Canada has quietly built one of the most credible climate technology ecosystems in the world. The federal government’s Net-Zero Accelerator has deployed over eight billion dollars in support of clean technology innovation. The Canada Growth Fund is targeting thirty-five billion dollars in private clean investment by 2030. And a generation of Canadian founders many of them from the country’s world-class engineering and earth sciences programmes are building companies that are solving climate problems that no other country has the natural resources, the research base or the regulatory will to tackle. Follow every Canada startup story at BestStartup Canada.
These are the ten Canadian climate tech startups that matter most heading into the final quarter of 2026.
Cyclic Materials Toronto, Ontario
Cyclic Materials recovers and recycles rare earth elements and critical minerals from end-of-life products electric vehicle motors, wind turbine generators, hard drives and consumer electronics. Its process extracts rare earth oxides and produces materials that can re-enter the supply chain for new EV motors and clean energy equipment, reducing dependence on virgin rare earth mining concentrated in China.
In 2025 Cyclic Materials became the first Canadian company to make MIT Technology Review’s Climate Tech Companies to Watch list. In August 2026 it raised $75 million in a strategic round backed by T. Rowe Price and ERI. Its approach to circular rare earth supply chains addresses one of the most strategic vulnerabilities in the global clean energy transition the dependency on Chinese rare earth processing for the magnets inside every EV and wind turbine on the planet. Website: cyclicmaterials.earth
Eavor Technologies Calgary, Alberta
Eavor Technologies has developed a closed-loop geothermal system a technology it calls Eavor-Loop that extracts heat from deep underground without requiring a naturally occurring hydrothermal reservoir. Traditional geothermal energy is limited to volcanic regions. Eavor’s system works anywhere with sufficient subsurface rock temperatures, making geothermal power globally deployable for the first time.
Eavor won the 2026 CIX Growth Category award and has attracted investment from BP Ventures, Chevron Technology Ventures, Temasek and Alberta’s sovereign wealth fund. Its technology leverages Alberta’s deep expertise in subsurface drilling the same skills that built Canada’s oil sands industry and redirects them toward 24/7 baseload renewable power. Unlike solar and wind, Eavor’s geothermal system generates electricity continuously regardless of weather conditions. Website: eavor.com
Carbon Engineering Squamish, British Columbia
Carbon Engineering pioneered direct air capture technology industrial systems that pull carbon dioxide directly from the atmosphere and either store it permanently underground or convert it into clean synthetic fuels. The company’s technology underpins Oxy Low Carbon Ventures’ Stratos project in Texas, the world’s first commercial-scale direct air capture plant, which began operations in 2024.
Carbon Engineering, backed by Bill Gates and Chevron, validated the commercial viability of direct air capture at industrial scale a technology that most climate scientists say is essential for meeting global temperature targets. The Squamish company has become one of Canada’s most globally significant clean technology exports, with its technology now being deployed across multiple projects in the United States and Europe. Follow Canada climate tech news at BestStartup Canada.
Planetary Technologies Halifax, Nova Scotia
Planetary Technologies uses ocean chemistry to remove carbon dioxide from the atmosphere at scale. Its approach adds alkalinity to seawater, which triggers a natural chemical process that converts dissolved CO2 into stable bicarbonate ions permanently removing carbon from the atmosphere while also counteracting ocean acidification.
In 2025 Planetary sold more than US$31 million in ocean-powered carbon removal to Frontier the carbon removal purchasing consortium backed by Stripe, Alphabet, Shopify, McKinsey and Meta committing to deliver over 115,000 tonnes of CO2 removal between 2026 and 2030. That commercial validation from some of the world’s most sophisticated carbon buyers is the most credible signal possible that Planetary’s technology works at the scale and cost targets that matter commercially. Follow Canada cleantech news at BestStartup Canada.
WeavAir Toronto, Ontario
WeavAir builds AI-powered air quality monitoring and management systems for commercial buildings, industrial facilities and residential environments. Its platform continuously monitors indoor and outdoor air quality, identifies pollution sources in real time and provides actionable recommendations for reducing exposure and improving ventilation efficiency.
WeavAir won the 2026 CIX Startup Award in the Climate Tech Early Category, selected from over 370 applicants a signal of strong peer and investor recognition. Indoor air quality has emerged as one of the most consequential and underaddressed environmental health issues of the 2020s, and the combination of climate regulation, building efficiency mandates and post-pandemic awareness of air quality has created a large and growing commercial market for WeavAir’s platform.
CO280 Vancouver, British Columbia
CO280 is developing large-scale engineered carbon dioxide removal by retrofitting pulp and paper mills to capture and permanently store the biogenic CO2 they already produce during manufacturing. Because pulp mills burn biomass, the carbon they release was recently absorbed from the atmosphere capturing it before it is released creates a genuine carbon removal credit rather than simply an avoided emission.
CO280’s insight is elegant. Pulp and paper mills already concentrate CO2 in their flue gases. Adding carbon capture equipment to existing industrial infrastructure is faster, cheaper and less risky than building greenfield direct air capture facilities. Canada has some of the world’s largest pulp and paper manufacturing capacity, giving CO280 a massive domestic deployment opportunity before it expands internationally. 2026 is the year CO280 is positioned to bring its first major projects online.
