Powervault raises £700,000 in plan to lead UK home energy storage market
British tech start-up takes on Tesla
with target to put home energy storage systems in 50,000 homes by 2020
British technology start-up Powervault has raised £700,000 on investment crowdfunding platform Crowdcube to take on Tesla and become the leading UK player in the rapidly emerging home energy storage market, it announced today.
Powervault, which plans to sell 50,000 home energy storage systems by 2020, took just three and a-half days to reach its £700,000 target in its second funding round, including £200,000 from the London Co-Investment Fund and £100,000 from Future Matters.
The London-based company has developed the UK's first simple and affordable home energy storage system, enabling homeowners to store electricity they generate from solar panels and cut their electricity bills.
Electric car maker Tesla recently made headlines around the world by unveiling batteries for homes and businesses that charge from solar panels, accelerating interest in the energy storage market. It received reservations worth $800 million in the first week. Last week Mercedes-Benz unveiled its own product, further evidence of the market opportunity in battery storage linked with renewables.
Powervault aims to become the leading UK supplier of home energy storage appliances. Its patent pending product is a complete system in a box, including batteries, charger, inverter and control unit, which can be installed by an electrician in an hour. It is compatible with all solar PV systems, and requires no extra equipment or significant rewiring of the home.
By contrast, many other companies including Tesla are only selling a battery-based partial solution rather than complete home storage systems. They require spending on additional components, are more complicated to install, and are not compatible with all solar systems.
Greg Barker, former Minister for Energy and Climate Change, said:
"Home energy storage can play a key role in building a low-carbon economy, saving money for homeowners and helping the UK to cut its carbon emissions. Powervault is a British company with a British designed product and it's great to see them ready to seize the opportunities of this rapidly growing market."
Powervault expects to have sold 10,000 home energy storage systems in three years and 50,000 within five years, by which time it expects them to retail for less than Â£1000.
Maggie Rodriguez-Piza, CEO of Funding London, said:
"We are delighted to support Powervault as the first clean tech investment by the London Co-investment Fund. Powervault's energy storage solutions are a strong example of technology emanating from London's vibrant clean tech sector and highlight the city's credentials in environmental innovation."
Luke Lang, co-founder of Crowdcube, said:
"It's fantastic that our investor community has been able to invest alongside the London Co-Investment Fund in an innovative tech business like Powervault. It was one of the fastest funding businesses on Crowdcube, demonstrating the crowd's appetite to invest in the emerging home energy storage market."
Vitaly Lazorin, founder and CEO of Future Matters, said:
"Our focus is to source innovative technologies that contribute to and support our environment. In Powervault, we have found a unique constellation of technology that is developed by people who are genuinely committed to making it part of our everyday life. This has the added benefit of having a positive impact on everyone's future."
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