Second-life energy storage developer Connected Energy has received a £350,000 ($453,000) investment from the Low Carbon Innovation Fund 2 (LCIF2) venture capital fund.
The UK firm aims to deploy its first grid-scale energy storage system using repurposed electric vehicle (EV) batteries after the funding from UK merchant bank Turquoise via LCIF2.
Connected Energy has deployed 12 behind the meter systems ranging in size from 300kW, and plans to install a 12MW system in the second half of next year.
The company also plans to install a 300kW/369kWh system in the UK made of 24 batteries from a Renault Kangoo as part of a hybrid system including solar, natural gas and ground souurce heat. The system will deliver Triad avoidance and frequency response services, but renewable optimisation will be the primary function when the full PV array is installed in 2021.
Matthew Lumsden, CEO, Connected Energy, told BEST the LCIF funding would be used towards an initiative to capitalise on the second-life battery performance data it is collecting.
He said: “This data will enable it to further optimise how it operates their systems to extract maximum value from the batteries.
“The systems in our pipeline are becoming larger and are providing a more diverse range of services to customers so this funding is very helpful in enabling us to build more data-based sophistication into our systems so we can further increase customer value.”
To date, the company’s key investors are: Macquarie, Engie, Sumitomo, Turquoise Capital and the Low Carbon Innovation Fund. In total it has raised around £9million ($11.6 million) of external investment.
LCIF2 is funded by European Regional Development Fund, with the UK Ministry of Housing, Communities and Local Government as the Managing Authority.