Predicting EV “Tsunami,” Volvo Invests in Mobile Electric Vehicle Charging Company FreeWire

Photo of Volvo vehicles with Freewire charging.Volvo announced this week an investment in FreeWire Technologies, a company specializing in mobile electric vehicle (EV) charging units. Other investors in FreeWire’s $15 million Series A include the integrated energy giant BP, manufacturing powerhouse Stanley Black & Decker, and the United Kingdom’s Innovate UK.

FreeWire was founded about five years ago by Arcady Sosinov, who was born just outside of Chernobyl in the year of the nuclear catastrophe. His family emigrated to the U.S. when Arcady was young, but the life-altering experience of growing up in a disaster zone influenced his decision to pursue a career in cleantech. Arcady identified electric vehicle charging infrastructure as a pain point, and today the goal of minimizing EV charging infrastructure guides his company’s direction.

 

The move into charging makes sense for Volvo, which is aggressively embracing transportation electrification.

“Volvo Cars’ future is electric, as reflected by our industry-leading commitment to electrify our entire product range,” said Zaki Fasihuddin, CEO of the Volvo Cars Tech Fund. “To support wider consumer adoption of electric cars, society needs to make charging an electric car as simple as filling up your tank. Our investment in FreeWire is a firm endorsement of the company’s ambitions in this area.”

Earlier this year Volvo committed that every new car launched from 2019 will be electrified, with plans for half of all sales by 2025 to be fully electric. Describing itself as “a human-centric car company,” Volvo’s Fasihuddin explains that one of the company’s goals is to make customers’ lives easier. This explains the fit with FreeWire, which offers mobile “infrastructure light” chargers that can be installed quickly without major construction, along with portable batteries that the company is marketing to workplaces and multifamily communities that lack electrical infrastructure. Lastly, FreeWire can deliver truck-based mobile batteries that pull up to an EV and provide a charge wherever the customer’s vehicle happens to be.

To deliver on its promise to investors, FreeWire has entered into partnerships with contract manufacturers here in the U.S. as it lays the groundwork for scaling up manufacturing capabilities from dozens of systems to hundreds. Within about a year, says founder and CEO Sosinov, FreeWire expects to have a full production line shipping hundreds of units per month to customers around the world. To get to that point, the company has hired staff including a COO and VP of Operations to bulk up its supply chain expertise, documentation, and testing to maintain consistency and reliability.

Volvo’s electrification strategy does not envision direct ownership of charging or service stations, but the investment in FreeWire reinforces the company’s overall commitment to supporting a widespread transition to electric mobility together with other partners.

In an interview with Automotive News Europe about EVs and EV charging, Volvo’s Fasihuddin said “There are so many issues to think about and we want to get out ahead of that because we think there is a tsunami coming. And we’re part of creating that.”

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Audi to Introduce Solar Roofs, Improve Fuel Efficiency and EV Range

Thin-film solar cells in panoramic glass roofs of Audi models: Audi and Alta Devices, a subsidiary of the Chinese solar-cell specialist, Hanergy, are working together on this development project. With this cooperation, the partners aim to generate solar energy to increase the range of electric vehicles.
Photo courtesy Audi AG.

Audi today announced a plan to increase the range of the company’s electric vehicles by generating onboard solar energy using thin-film solar cells. Audi and its partner, California-based Alta Devices, a subsidiary of the Chinese solar-cell specialist Hanergy, are taking an incremental approach and will first integrate Alta’s efficient, thin, and flexible mobile power technology into panoramic glass roofs. A prototype is expected by the end of this year.

Recognizing that drivers demand maximum range from their electric vehicles, and also responding to ever more stringent fuel economy requirements around the globe, Audi and other vehicle manufacturers are going to great lengths to maximize every opportunity to increase overall efficiency as well as replace liquid fuels with electricity. Consistent with this effort, Audi’s next step after integrating solar into glass panels will be to cover almost the entire roof with solar cells.

By generating onboard and clean renewable power for systems such as air-conditioning and seat heaters, the solar cells will reduce the demand on an all-electric vehicle’s main battery, thereby providing a longer range for driving. But solar cells also can improve fuel efficiency in mild-hybrid vehicles by making the gasoline or diesel engine’s output more fully available for moving the vehicle instead of producing electricity for in-cabin use. Eventually, Audi and Alta envision solar energy directly charging a fully-electric vehicle’s main battery. “That would be a milestone along the way to achieving sustainable, emission-free mobility,” said Bernd Martens, Audi’s Board of Management Member for Procurement.

