The U.S.-based distributed energy resources (DER) platform, Voltus, Inc., raised $25 million in a Series B financing round. NGP Energy Technology Partners III (NGP ETP III) led the round, including existing investors Prelude Ventures and Ajax Strategies.
Voltus plans to use the funding to create more jobs, develop additional products, and enter new markets, allowing it to enhance its position in the market.
Since its inception in 2016, Voltus says it has increased the market potential for distributed renewable energy by entering every North American market. Voltus added that it became the first aggregator of retail customers in the Midcontinent Independent System Operator (MISO) and the Southwest Power Pool (SPP).
In total, Voltus has secured over 2 GW of distributed energy orders.
This Series B financing comes on the heels of the recent Federal Energy Regulatory Commission (FERC) order, which ensures equal treatment of distributed renewables in the United States’ wholesale markets.
“NGP ETP III is focused on committing capital to compelling companies focused on energy transition and is very pleased to be partnering with Voltus and to lead the Series B financing. Voltus has a leading DER technology platform, an extensive customer network in key target markets, a world-class team, and a proven track record,” said NGP ETP III CEO Philip Deutch.
Voltus CEO Gregg Dixon said: “Our technology platform unlocks the potential of distributed energy for everyone, the benefits of which amount to $200 billion per year globally and a much more resilient and sustainable grid. These are the skeleton key to the energy transition, delivering the backstop and balancing resource for intermittent renewables.”
According to Mercom’s 9M and Q3 2020 Funding and M&A Report for Battery Storage, Smart Grid, and Efficiency report, Demand Response companies raised $14 million in VC Funding in 9M 2020.
Recently, Leading Edge Equipment Technologies, another U.S.-based silicon wafer manufacturer, announced that it secured $7.6 million through Series A financing led by Prime Impact Fund. Clean Energy Ventures and DSM Venturing also participated in the Series A financing round.
Rahul is a staff reporter at Mercom India. Before entering the world of renewables, Rahul was head of the Gujarat bureau for The Quint. He has also worked for DNA Ahmedabad and Ahmedabad Mirror. Hailing from a banking and finance background, Rahul has also worked for JP Morgan Chase and State Bank of India. More articles from Rahul Nair.