Excelsior Energy Capital, a leading renewable energy infrastructure investor, announced it has entered into a multiyear agreement with Fluence Energy Inc, a global provider of energy storage systems, to develop 2.2 GWh of battery energy storage system (BESS) infrastructure in strategic markets across the United States. These projects, which will commence in 2025, will promote American grid stability and sustainable energy development while supporting domestic manufacturing.
Under the agreement, Excelsior will utilize battery cells primarily manufactured in Tennessee along with Fluence battery modules manufactured in Utah – fostering a more robust domestic supply chain for critical clean tech while directly supporting American jobs and battery storage production capacity.
“The U.S. grid needs energy storage at scale to support a reliable and clean future, and Excelsior’s commitment to Fluence and domestic manufacturing of batteries is a tangible expression of its efforts to participate in this future,” said Anne Marie Denman, Co-Founder and Partner of Excelsior Energy Capital. “The agreement also demonstrates our focused efforts to bring our supply chain for clean critical infrastructure closer to home, both derisking our investments and enhancing local economies.”
“Fluence is proud to support Excelsior on the deployment of 2.2 GWh of critical energy storage solutions that will accelerate meaningful U.S. renewable energy infrastructure and strengthen domestic battery storage manufacturing,” said John Zahurancik, Fluence President, Americas. “Sourcing battery cells and supply chains in proximity to power demand will improve logistics, reduce project risk, and enhance the sustainability of these investments.”
Supply chain disruptions from ongoing global conflicts, trade barriers, and other geopolitical uncertainties have impacted many industries, including the renewables sector. Energy storage is one of the key enabling technologies for ensuring a reliable power grid, so access to safe, high-quality, and low-risk energy supplies and products is critical.
“This agreement with Fluence will reduce battery supply risks for our projects, enabling us to fully realize the potential of our BESS investments and support the energy needs of local communities,” added Chris Frantz, Partner of Excelsior Energy Capital. “Together, we aim to leverage our combined expertise to drive sustainable growth and innovation in the energy sector.”
This agreement marks the latest announcement of Excelsior’s progress in 2024. In March, the firm announced the sale of a portfolio of 38 solar energy and solar plus storage projects from its Fund I portfolio to BlackRock’s Evergreen Infrastructure Partners Fund. In April, Excelsior announced the launch of Lydian Energy, a portfolio company developing a pipeline of solar and battery storage projects across North America. Later that month, Excelsior announced a 2 GW agreement with Heliene Inc. to use domestically produced photovoltaic modules for its solar energy infrastructure projects, furthering its commitment to U.S.-manufactured clean energy technology.
SOURCE: Businesswire