Ayrton Energy Calgary, Alberta
Ayrton Energy is a women-led Calgary cleantech startup developing liquid organic hydrogen carrier technology that enables safe, scalable storage and transport of hydrogen using existing fuel infrastructure. LOHC technology binds hydrogen to a carrier molecule at low pressure and room temperature eliminating the cryogenic storage and high-pressure systems that make conventional hydrogen logistics expensive and dangerous.
Hydrogen’s potential as a clean fuel is well established. The barrier to adoption is the cost and complexity of storing and moving it safely. Ayrton’s LOHC approach solves the logistics problem using infrastructure that already exists pipelines, tankers, storage terminals which dramatically lowers the capital cost of hydrogen deployment at scale. Follow Canada clean energy startup news at BestStartup Canada.
CarbonRun Nova Scotia
CarbonRun adds crushed silicate rock to rivers and streams, triggering a natural chemical weathering process that converts dissolved CO2 into bicarbonate and permanently removes it from the atmosphere. The process also restores river pH levels, supporting healthier freshwater ecosystems and improving fish habitat delivering biodiversity co-benefits alongside carbon removal.
Enhanced river weathering is one of the most cost-effective pathways to large-scale carbon removal identified in the scientific literature. CarbonRun’s approach leverages Canada’s vast river systems, its mining industry’s existing rock processing capability and the country’s freshwater ecosystems to deliver carbon removal with verifiable ecological co-benefits. As demand for high-quality, nature-based carbon removal credits accelerates, CarbonRun is positioned to become one of Canada’s most commercially significant carbon removal companies.
Aslan Renewables Ontario
Aslan Renewables develops AI-powered autonomous turbine systems that can be installed at former hydroelectric dam sites, converting abandoned industrial water infrastructure into clean energy generation. Canada has thousands of former mill and dam sites with existing water rights and grid connections Aslan’s technology unlocks these stranded assets for renewable power generation without new permitting or land acquisition.
Aslan won the Climate Impact Innovations Challenge in Jakarta in 2025 and secured $1.25 million in pre-seed funding. Its approach to repurposing existing infrastructure is capital-efficient and politically low-friction characteristics that matter enormously for clean energy deployment timelines. The company’s founders identified that many of Canada’s former mill communities lost economic vitality when their mills closed, and that clean energy generation could restore both electricity production and local economic activity to these sites simultaneously.
Arca Climate Technologies British Columbia
Arca Climate Technologies is accelerating rock weathering a natural geological process in which silicate rocks absorb CO2 from the atmosphere over thousands of years by crushing and spreading rock material across agricultural land, where the process occurs much faster. The approach simultaneously removes carbon, improves soil pH, increases crop yields and adds minerals that reduce synthetic fertilizer requirements.
Enhanced weathering is one of the few carbon removal approaches that generates positive agricultural co-benefits meaning farmers have an economic incentive to participate beyond the carbon credit revenue. Arca’s British Columbia base gives it access to vast quantities of silicate rock from the province’s mining industry, and its agricultural deployment model scales through existing farming relationships rather than requiring greenfield infrastructure. Also read: Rainmaker raises $100M for cloud seeding water infrastructure. Follow every Canada climate tech and startup story at BestStartup Canada.
Why Canada Is Becoming a Climate Tech Powerhouse
Canada’s climate tech advantage is structural. The country holds some of the world’s largest reserves of critical minerals, the deepest geological expertise in subsurface energy extraction, vast freshwater systems, enormous forest and agricultural land and a university research base that consistently produces world-class climate science. The federal government’s Net-Zero Accelerator has deployed over eight billion dollars in support. The Canada Growth Fund is targeting thirty-five billion in private clean investment by 2030. And a generation of founders trained in geoscience, chemistry, engineering and biology at Canadian universities is now applying that expertise to climate problems at commercial scale. The ten companies above are the clearest evidence yet that Canada’s climate tech moment has arrived.
Frequently Asked Questions
What are the top Canadian climate tech startups in 2026?
The top Canadian climate tech startups in 2026 include Cyclic Materials (rare earth recycling, $75M raised), Eavor Technologies (closed-loop geothermal), Carbon Engineering (direct air capture), Planetary Technologies (ocean carbon removal) and WeavAir (AI air quality monitoring).
Which Canadian city has the most climate tech startups?
Toronto leads with the highest concentration of funded Canadian climate tech startups, followed by Calgary (which hosts Eavor Technologies and Ayrton Energy, leveraging Alberta’s deep energy sector expertise) and Vancouver and British Columbia (Carbon Engineering, CO280, Arca Climate Technologies).
How much has Canada invested in climate tech?
Canada’s Net-Zero Accelerator has deployed over eight billion dollars in clean technology support. The Canada Growth Fund is targeting thirty-five billion dollars in private clean investment by 2030. The 26 top-ranked clean technology startups in Canada tracked by Seedtable have raised a combined $864 million in venture and strategic funding.
Where can I follow Canadian climate tech and startup news?
Follow every Canadian climate tech startup, funding round and clean energy story at BestStartup Canada updated every week.
