Sweden’s Green-On develops palm oil alternative from gas and water

Swedish start-up Green-On is producing an edible fat from carbon dioxide, water, and electricity as a sustainable alternative to palm oil, recently attracting the attention of Nordic investors and Big Idea Ventures.

Green-On’s innovation uses electrical energy to “split” water into hydrogen and oxygen. The hydrogen reacts to CO2, producing intermediates that can go on to form a range of plant-based butters and oils.

The process, dubbed ‘electrical photosynthesis,’ has recently caught the attention of Swedish oil and fat producer AAK and Norrsken Impact Accelerator, which both moved to partner up with Green-On in July.

The GMO-free process directly synthesises saturated triglycerides producing the same molecules found in dairy, palm, and coconut oil.

Green-On now looks to produce a test cooking oil and a butter-like fat within 12-24 months with a pilot plant facility operating in 3-4 years, and an eventual market offering in 5-8 years.

Environmental considerations

"Both climate change issues, as well as the securities issues we now see, are urging the world to make food in new ways, '' adds Granéli.

"Our solution bypasses agriculture altogether which means that we are independent of arable land and can produce alternatives to tropical oils and fats anywhere in the world and at any season, solving both the climate and food security issues."

Founded in 2020, Gothenburg-based Green-On is not the only firm looking to create food from almost nothing.

Solar Foods, a Finland-based start-up has taken the brewing of beer as inspiration to create a sustainably produced protein using similar inputs – carbon dioxide, water, and electricity.

The non-modified microbe is ‘fed’ electricity and air’s main elements, namely carbon, hydrogen, oxygen, and nitrogen. The fossil-free electricity is also used to split water from air into hydrogen and oxygen.

The result? A dry powder that Solar Foods calls Solein that is made up of whole cells made up to 70% protein and suitable for use in meat alternatives, noodles, and ice cream.

Start up support

As with all emerging technology, Solar Foods is also in the midst of securing financial backing, most recently securing a €15m investment from Danske Bank Growth in May.

As for Green-On, AAK and Norrsken Impact Accelerator’s backing, coupled with support from Big Idea Ventures, ensures the innovation is a step closer to reaching its promised potential.

“At Big Idea Ventures we help accelerate change by bringing together great companies and strategic corporate partners,” says Andrew Ive, general managing partner at Big Idea Ventures, which came on board in 2021.

Prior to Green-On’s plans to commercialise the concept, its founders Anders Lorén, a researcher and chemist at the Swedish research institute RISE, and colleague Marcus Vestergren, ran the Vinnova-funded project Power to Food.

The seeds were sown here as the two chemists explained that it was easiest to quickly produce a finished fat product. "We have concepts with sugar and protein as well, but we don't yet have a finished product," they told Swedish financial newspaper Dagens Industry.