Renewables are only a part of the coming energy revolution. Battery storage, energy efficiency and smart grid innovations are attracting major investment, according to a recent report from Mercom Capital Group.
Mercom estimated that some $1.5 billion in venture capital was raised by grid, efficiency and storage deals last year, some $200 million more than was invested in 2016. Energy storage venture capital funding nearly doubled to $714 million spread across 30 deals, according to the report.
Money flowed into smart grid investments, including some $1.2 billion from corporate coffers, Mercom reported. Ventures focused around electric vehicle smart charging attracted $155 million in capital in 10 transactions.
Energy efficiency venture funding suffered the only drop among the trio. Venture capital totaled $384 million for that sector, down about $140 million from 2016’s investment.
Home efficiency and building firms gained the biggest part of that spend at $172 million over five deals, according to Mercom.