Initial investment worth £100,000 is being shared across nine start-up companies on a business support programme in Birmingham.
The 'Low Carbon Accelerator' programme, which is part of the European-funded Climate-KIC initiative, saw 16 fledgling businesses pitch for the investment funding, in front of a panel of three industry judges.
The grant funding, which equates to around £11,000 for each of the nine start-ups, will be used to pay for research and development and other activity to enable low carbon products and services to be launched to market.
The successful businesses are waste production company Full Grown, energy efficiency business 5L, environmental mitigation firm Unicorn Power and Libralato, a hybrid powertrain specialist.
Also receiving funding are Alkali Solutions, which specialises in industrial symbiosis, alternative energy provider WRK Design & Services and Petalite Battery, which reduces carbon in manufacturing and the product lifecycle.
Making up the list are Greengineering, which specialises in resource and built environment efficiency, and Civico Online Exchange Tracker, a waste prevention product.
The process was facilitated by Innovation Birmingham's Climate-KIC team and two of the Entrepreneurs in Residence.
Katharine Fuller, Innovation Birmingham's senior project manager for EU projects, said: "Early-stage grant funding makes such a difference to start-up businesses.
"The timetable required for an entrepreneur to launch their product or service to market is critical and the funding available through the European Climate-KIC initiative enables the best businesses starting up in the low carbon sector to receive a helpful grant.
"In addition to this grant funding, all of the businesses will continue to work alongside the three Entrepreneurs in Residence who have been specifically appointed as advisers to the Low Carbon Accelerator programme. The ultimate aim is to help to launch as many sustainable start-ups as possible."
The three judges awarding the finance were environmental specialist Paul Adams, Finance Birmingham's investment director Ian French and Glenn Barrowman, of Built Environment Climate Change Innovations.
Twelve start-ups from the Low Carbon Accelerator programme across Europe will be selected to visit Silicon Valley, in California, during November's Global Entrepreneurship Week.