This document comprises the proceedings of the Conference on Innovation in the Environmental Technology Industry, sponsored by the U.S. Environmental Protection Agency (EPA), the Water Pollution Control Federation (WPCF), the Air Pollution Control Association (APCA) and the Environmental Industry Council (EIC). The conference was held in Washington, DC, November 5-6, 1980. More than forty conference papers are included, with a glossary of most acronyms appended at the end. Panel sessions and some of the papers are followed by brief questions from the floor and responses by the panelists or speakers. Major areas that were addressed included: assessment of pollution control technologies; venture capital constraints and considerations; impact of regulatory policies on new markets and development; Federal Patent Policy changes and impact on innovation; investment firms perspective for ventures and foreign technology exchange, sources, barriers and approaches.