Installing energy storage to manage renewables' intermittency is critical for decarbonizing the grid. To achieve net zero by 2050, battery storage capacity must increase 50-fold from 2023 levels.
Meanwhile, the threat of blackouts and grid instability is growing. Aging grids are strained by rising energy demands from data centers and electrification, extreme weather, and the shift to cleaner fuels.
As a result, headwinds against decarbonization are emerging. In 2023, fewer U.S. coal plants were shut down than planned, and 2024 will see even fewer retirements. Some power companies have even petitioned for new gas-powered plants to ensure reliable baseload power.
Enhancing the value of battery energy storage is crucial to increase penetration of renewables.
Relectrify, founded in 2015 and based in Australia, makes energy storage more affordable and resilient. Their patented battery technology combines cell-level control software with power electronics hardware, extending battery life, reducing costs, and improving resilience and safety.
Conventional battery packs connect cells in series and control current at the pack level, with overall capacity limited by the weakest cell. These packs, along with a battery management system (BMS), use a standalone inverter to convert DC to AC for homes, industry, and the grid.
Relectrify's CellSwitch™ technology uses circuit boards containing electronic switches that control each individual cell or series, dynamically managing which cells are active.
The hardware enabled software draws more energy from stronger cells, extending battery life by ensuring uniform degradation. The ability to switch individual cells also means that Relectrify can generate a smooth, grid-compliant alternating current (AC) sine wave directly from the battery pack, eliminating the need for conventional inverters.
Relectrify has filed 31 patents and is building upon its successful rollout of industrial-scale battery storage systems featuring the CellSwitch™ technology.
Relectrify’s power electronics offer a clear economic advantage. By eliminating the need for an inverter and bus bars, their cell-level control hardware reduces battery electronics cost by 20-30%. Additionally, the technology extends battery life by 2o-30% by drawing more energy from stronger cells and less from weaker ones.
These benefits are estimated to boost the internal rate of return (IRR) for asset owners and utilities by about 2.3%, making it particularly appealing for utility-scale projects, which aim for IRRs between 10-12%.
Beyond these cap-ex and op-ex gains, Relectrify provides several key advantages:
Relectrify’s value proposition of increased IRR, improved safety, and enhanced reliability will accelerate the shift towards renewable energy.
Asset owners and developers are highly sensitive to project IRRs. Currently, load-shifting project economics in the US are only viable in California and Texas. Additionally, energy generation projects wary of blackouts often avoid renewables due to battery intermittency concerns. With better economics and performance, asset owners can more effectively install the batteries needed for net-zero goals.
Relectrify’s technology also extends battery lifespan by 30%, reducing the material needed for the same storage output. This means fewer batteries are required, lowering the sector’s CO2 footprint.
Beyond utility and commercial energy storage, Relectrify’s second market is the electric vehicle industry. Projecting Li-ion requirements for energy storage and EVs by 2050, Relectrify’s technology would reduce CO2 emissions by 104 million tonnes annually, thanks to the 30% lifespan increase.
Relectrify has successfully deployed and validated its CellSwitch technology in its ReVolve battery energy storage product through various technical projects with American Electric Power, Counties Energy in New Zealand, and Chubu Electric in Japan.
This new funding will enable the company to scale and apply its technology to the next generation of battery energy storage systems for international markets.
“Relectrify’s novel storage technology is designed to assist with integrating various types of distributed energy resources in a much safer, less expensive, and time efficient way, while also meeting our sustainability objectives as we transition as a business to ultimately achieve carbon neutrality.”
– Moonis Vegdani
Group Chief Strategy and Transformation Officer
Counties Energy
New Zealand
Relectrify’s management team, CEO Jeff Renaud and CTO Niall Mai, bring strong and relevant experience in energy storage, energy management systems, and growth-stage startups.
Jeff Renaud has over 14 years of experience in the energy storage and management sector. He spent eight years at EnerNoc, a leading provider of cloud-based energy intelligence software, which was acquired by Enel Group in 2017. As Managing Director of Asia Pacific, Jeff opened and managed the company’s Asia Pacific market. Following EnerNoc, Jeff worked at Enel for six years, leading the growth of Enel’s VPP business in the Asia Pacific.
Niall Mai, before joining Relectrify, spent six years as VP of Engineering at Daintree Networks and four years as VP of Engineering at Current, a GE subsidiary formed from the acquisition of Daintree Networks for $77M in 2016. Daintree Networks provided wireless control systems for commercial and industrial buildings.
