Solar wafer manufacturer CubicPV received firm equity commitments exceeding $100 million to support the company’s plans to establish a factory in the United States and advance its tandem product roadmap.

The funding will be divided into two tranches, with the initial tranche of $33 million being made available immediately. The release of the second tranche of investment will be tied to achieving specific project milestones.

The funding was led by SCG Cleanergy, along with contributions from Hunt Energy Enterprises and Breakthrough Energy Ventures.

CubicPV stated it is making steady progress in its ambitious plan to establish 10 GW of wafer production capacity within the United States, which aligns with the long-term industrial policy outlined in the Inflation Reduction Act.

The company claims to have completed the conceptual design and scope for the project, and it has narrowed the selection of potential site locations to two final options.

Additionally, CubicPV has engaged with a top-tier project management company and is finalizing the detailed design phase. The company is also on track to secure the necessary financing for the factory, having received indicative term sheets that exceed the required equity for the new facility.

“Today’s announcement underscores the considerable progress we’ve made, the depth of our engineering competence, and the strength of our technologies to deliver a more powerful solar future,” said Frank van Mierlo, CEO, CubicPV. “We thank SCG Cleanergy for their confidence in our manufacturing goals and product roadmap.”

Guggenheim Securities is acting as a financial advisor to Cubic for the transaction.

CubicPV appointed David Gustafson as the President of the new wafer facility to oversee the planning, design, ramp-up, and operation.

American Clean Power Association said that the utility-scale clean energy sector in the U.S. has received investments of over $150 billion since the Inflation Reduction Act was signed into law in August 2022.

Global VC funding for the solar sector in Q1 2023 came to $2.1 billion in 18 deals, a 40% increase compared to $1.5 billion raised in 18 deals in Q4 2022. Year-over-year funding was 75% higher compared to Q1 2022.

The recently released U.S. Energy Storage Monitor report, by the American Clean Power Association (ACP) and Wood Mackenzie, states that across all segments of the industry, in the first quarter of 2023, the U.S. energy storage market added 2,145 MWh, marking a 26% decrease from the fourth quarter of 2022.

The grid-scale segment installed 1,553 MWh in the first quarter of 2023, recording the second-straight quarterly decline and falling 33% below first quarter of 2022 installations, the report also notes. California and Texas continue to drive the energy storage market, accounting for 84% of activity in the first quarter, but project delays contributed to the diminishing environment.

“The recent energy storage market slowdown illustrates how storage development is already interwoven with new solar and wind projects – and how trade and policy issues in those sectors affect storage deployment,” says John Hensley, ACP’s vice president of research & analytics. “It’s crucial we continue to tackle supply chain and interconnection hurdles.”

Wood Mackenzie has slated forecasted 2023 additions from the grid-scale project pipeline at 8.9 GW and 10.5 GW across all segments. While the forecasted capacity for 2023 decreased slightly quarter-over-quarter (QoQ), total additions for all segments are still expected to double by end-of-year 2023 from 2022.

“This is the first consecutive quarterly decline we have seen in the energy storage market since 2015 when installations were much smaller in volume and more unpredictable,” observes Vanessa Witte, senior analyst with Wood Mackenzie’s energy storage team.

Community, commercial and industrial (CCI) installations bounced back in the first quarter of 2023, after four consecutive quarters of lower-than-average activity. In total, the CCI market installed 203.3 MWh for its second-highest quarter on record and 145% above year-over-year (YoY) numbers.

Residential storage recorded its second-highest quarter on record at 388.2 MWh but there was a decline from the fourth quarter of 2022 installed capacity. This marked the first QoQ decline for the residential sector in nearly two years.

Market declines are a cause for concern but seem to be merely temporary, notes ACP’s Hensley: “The forecast through 2027 is encouraging and we remain confident in the long-term growth trajectory of the sector. The need of energy storage will continue to grow as more clean energy technologies are added to the grid.”

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Serbia-headquartered renewable energy developer CWP Global and Copenhagen Infrastructure Partners (CIP) have successfully concluded a strategic investment deal under which CIP, through its Energy Transition Fund I, has acquired a 26.67% stake in CWP’s development platform within the green hydrogen sector.

This investment presents an opportunity for CIP to participate in CWP’s globally expanding ultra-large-scale green hydrogen pipeline with 220 GW capacity across Africa, Australia, and the Americas.

With their combined expertise, resources, and shared vision, the partners expect the development of ultra-large-scale green hydrogen hubs will accelerate, playing a pivotal role in paving the way for a sustainable, low-carbon future.

The companies did not disclose the financial details of the deal.

The company said peer-reviewed scenarios from esteemed organizations like the Intergovernmental Panel on Climate Change IPCC, International Energy Agency (IEA), International Renewable Energy Agency (IRENA), and the Energy Transitions Commission reinforce the idea that alongside the global electrification of energy demand, the use of green hydrogen and its derivatives is crucial in reducing carbon emissions across energy-intensive industries.

However, sectors such as mining, steel production, fertilizer manufacturing, and long-range transport, including maritime shipping, pose significant challenges in terms of decarbonization.

These scenarios highlight the potential of green hydrogen to address these challenges and facilitate the transition to a more sustainable future.

In this context, CIP believes its investment in CWP’s portfolio of green hydrogen hubs represents a major step in the right direction.

Alex Hewitt, CEO of CWP Global, said, “The race to net zero is on, and green hydrogen at scale will be a critical pillar for global decarbonization, perhaps meeting one-fifth of global energy demand by 2050.”

