Honeywell and Alturus recently announced a collaborative effort to deploy battery energy storage systems to customers globally. Alturus will provide dedicated capital and structuring for Honeywell’s Renewables & Distributed Assets projects as Honeywell increases market share and deploys new technology and services.
Projects will be deployed for the commercial and industrial markets under an Energy Storage as a Service model that provides an opportunity for energy savings, increased operational efficiency and reduced emissions. Under this turnkey, off-balance sheet approach, customers can achieve electricity bill savings, resiliency and increased sustainability.
For utility-scale projects, the two companies will work together to create a packaged financial and technological solution for project implementers. Alturus will own the assets and will be responsible for financing the storage systems, and Honeywell will provide its industry-leading fully integrated battery energy storage systems and software platform, as well as maximize cost savings and revenues through smart dispatch.
“Battery storage is critical to achieving the decarbonization goals that have been set by the world’s leading governments and corporations. Our work together will combine Alturus’ dedicated capital and contract structuring expertise with Honeywell’s industry-leading hardware, software and operational capabilities. As a result, end users will now have a solution that is easy to understand and implement that will dramatically scale the use of this important decarbonization technology worldwide,” said Charles Esdaile, a Managing Partner and co-founder of Alturus.
The demand for battery energy storage systems is increasing exponentially to enable meeting decarbonization and renewable energy targets globally. In the United States, an estimated 180 GW of grid-related battery storage will come online by 2030 according to a report by the U.S. Department of Energy. In Europe, the Middle East and Africa, battery storage deployment is expected to exceed 350 GW in the same timeframe, representing a combined investment opportunity of $225 billion.
“Our fully integrated energy storage solutions combined with our remote operations platform will make it easier to anticipate and manage facility demand, energy generation and power market needs in today's complex distributed energy ecosystem," said Eren Ergin, General Manager, Renewables & Distributed Assets, Honeywell Process Solutions. "Honeywell's advanced control software and performance-based guarantees will help end users improve their energy utilization, optimize operations and revenue streams, mitigate risk and realize significant savings over the entire life of their assets.”
For Honeywell, this is a natural outgrowth of the company’s end-to-end automation and energy control services, which already provide building controls for energy management across the globe as well as software and controls to utilities to run their operations more efficiently and cost-effectively.
