TLDR:
- Corporate funding in the energy storage industry surged over 5 fold to $11.7 billion in the first quarter of 2024.
- This growth represents a significant increase from the $2.2 billion investments in the same period in 2023.
According to a report by US-based research firm, Mercom Capital, the energy storage industry has experienced a substantial increase in corporate funding in the first quarter of 2024. The sector attracted a total of $11.7 billion in investments during this period, which marks a significant surge from the $2.2 billion invested in the same period in 2023.
On a quarter-on-quarter basis, funding in the energy storage industry was approximately 4 times higher in the first quarter of 2024 compared to the fourth quarter of 2023, with $3.7 billion raised during that period. Mercom Capital CEO, Raj Prabhu, highlighted the importance of new battery technologies in attracting venture capital to the energy storage sector. He mentioned that while lithium-ion batteries currently dominate the market, there is a growing need for long-duration energy storage solutions, creating opportunities for startups developing new storage technologies.
Specific investments mentioned in the report include battery materials producer LOHUM receiving $54 million in venture capital funding, BluSmart securing $25 million for its integrated EV ride-hailing and charging services, and Husk Power Systems receiving $20 million in domestic debt funding from the European Investment Bank.
Mercom Capital specializes in providing market intelligence on energy storage, smart grid technology, and solar energy, along with offering advisory services on emerging markets and strategic decision-making.