Hewitt emphasized the alignment of values and shared vision between the two companies and highlighted their commitment to building value for the planet and future generations and creating new opportunities for local communities and economies, particularly in the developing world.

Felix Pahl, Partner at CIP, emphasized the significance of producing green hydrogen and green ammonia at scale to achieve decarbonization targets.

Pahl expressed confidence in CWP’s ability to contribute significantly to decarbonizing hard-to-abate sectors, citing the company’s strong management team and established regional footprints in Australia, Africa, and Latin America.

In India, the Ministry of Steel, under the recently approved National Green Hydrogen Mission, has invited research and development (R&D) proposals to establish pilot projects focused on the production and utilization of green hydrogen within the iron and steel industry.

In March 2023, CIP, on behalf of its New Markets Fund I, partnered with Viviid Renewables to develop more than 1.8 GW of greenfield renewable energy projects in India.

The U.S. Department of Energy (DOE) has announced over $192 million in new funding for recycling batteries from consumer products, launching an advanced battery research and development (R&D) consortium, and continuing the Lithium-ion Battery Recycling Prize.

The funds will support the administration’s target to have electric vehicles (EV) make up for half of all vehicle sales in the country by 2030.

The new funding opportunity builds on the $3 billion funding announced by the Biden administration last year under the Bipartisan Infrastructure Law to support domestic battery manufacturing and supply chains.

Consumer Electronics Battery Recycling, Reprocessing, and Collection

The DOE announced $125 million in support for consumer electronics battery recycling, reprocessing, and battery collection.

The funding aims to address critical areas within the consumer electronics battery recycling domain and advance sustainability efforts.

The initiative would play a vital role in implementing the Bipartisan Infrastructure Law, which authorized $7 billion to strengthen and secure America’s battery supply chain.

Further, the DOE will conduct behavior change campaigns to increase consumer participation in existing battery recycling programs. These campaigns are expected to encourage individuals to actively engage in battery recycling and contribute to a more sustainable future by raising awareness and promoting behavior change.

Improving the economics of recycling consumer electronics batteries is another crucial aspect that will be addressed.

Under the funding, technological advancements and cost-reduction strategies will be explored to make battery recycling economically attractive for businesses and consumers alike.

The funding opportunity also aims to assist states and local governments in establishing or enhancing battery collection, recycling, and reprocessing programs.

The funding opportunity encourages retailers to implement dedicated programs to facilitate the proper collection, sorting, storage, and transportation of consumer electronics batteries.

By supporting retailers in developing effective programs, the DOE aims to improve the overall efficiency and accessibility of battery recycling efforts.

The DOE’s Vehicle Technologies Office and the Office of Manufacturing and Energy Supply Chains will administer this funding to support the Federal Consortium for Advanced Batteries’ National Blueprint for Lithium Batteries goals.

Advanced Battery R&D Consortium

The Advanced Battery R&D Consortium aims to allocate up to $60 million to bring together major manufacturers of EVs in the U.S., universities, partners from national laboratories, suppliers of minerals and materials, and other key stakeholders in the battery industry.

The primary objective is to address critical battery requirements for the next phase of widespread EV commercialization.

The consortium’s primary focus is to advance battery research and development that aligns with the needs of EV manufacturers.

It will play a crucial role in the DOE’s initiatives to develop advanced transportation technologies while contributing to the decarbonization of the transportation sector.

Additionally, it seeks to foster the growth of a domestic battery supply chain and enhance recycling capabilities, both of which are vital to meet the rapidly increasing demand for EV batteries.

Lithium-ion Battery Recycling Prize

The Biden administration has also continued the Lithium-ion Battery Recycling Prize that commenced in 2019. The prize emerged as a driving force in promoting innovative solutions for collecting, sorting, storing, and transporting spent lithium-ion batteries.

Its significant contributions to advancing battery recycling efforts have led to the DOE announcing an additional $7.4 million in funding.

The funding will support the introduction of the Breakthrough Contest and Phase IV of the Battery Recycling Prize, further incentivizing the development of groundbreaking solutions.

The contest aims to attract industry entrepreneurs, including both new and former prize participants. By encouraging a diverse range of competitors, it seeks to tap into fresh perspectives and ideas that align with the overarching goals of the Battery Recycling Prize. It also provides additional support to Phase III winning teams, fostering an environment of collaboration and knowledge exchange.

Demonstrating Practical Impact

Phase IV, named Demonstration of Impact, emphasizes the importance of translating innovative ideas into tangible actions within the battery recycling process.

The primary objective of this phase will be to showcase the real-world effectiveness of proposed solutions in facilitating the seamless movement of spent or discarded batteries from consumers to recyclers across diverse commercial applications.

The Breakthrough Contest and Phase IV further enhance the prize’s impact by inspiring new ideas, supporting winners, and demanding concrete evidence of the efficacy of proposed solutions.

The Battery Recycling Prize is expected to catalyze American entrepreneurs to develop and showcase cutting-edge technologies capable of profitably capturing 90% of all discarded or spent lithium-based batteries in the country for the recovery of key materials and reintroduction in the supply chain.

The prize envisions a future where circularity and resource conservation are central to battery waste management.

Last year, the DOE issued a request for information seeking guidance in implementing $335 million investments from President Joe Biden’s Bipartisan Infrastructure Law for lithium-ion battery recycling programs.