The partnership with premier automaker Audi is a high-profile opportunity for Alta, holder of multiple world records for energy conversion efficiency. “This partnership with Audi is Alta Devices’ first cooperation with a high-end auto brand. By combining Alta’s continuing breakthroughs in solar technology and Audi’s drive toward a sustainable mobility of the future, we will shape the solar car of the future,” said Alta CEO Ding Jian.

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Will Mahindra, Owner of Legendary Pininfarina, Take On Tesla?

Photo of Mahindra Electric VehicleWith India’s power minister having recently announced that by 2030 “not a single petrol or diesel car should be sold in the country,” Anand Mahindra, Chairman of industrial giant Mahindra Group, discussed on CNBC this week his company’s commitment to electric vehicles. Given the huge market opportunity even if the minister’s extraordinarily aggressive goal is not fully achieved, Mahindra and Tesla’s Elon Musk exchanged tweets on prospects for electric vehicles in the potentially huge market:

Mahindra says he is not worried about Tesla, and that “[Tesla] coming into India would actually increase the awareness of electric vehicles [and] increase the size of the pie.” On the question of whether the company will expand its fully-electric portfolio beyond the e2oPlus subcompact, eVerito compact, and eSupro van, Mahindra said that he plans to build fully-electric vehicles and is “not going to take the halfway measure” with hybrids.

Mahindra is already producing vehicles at the entry-level of the market, and it has the resources to cover all segments, but whether it will go head-to-head with Tesla remains undecided for now. If Mahindra does take on the luxury EV market, the company is expected to turn to Pininfarina, the legendary Italian designer of iconic vehicles such as Alfa Romeo, Ferrari, and Maserati, which Mahindra acquired in late 2015.

Photo of Pininfarina FerrariTransitioning to clean transportation is a high priority for India. According to a report by NITI Aayog, India’s most influential government think tank, switching from internal combustion engines to electric vehicles would save the country $60 billion in energy and decrease carbon emissions by 37%. Reducing emissions is a particularly important issue because, according to a 2014 World Health Organization study, 13 out of 20 of the world’s most polluted cities are in India, and tailpipe emissions are dirtier per unit of energy produced than power plant emissions. That said, there is an emphasis in India to avoid the already-strained electrical grid altogether and charge EVs with solar panels. Each EV produced by Mahindra gets its first charge at the factory from solar panels, and customers can purchase their own solar panels for off-grid charging at home.

Photo of Mahindra EV Solar ChargerIn light of the country’s efforts to move away from traditional vehicles, Mahindra Electric recently announced its roadmap for the next generation of electric vehicles, an initiative dubbed “EV 2.0.” Speaking on the subject of the roadmap, Dr. Pawan Goenka, Chairman of Mahindra Electric, said, “The time has now arrived for EVs to become mainstream and Mahindra has the right technology and products for India. We will actively engage with the government . . . and other private players for setting up a robust EV ecosystem. We are also ramping up our investments towards developing the next generation of EV technologies and products that will cater to the smart cities of tomorrow.”

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California Energy Regulator to Federal Climate Experts: “You’re Hired!”

Photo of CPUC President Michael Picker in front of United States EPA.
CPUC President Michael Picker inviting federal energy and climate employees to work in California.

In response to the White House budget that would decimate the ranks of federal employees working to mitigate climate change, the president of the California Public Utilities Commission, Michael Picker, this week greeted workers arriving at the headquarters of the U.S. Environmental Protection Agency and Department of Energy announcing that California welcomes their talents.

“On climate action, there’s a dark cloud hanging over Washington right now,” said CPUC President Picker. “If climate scientists and experts want the opportunity to continue doing important work for the good of our planet, my message is simple: Come West, California is hiring.”

The CPUC, the California Air Resources Board, and the California Energy Commission are currently hiring dozens of new staff for positions working on climate change, renewable energy, air quality, and clean energy research and development – among many other opportunities.

The budget released this week by the White House proposes to eliminate 50 programs and $2.6 billion from the EPA’s budget, a 31 percent reduction. The cuts would be achieved in large part by eliminating efforts related to climate change, such as the Clean Power Plan, and trimming initiatives to related to air and water quality. If enacted, 19 percent of the EPA’s workforce would be eliminated. The total loss at the EPA alone would be approximately 3,200 jobs.

“Literally and figuratively, this is a scorched earth budget that represents an all out assault on clean air, water, and land,” said Gina McCarthy, EPA administrator during the final years of the Obama administration. “You can’t put ‘America First’ when you put the health of its people and its country last.”

