demonstrations, non-dilutive grants, and venture capital networks. The IMPEL innovation ecosystem has accelerated the pace of innovation and market adoption of building decarbonization technologies. In this paper, leverage the IMPEL stakeholder ecosystem -from innovators to investors and product industry to policymakers -to analyze the critical barriers to decarbonization still encountered in the building industry. We study the IMPEL approach and highlight lessons learned that benefit young businesses pursuing innovative building and building-edge energy technologies to develop new ideas and products. Finally, we propose a ‘market forming’ framework to improve the quality and efficiency of the entrepreneurial ecosystem in the building industry. This framework could scale vetted technologies and the participation of diverse founders to de-risk the climate tech industry and create economic growth towards an equitable zero-carbon built environment.