- Capalo AI has secured $4.1 million to optimize battery storage.
- The startup uses AI-driven forecasts to tell battery providers when to charge and discharge.
- Check out the 12-slide pitch deck used to raise the fresh funding.
A startup that’s developed “virtual power plants” to make energy storage more efficient has just secured $4.1 million in seed funding.
Finland-based Capalo AI has created a platform that uses artificial intelligence to forecast renewable energy creation and consumption. Battery storage providers can then use that data to optimize their operations.
“We operate between the markets and the battery storage providers, deciding and optimizing how to utilize batteries in the best possible way,” Henri Taskinen, the CEO of Capalo AI, told Business Insider in an interview.
Energy storage has been a key bottleneck for the renewables industry. Because wind and solar power are intermittent, it’s hard to forecast how much electricity these sources can produce. Excess energy can go to waste if there isn’t enough demand for it at the time of generation. One way that energy storage providers prevent that is by using batteries so energy can be saved and deployed when there’s more demand from the grid.
Capalo AI’s model takes in multiple data points, from weather forecasting to consumers’ energy consumption levels.
“Our model then decides, how do we run and schedule this battery charging so we can provide the right commitments to the grid?” Taskinen added.
The startup’s virtual power plants then send those data-driven commands to battery providers, instructing them when to charge and discharge based on the amount of energy being generated, grid capacity, and consumer demand.
“Then we decide how to utilize these batteries, so the battery owner can maximize how much they earn, and the grid benefits as much as possible,” Taskinen said.
The startup then makes energy bids to the electricity markets. “We agree on the commitments to provide energy output to the grid, which we then dispatch from the batteries — so our platform offers an end-to-end solution,” he added.
Capalo works with renewable energy infrastructure investors, including Swiss company MW Storage, and optimizes their battery usage. “Our business model is profit sharing, so we take a cut of the earnings from the electricity markets,” Taskinen said.
The $4.1 million seed round was led by VentureFriends and PROfounders, with participation from existing investors Inventure and Innovestor.
With the fresh funds, the company plans to expand into the Baltics.
We got an exclusive look at the 12-slide deck Capalo AI used to raise funding.
Read the full article here
