According to the latest edition of GTM Research and ESA’s U.S. Energy Storage Monitor, corporate investment in energy storage reached an all-time high in terms of quarterly investments in Q3. Disclosed venture funding and project finance totaled $660 million in the third quarter of the year, bringing the annual total to $812 million.
The largest announced deal during the quarter was $300 million in project financing from the Electric Gas & Industries Association for Tabuchi Electric. The report notes that Advanced Microgrid Solutions also closed a large project financing deal worth $200 million with Macquarie.
“Financing activities in this most recent quarter are noteworthy not just because of the scale, but also because project financing made up a significant portion of the total,” said Ravi Manghani, GTM Research’s director of energy storage. “While one quarter alone doesn’t constitute a trend, growth in project financing, especially in the residential segment, is a harbinger for further strengthening of deployment business models.”
Compared to corporate investment, deployments for the quarter were relatively quiet, however, as no front-of-meter projects above 1 megawatt were brought on-line. Across all segments, the U.S. saw 16.4 megawatts of energy storage deployed in the third quarter of 2016.
The behind-the-meter segment, which is made up of residential and commercial deployments, accounted for the majority of the quarter’s storage deployments. The U.S. deployed 14.1 megawatts of behind-the-meter storage in the third quarter of the year, which is essentially flat year-over-year.
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