Abstract:In this personal account, we review the work of our group in the area of energy and environment related nanocatalysis in the past seven years. We focus on understanding the fundamental mechanisms, which control properties of atomic clusters and nanoparticles -a form of matter that is intermediate between atoms and their bulk counterpart. The emphasis is made on the theoretical design of effective catalysts based on cheap and abundant elements. The main idea that stands behind of our work is that even catalytically inactive or completely inert materials can be functionalized at nanoscale via the size, structure, morphology and support effects. Such approach opens principally new ways to design catalytically active systems based on materials never before been considered as catalysts. In particular we demonstrate that the hexagonal boron nitride (h-BN), which was traditionally considered as an inert material, can be functionalized and become active for a number of catalytic reactions involving oxygen activation, oxidation by molecular oxygen, and oxygen reduction reaction (ORR).