Volvo Energy has acquired a 10% stake in UK-based second-life battery energy storage specialist Connected Energy for 50 million Swedish kroner ($4.93 million). Volvo Energy is one of five new investors in the company.
Volvo Energy, a business area within the Volvo Group, is “dedicated to providing essential support and infrastructure during the first-life, i.e. when batteries are mounted on vehicles, whilst subsequently securing reliable and sustainable second-life opportunities prior to battery recycling.”
Connected Energy is headquartered in Newcastle upon Tyne, and has operations elsewhere in the UK, as well as in Belgium, Germany and Netherlands. The company enables the use of second-life vehicle batteries in commercial battery storage systems.
“There is a great deal of untapped potential in the second-life use of batteries,” says Volvo Energy President Joachim Rosenberg. “This forward-leaning investment aims to facilitate the scaling-up of second-life battery energy storage systems and further secure circular business opportunities for the forthcoming ramp-up in Volvo Group’s second-life battery returns. Together with Connected Energy, we will minimize the environmental impact of the batteries that have powered Volvo Group vehicles. By repurposing the batteries, we obtain the full value from them from a climate, environmental and business perspective.”
“Our collaboration will enable us to optimize the potential for battery reuse and ensure that the resources in the batteries are used effectively,” says Matthew Lumsden, CEO of Connected Energy.
Source: Volvo Energy