The Department of Energy’s cuts, which under any other administration would be considered draconian, are relatively tame at $1.7 billion, or 5.6 percent. DOE programs on the chopping block include:

  • Office of Energy Efficiency and Renewable Energy
  • Office of Nuclear Energy
  • Office of Electricity Delivery and Energy Reliability
  • Fossil Energy Research and Development Program
  • Weatherization Assistance Program and State Energy Program
  • Advanced Research Projects Agency-Energy (ARPA-E) plus guarantee programs, greenhouse gas reducing technologies, and advanced vehicle programs

Meanwhile, California continues to advance aggressive efforts to decarbonize. For example, the state is on track for its regulated electric utilities to obtain 50 percent of their energy sales from renewable resources by 2030. Legislation signed into law just a few months ago requires statewide greenhouse gas emissions to be 40 percent below 1990 levels by 2030. Other state initiatives include aggressive requirements and goals related to distributed energy resources (including renewable energy), electric vehicles, and electric vehicle charging infrastructure.

Picker’s visit to the federal agencies in Washington this week is a reminder of California Governor Jerry Brown’s comment on the occasion of signing the “50 by ’30” legislation into law: “Climate skeptics don’t quite get it. They are in political Pluto, and we have to bring them back to Earth, where the rest of us live.”

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More Customers to Benefit from Florida Power & Light’s Commitment to Solar

Florida Power & Light Company, the third-largest electric utility in America and the largest generator of solar energy in Florida, this week announced an accelerated timetable to build nearly 600 megawatts of solar capacity across eight locations. The energy these projects will produce, which will be enough to fully support approximately 120,000 homes, will diversify the source of electricity for all customers on the grid and efficiently provide a little more green energy to the entire customer base.

Utility-scale solar is a cost-effective way of delivering renewable energy to everyone, and for customers who rent their homes or whose roofs are not suitable for solar panels, the type of projects FPL is undertaking may represent the only way of obtaining renewable energy. “We have been working hard to drive down the costs of adding solar so we can deliver even more zero-emissions energy to all of our customers. As the first company to build solar power generation cost effectively in Florida, we are proud to continue leading the advancement of affordable clean energy infrastructure. We have proven that it’s possible to cut emissions and deliver reliable service while keeping electric bills low for our customers,” said Eric Silagy, FPL president and CEO. Construction is expected to commence this spring. During peak construction, an estimated 200 to 250 people will be working at each site.

The company expects the new installations will be cost-effective over their operational lifetimes, which is consistent with other reported metrics. For example, FPL reports that its carbon emissions today are lower than the U.S. Environmental Protection Agency’s Clean Power Plan’s goals for 2030, while the company’s typical residential customer’s 1,000-kWh bill is approximately 25 percent lower than the latest national average. Last year, according to the company, FPL’s residential bills were the lowest in Florida among reporting utilities for the seventh year in a row. In addition to the grid-scale projects announced this week, FPL has installed small-scale solar arrays for more than 100 Florida schools and other educational facilities.

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Cheap Natural Gas Provides Temporary Dip In Residential Electricity Prices

Countering a slow but sustained climb, data released this week by the U.S. Energy Information Administration shows that residential electricity prices for the first half of 2016 fell 0.7%, to a national average of 12.4 cents per kWh. Over the past five years, nominal residential prices have increased an average of 1.9% annually, about the same rate as overall inflation.

Graph showing U.S. residential electricity prices

The key factor driving prices down this year is the low price of natural gas, the fuel that many power plants burn to produce electricity. Over the first six months of 2016, the weighted average cost of natural gas delivered to electricity generators was $2.58 per million Btu, 28% lower than in the first half of 2015 and down substantially from 2014.

Chart showing price of natural gas for electric power generation

Some regions are experiencing larger drops than others, though this is at least partly a reflection of prices being particularly high in those areas prior to this year’s decline:

Graph showing average residential electricity prices by census division (1H-2015 to 1H-2016)In New England, for example, where energy prices increased substantially from 2013 to 2014, prices in June of 2016 were 6% lower than in January of 2016. Prices in New England today are lower due to a sustained low price of natural gas nationally, combined with increased gas deliverability to a region that previously was constrained. Key pipeline projects that came online to serve that part of the country in late 2015 or early 2016 include:

