Massachusetts-based Form Energy – a startup focusing on making battery systems that can store renewable energy (solar and wind) for longer durations – said it received its largest funding yet.
According to co-founder and chief executive officer (CEO) Mateo Jaramillo, Form Energy recently closed a Series C funding of more than $70 million- a landmark for the company. Total funding for the company so far stands at over $120 million. Jaramillo did not name the investors, but he did add that further details will be in the public domain in the next couple of weeks.
In an interview with Reuters, Jaramillo said that the positive response from new investors indicates that the market is growing faster. According to renewable energy experts, battery storage is the missing piece that will help push fossil fuel-based energy to new heights.
Jaramillo was heading running the stationary battery team at Tesla before he co-founded Form Energy in 2017. Form Energy’s goal is to ensure that batteries can store and supply energy for days, as a long-lasting battery will significantly compound the power generated from wind and solar power.
Currently, the world is operating on lithium-ion, which lasts for nearly four hours. However, combining the latest technology and current applications could help create a new battery that can replace power plants that burn natural gas and coal, curbing greenhouse emissions.
The global venture capital funding for battery storage companies in the first nine months (9M) of 2020 was 25% lower with $1.2 billion in 21 deals compared to $1.6 billion in 25 deals in 9M 2019, according to Mercom’s 9M and Q3 Funding and M&A Report For Storage, Grid & Efficiency.
Jaramillo added in his interview that Biden’s fight against climate change could be a boon for Form Energy in the renewable sector while adding that storage is possibly the last ‘bipartisan’ issue in the United States Congress.
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.