Clean Energy Innovation Fund invests in GreenSync to help create the smart electricity grid of the future
24 January 2017
The Clean Energy Finance Corporation (CEFC) has committed $5 million* to an innovative Melbourne-based company aiming to bring smart technology solutions to the energy grid of the future, as part of an $11.5 million Series B capital raising by GreenSync.
The CEFC investment is through the Clean Energy Innovation Fund, which finances emerging Australian technologies and businesses that have the potential to help accelerate Australia's transition to a clean energy economy. The Innovation Fund draws on the combined skills and experience of the CEFC and the Australian Renewable Energy Agency (ARENA).
GreenSync is part of a new generation of energy innovators using smart software controls to optimise the use of energy resources in electricity grids. Through smart controls and coordination, more renewable resources and battery storage systems can be integrated into the grid, extending the benefits to more businesses and consumers.
The Innovation Fund's $5 million investment is part of an $11.5 million Series B capital raising by GreenSync to enable it to scale-up its operations. The Southern Cross Renewable Energy Fund, a co-investment between ARENA and Softbank China Venture Capital, and managed by Southern Cross Venture Partners, has committed a further $5 million to the capital raising. The remaining capital was provided by a private fund.
CEFC Investment Development Director Blair Pritchard said: "The CEFC's investment in GreenSync is about helping lower capital costs in the decentralised energy model of the future, further reducing the cost of clean energy while enabling Australia to better manage its supply and demand peaks. GreenSync's technology acts like the brain and spinal cord of the smart grid, giving industrial and commercial sites, households and businesses access to the appropriate energy source at the right time, improving reliability and penetration of renewable sources.
"In the future the smart grid will be able to integrate an even greater use of renewable energy, as well as electric vehicles and battery storage options, giving consumers even more control of their energy consumption. Through the smart control of locally-generated energy resources, GreenSync is contributing to the growth of a new energy economy, focused on a cleaner power supply and carbon reduction."
GreenSync's software solutions products are designed for industrial and commercial facilities, energy retailers and electrical utilities, as well as residential precincts and campuses.
Mr Pritchard added: "Renewable energy is becoming an increasingly important part of Australia's electricity grid, via large-scale wind and solar developments as well as rooftop solar. As battery storage develops, we can expect to see even greater use of renewable energy and GreenSync's technology will help facilitate that transition.
"It is important that energy consumers are able to benefit from lower cost cleaner energy, and that it is seamlessly integrated into their total energy supply. GreenSync's technologies allow large electricity consumers such as manufacturers, resorts and retail centres, to more closely monitor their electricity consumption and work with their suppliers to reduce their grid energy requirements and maximise their use of onsite renewable energy such as solar."
GreenSync Founder and CEO Phil Blythe said that GreenSync's technology was already helping utilities transform into modern energy services businesses, as well as assisting new market entrants.
"Our transformation from a company offering peak demand management services to a company offering broad spectrum control and optimisation of grids with energy resources and battery storage, is reflective of the rapid changes underway in Australia and around the world. As we move towards a new era where energy storage and control are essential to maintain stable grids, GreenSync will stay focused on innovations that harness the collective strength of all industry players, and deliver substantially new models for operating grids around the globe."
Mr Blythe added: "Our hardware and software provide smart layers of control that help better manage energy consumption. We're aiming to optimise electricity grids to enable a supply that contains more than 80 per cent renewable energy. We're looking to be a global leader in integrating the new energy economy of renewable resources, battery storage and internet enabled devices into electricity markets around the world."
* The CEFC, through the Clean Energy Innovation Fund, committed a total of $7.4 million to GreenSync. The CEFC investment was repaid following the acquisition of GreenSync by the technology development arm of Intellihub Group, CrescoNet, in April 2022.
GreenSync is a technology company that is part of a new generation of energy innovators using smart software control to optimise the use of energy resources in electricity grids. Through smart control and coordination, more renewable resources and battery storage systems can be integrated into the grid, and participate in the benefits they bring. GreenSync is a member of the Clean Energy Council and Energy Efficiency Council, and clients include many of Australia's largest energy companies, supermarket chains, manufacturers, airports, resorts and universities. For more information, visit greensync.com.au
ARENA was established by the Australian Government to make renewable energy technologies more affordable and increase the supply of renewable energy in Australia. Through the provision of funding coupled with deep commercial and technical expertise, ARENA provides the support needed to accelerate the development of promising new solutions towards commercialisation. ARENA invests in renewable energy projects across the innovation chain and is committed to sharing knowledge and lessons learned from its portfolio of projects and information about renewable energy. ARENA always looks for at least matched funding from the projects it supports and to date has committed $1.1 billion in funding to more than 270 projects. For more information, visit arena.gov.au
Media release, 2017