  • The Rockies Express Pipline (REX) reversal project had added westbound capacity to flow natural gas to the Midwest in 2014. In late 2015, Texas Eastern Transmission Company’s (Tetco) OPEN project added 550 million cubic feet per day (MMcf/d) of pipeline takeaway capacity out of Ohio.
  • Columbia Gas Pipeline’s East Side Expansion, a 310 MMcf/d project that flows natural gas produced in Pennsylvania to Mid-Atlantic markets.
  • Tennessee Gas Pipeline’s Broad Run Flexibility Project, a 590 MMcf/d project originating in West Virginia that moves natural gas to the Gulf Coast states.
  • Tetco’s Uniontown-to-Gas City project flows up to 425 MMcf/d of natural gas produced in the Marcellus region to Indiana.
  • Williams Transcontinental Pipeline’s Leidy Southeast project provides additional capacity to take Marcellus natural gas to Transco’s mainline, which extends from Texas to New York. From there, the natural gas serves Mid-Atlantic market areas as well as the Gulf Coast.

Map of Gas Pipelines in New England

Notwithstanding the increase in pipeline capacity, the Energy Information Administration projects the national average delivered cost of natural gas in the last six months of 2016 will be 27% higher than the average cost in the first six months of the year. Residential electricity prices, in turn, are expected to increase by about 3% in 2017.

Graph showing projected retail price of electricity in residential sector 2015 to 2017.

The 2017 projection is supported by the following graph, which shows current options and futures prices placing the lower and upper bounds for the 95% confidence interval for December 2016 contracts at $2.25/MMBtu and $4.51/MMBtu, respectively. According to the Energy Information Administration, the 2017 forecast Henry Hub average is $2.87/MMBtu (compared to $2.58/MMBtu for the first half of 2016).
Graph showing Henry Hub prices, 2015 to 2017.

Another factor causing retail prices (as opposed to wholesale prices) to rise is the increased costs utilities are passing on to customers to maintain, update, and secure their grids. Can anything be done to avoid or mitigate these price increases? One approach would be to reduce demand for electricity through energy efficiency, demand response, and behind-the-meter generation such as solar power. All else being equal, these practices should cause the price to fall due to a lower quantity of electricity demanded. Paradoxically, however, reduced demand for grid power could actually increase the price for those remaining on the grid because of a smaller pool of kWh over which the utility can spread fixed costs. Regulators in regulated and vertically-integrated states are taking a variety of approaches to this dilemma, as demonstrated by proceedings in states including (but not limited to) Nevada, New York, California, Massachusetts, Maryland, and Minnesota.

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Nevada Solar Dispute Nears Resolution After Court Remands Controversial Ruling

Picture of residential rooftop solar panels.A Nevada state court this week set aside part of the Public Utilities Commission’s controversial decision to change rates on existing solar customers because the Commission’s process lacked adequate notice to the public, but due to ongoing discussions between the parties the hotly contested issue may soon be at least partially settled anyway. Regardless of what happens at the Commission, the subject is certain to be revisited when the legislature next convenes.

The immediate result of the court’s ruling is that the part of the Commission’s order which would have reduced bill credits to customers who already have solar panels is set aside and remanded to the Commission, while the remainder of the ruling upholding the Commission’s order relating to new solar customers is affirmed.

But the court’s remand is likely to be superseded because the Commission, at a hearing coincidentally scheduled for tomorrow, will consider a settlement between utilities and customers to grandfather the 32,000 existing residential rooftop customers on the old rate for 20 years. If, as expected, the Commission ratifies the grandfathering agreement, the remanded case will become moot.

Since 1997, Nevadans have participated in a program called net energy metering, under which customers earn a kilowatt-hour bill credit for each kilowatt-hour of clean power they produce that exceeds their own consumption. The high value of the credit was a key factor in many Nevadans’ decision to install solar because the credit offset a meaningful portion of cost. The Commission’s recent decision radically changed the way credits are calculated and valued, and replaced the framework with a new system that values the excess much lower than before.

Recognizing that a critical element in the financial model for solar installations went away overnight, the Commission’s ruling caused nearly every solar installer to immediately abandon the state. The new formula also caused an uproar in the renewable energy community because it significantly reduces income that solar customers had been expecting to receive, causing what had been good investments to go under water (financially). The move to not grandfather customers also set a precedent that alarmed renewable energy advocates concerned that commissions in other states might follow Nevada’s lead.

While states do periodically shift gears on rates on a going-forward basis, it was well-known in Nevada that customers relied on the net metering tariff in making relatively significant long-term investments. While the Commission is legally entitled to change the tariff in a way that reduces payments to customers for excess solar production, for policy reasons such changes are often made only to new customers, not existing customers.

