Ice Energy, an energy storage company based in Windsor, Colo., has received $33 million in financing from Energy Capital Partners, a private equity firm based in Short Hills, N.J.
Investment led by Energy Capital Partners also provides for up to $150 million in additional equity financing for large scale energy storage projects
WINDSOR, Colo., Oct. 28 /PRNewswire/ — Ice Energy, a leading developer of utility-scale distributed energy resource and storage technologies, has completed a $33 million first tranche of preferred second round financing. Led by Energy Capital Partners, the investment also provides for up to $150 million in additional project capital for the deployment of multiple utility-scale energy storage projects utilizing Ice Energy technology.
Energy Capital Partners (ECP) manages a $2.25 billion private equity fund focused on North American energy infrastructure and power generation, including natural gas, hydroelectric and renewable energy, as well as electrical transmission and distribution assets. ECP’s commitment to Ice Energy will support the immediate expansion of its development and manufacturing capacity to enable the large-scale deployment of the company’s energy storage technology by utilities nationwide.
“Until now, utilities have had limited options available to generate or purchase additional electricity or reduce load when demand for power is highest,” said Pete Labbat, partner of Energy Capital Partners. “Ice Energy represents a new distributed energy resource that fundamentally changes that situation. Their energy storage technology provides a scalable, reliable solution to utilities for leveling the load on the grid, controlling costs, and transitioning to a cleaner, smarter, more sustainable power grid.”
The development of energy storage is widely recognized as a key requirement for improving grid efficiency, maximizing the value of intermittent wind and solar generation, and meeting rising peak electrical demand. Ice Energy’s distributed energy storage solution enables utility companies, for the first time, to use cleaner, less expensive off-peak power to produce and store energy for use during subsequent periods of peak demand at thousands of sites throughout a service area, effectively lowering peak demand and the cost of serving it.
The widespread installation by utilities of Ice Energy’s ice-based energy storage technology directly on individual commercial buildings has the potential to permanently shift as much as 40% of peak energy demand to off-peak hours. In the aggregate, this represents a significant new asset-based, sustainable energy resource equivalent to hundreds of megawatts for utilities.
“Energy Capital Partners has a history of putting capital to work to strengthen our nation’s energy supply and incorporate renewable power onto the grid, as well as unparalleled experience leading successful energy infrastructure investments,” said Frank Ramirez, CEO of Ice Energy. “Their unique capital commitment to Ice Energy represents a breakthrough approach to clean energy financing that will enable the nation’s utilities to rapidly integrate new, large scale distributed energy storage projects to address the increasing challenge of peak demand.”
In addition to ECP, original Ice Energy investor Second Avenue Partners increased their investment in the Series B round.
About Ice Energy
Ice Energy(R) is clean energy technology company focused on developing utility-scale distributed energy resource and storage technologies. The company’s solutions address the increasing demand for clean energy by shifting the largest component of residential and commercial electricity usage – air conditioning – from peak to off-peak periods, when energy generation is cleaner, less expensive and more abundant. The company’s utility scale, demand-side distributed energy storage technology provides a scalable, reliable solution to utilities for leveling peak energy demand, controlling costs, and transitioning to a cleaner, smarter, more sustainable power grid.
About Energy Capital Partners
Energy Capital Partners is a private equity firm with offices in Short Hills, New Jersey and San Diego, California. Energy Capital Partners is dedicated to investing in the power generation, electric transmission, fuel handling, midstream gas and renewable sectors of North America’s energy infrastructure. The fund’s management has substantial experience leading successful energy companies and energy infrastructure investments. For more information, visit www.ecpartners.com.