With regard to the process the Commission followed in this case, the court found that the Commission did not sufficiently notify the public of its intention, and therefore the public was deprived of its right to participate in the proceeding. It is well established in American law that public entities such as the Commission must provide notice of the matters before it. As to the question of how specific notice must be, the Nevada Supreme Court in a previous case explained that “[i]nherent in any notice and hearing requirement are the propositions that the notice will accurately reflect the subject matter to be addressed,” and that “notice must be specific enough to alert all interested persons of the substance of the hearing.” When notice is deficient, the court found, the result is a “denial of fairness and due process.” The requirement, which falls under the legal description “subject matter jurisdiction,” cannot be waived, does not require the affected parties to have been absent from the proceeding, and may be raised by any party or the court at any time.

The notice in this case not only did not include a sufficient description of the issue that was ultimately addressed, the notice specifically excluded the highly controversial matter by saying that the proposal “does not . . . [a]ffect the rights of [existing solar] customers in any way.” Based on the fact that courts as high as the Supreme Court of the United States have, for decades, held notice to be an “inexorable safeguard,” the Nevada court rejected a multitude of arguments that the deficient notice should not result in the court throwing out the Commission’s ruling.

However, the court also explained that its ruling in this case is limited to the procedural requirement of notice for existing customers, not to substantive policy issues related to existing solar customers or to anything relating to new solar customers. In fact, the court specifically rebuffed all objections raised by solar supporters relating to the validity of the Commission’s order on new solar customers, finding that the Commission’s order is not contrary to law, is not arbitrary or capricious, and does not violate the Contract Clause of the U.S. Constitution.

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100 MW Mustang Solar Project Begins Commercial Operation

Photo of Mustang Solar Project.
Mustang Solar Project

Thanks to a large new solar installation constructed by Recurrent Energy, a wholly owned subsidiary of Canadian Solar Inc., approximately 45,000 more homes in California will now have access to 100% renewable energy. The Mustang solar project, spread across 1,000 acres in Kings County, California, has reached commercial operation and is expected to produce 100 MWac/134 MWp of electricity.

“The commercial operation of the Mustang solar project continues a historic year that will see Recurrent Energy complete more than one gigawatt of U.S. solar photovoltaic (PV) projects,” said Dr. Shawn Qu, Chairman and Chief Executive Officer of Canadian Solar.

The renewable energy generated by Mustang’s single-axis trackers will be sold under long-term power purchase agreements to Sonoma Clean Power and MCE. The project is expected to produce enough electricity to power approximately 45,000 homes.

Sonoma Clean Power and MCE are both not-for-profit agencies, offering their customers the option of using environmentally friendly power, generated by renewable sources, like solar, wind and geothermal, at competitive rates.

The power purchase agreement allowed Recurrent Energy to secure a tax equity investment commitment from U.S. Bancorp Community Development Corporation. Adam Altenhofen, the bank’s vice president, commented on the reasons for the investment by saying “High-quality solar projects like Mustang are an important strategic investment for U.S. Bank, which provide jobs to local communities, while delivering clean, reliable energy to the state of California.”

Recurrent Energy employed approximately 450 during the peak of construction, and supported the local economy by spending more than $3 million on local construction materials and services such as food and housing. In terms of long-term economic benefits, the project will generate $3.6 million in tax revenue for the county and $8.1 million in tax revenue for the state.

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Tesla’s Elon Musk Updates “Master Plan” – More Vehicles and Technologies Are Coming

Tesla Model X - Front View Doors UpWith the tenth anniversary of Elon Musk’s “Master Plan” approaching, the co-founder, Chairman, CEO, and Product Architect of Tesla Motors this week issued “Master Plan, Part Deux.” In the past decade, Musk has achieved (or is on the cusp of achieving) his previously-stated goals of:

  1. Creating an expensive, low-volume car (the Roadster);
  2. Using proceeds from that car to develop a lower-price medium-volume car (the Model S);
  3. Using proceeds from that car to create an affordable, high-volume car (the Model 3); and
  4. Providing solar power (SolarCity).

Musk remains intent on “accelerating the advent of sustainable energy,” and here is what he plans to do next:

Integrate Energy Generation and Storage

batteryBackupImage_ForWeb-2The goal of integrating energy generation and storage is why Tesla is acquiring SolarCity. Some on Wall Street are expressing skepticism of this transaction, but Musk justifies the combination on the basis of providing customers with a seamless experience that cannot be achieved by two separate companies.

Expand to Cover the Major Forms of Terrestrial Transport

Photo of Tesla Assembly Line

Following the highly-acclaimed Model S and plus the eagerly-anticipated Model 3, Musk reports that Tesla’s model line-up is set to expand with a future compact SUV and “a new kind of pickup truck.” He also writes in his blog that heavy-duty trucks and “high passenger-density urban transport” are in early stages of development and should be ready for unveiling next year.

We don’t know exactly what he has in mind for the Tesla Semi, but Musk says it is expected to deliver a substantial reduction in the cost of cargo transport while being safer than today’s comparable vehicles as well as being “really fun to operate.”

With regard to a new form of urban transport, here Musk is referring to autonomous vehicles that will “transition the role of bus driver to that of fleet manager.” Musk envisions a future of on-demand door-to-door transportation designed to accommodate all passengers, including those with wheelchairs, strollers, and bikes.

Autonomy

Image of Autopilot

Recognizing that fully self-driving technology involves far more than simply installing cameras, radar, sonar, and computing hardware, Musk nonetheless continues to forecast Tesla vehicles that are fully autonomous and possess “fail-operational capability,” which means that any given system in the car could break and the car will still drive itself safely. As for today’s Autopilot mode, Musk explains that the name is derived from autopilot in aircraft, where pilots are expected to continue to pay attention, monitor the technology, and be prepared to take control at any moment. In other words, Autopilot is actually partially, not fully, autonomous, and does not justify driver complacency. Moreover, even today’s Autopilot, despite extensive internal validation, remains in beta and will continue to be labeled as such until the technology is 10 times safer than the U.S. vehicle average.

In addition to the technological hurdles, Musk acknowledges that there will be a significant time gap, which will very widely by jurisdiction, before true self-driving is approved by regulators. Musk anticipates that worldwide regulatory approval will not occur without six billion miles of experience. Assuming today’s pace of 3 million miles of such experience per day today, we are about five years from the target.

Sharing

Uber NY Request Screenshot

Musk envisions privately-owned vehicles being available to shuttle others around using self-driving capabilities when not needed by the owner. With most cars sitting idle 90% to 95% of the day, the ability to hire one’s car out can generate income and offset the cost of owning or leasing. To make this easy, Tesla expects to incorporate a car-sharing feature into its phone app.

Musk also writes that in cities where demand exceeds the supply of customer-owned cars, Tesla will operate its own fleet.

Conclusion

In short, the goals outlined in Musk’s updated Master Plan are to:

  • Create stunning solar roofs with seamlessly integrated battery storage;
  • Expand the electric vehicle product line to address all major segments;
  • Develop a self-driving capability that is 10X safer than manual via massive fleet learning; and
  • Enable your car to make money for you when you aren’t using it.

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Southern Company to Acquire Distributed Infrastructure Developer PowerSecure International, Inc.

Southern Company Logo

PowerSecure Logo

Southern Company, one of the largest electricity producers in America with more than 46,000 MW of generating capacity and 4.4 million customers, and North Carolina-based PowerSecure International, Inc., a company specializing in distributed energy resources and related technology, last week announced approval of a definitive merger agreement through which Southern will acquire PowerSecure for approximately $431 million (an 80% premium over the company’s prior-day close).

What makes this transaction particularly interesting is that the companies’ own announcement acknowledges that PowerSecure’s key technologies related to distributed energy resources “typically receive highest demand largely in markets outside of the Southeast [Southern’s sole market], where distributed infrastructure investments tend to provide greater customer value.” While there are multiple reasons this is the case, nonetheless the company’s CEO, Tom Fanning, is on record expressing enthusiasm in responding to certain customer interests, saying “If somebody wants to buy distributed generation, I want to sell it to ’em. I’m completely happy to do that.”

PowerSecure’s smart grid products and services relate to interactive distributed generation, energy efficiency, and utility infrastructure; customers include electric utilities as well as industrial, institutional, and commercial end-users. Specific capabilities PowerSecure’s technology enable include the ability to:

  • Forecast electricity demand and electronically deploy the systems to deliver more efficient and environmentally friendly power at peak power times;
  • Provide utilities with dedicated electric power generation capacity to utilize for demand response purposes; and
  • Provide customers with dependable standby power.

PowerSecure’s distributed generation technology helps utilities manage various types of resources, including solar power, and the company also provides other services ranging from LED lighting to transmission and distribution infrastructure maintenance and construction services, as well as engineering and regulatory consulting services.

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