Trifecta of State Support Enables Eos Energy Storage to Compete in Growing Clean Energy Market
From left to right: Vice President Business Development Philippe Bouchard, Founder and Inventor Steve Amendola, Chief Executive Officer Michael Oster, Chairman Steve Hellman, Chief Technology Officer and Chief Operating Officer George Adamson
TRENTON (March 17, 2016) – At a time in which more businesses and individuals are looking for clean energy alternatives, Edison-based Eos Energy Storage has successfully utilized a variety of State resources to position itself as an emerging leader in the global renewable resources marketplace.
Eos Energy Storage has developed and manufactures low-cost DC battery systems for electric utilities, with additional uses in commercial and industrial, telecom and residential markets. Its proprietary zinc hybrid cathode (ZnythTM) battery technology is designed to be a safe, efficient and cost competitive and can be used in variety of applications, including grid-scale storage and integration with renewable energy and as part of community-level microgrids.
Eos Energy Storage has created partnerships with such companies as Toshiba and Siemens, global leaders in system integration and utility infrastructure, NRG Energy, which delivers cleaner and smarter energy choices for customers, and Con Edison, a subsidiary of Consolidated Edison, Inc., one of the nation’s largest investor-owned energy utilities.
“The fact that Eos Energy Storage partners with so many high-profile companies underscores the broad impact New Jersey clean technology companies have on the greater technology industry,” New Jersey Economic Development Authority (EDA) Chief Executive Officer Melissa Orsen said.
As Eos Energy Storage continues to enhance its footprint in New Jersey, it has taken advantage of several State resources throughout its lifecycle. Each resource has been beneficial to the clean technology business at a particular stage of its growth.
Eos Energy Storage raised more than $16 million from investors who took advantage of New Jersey’s Angel Investor Tax Credit Program. Ideal for companies in the development and pre-launch stages, the program offers a 10 percent tax credit against New Jersey corporation business or gross income tax for qualified investments in an eligible emerging technology business with a physical presence in New Jersey. More than $125 million has been already invested in New Jersey-based emerging technology and biotechnology businesses through the Angel Investor Tax Credit Program since its inception in 2013.
In addition, last year marked the first time that Eos Energy Storage participated in the State’s Technology Business Tax Certificate Transfer (NOL) Program. Geared toward growing technology and biotechnology companies, the program enables eligible businesses to sell their research and development tax credits to raise cash to finance their growth and operations. To date, the NOL Program has provided a total of more than $860 million to over 500 companies in New Jersey.
The EDA and the New Jersey Board of Public Utilities (BPU) also recently announced the approval of Eos Energy Storage for a $2 million loan through the EDA’s Edison Innovation Green Growth Fund (EIGGF). As a program designed for commercialized businesses, EIGGF offers low-interest loans of up to $2 million to eligible technology companies with Class I renewable energy or energy efficiency products or systems.
@NJEDATech asked Eos Energy Storage CEO Michael Oster about the company’s experience in New Jersey and its plans for the future:
Why did you choose to grow Eos Energy Storage in New Jersey?
New Jersey represents a vibrant and growing market for energy technologies and renewable energy development. We decided to headquarter Eos in Edison because we wanted to be part of an ecosystem where utilities, energy technology companies, and state agencies are working together to improve grid resiliency, reduce greenhouse gas emissions, and lower electricity costs for end-users. New Jersey is also home to some of the world’s most prestigious universities and technical colleges, which gives us access to the human resources needed to support our continued growth.
How has the company benefitted from the variety of State programs and resources?
New Jersey’s robust program portfolio offers financial support to clean energy companies at every stage of development. Not only have we received funding in the form of low-interest loans and tax credits, we have also been able to win projects and drive sales through market-based solicitations, which are available through New Jersey’s Clean Energy ProgramTM. We have also leveraged the EDA’s vast network to establish strategic partnerships and to recruit a very high level of technical and commercial talent.
What’s Eos Energy Storage’s biggest success to date?
There are many answers to that question! I am most impressed by the teamwork required to combine technical and commercial objectives to deliver a novel battery technology that outperforms the existing technology in terms of safety and longevity while reducing cost by 40-50 percent. We have successfully deployed systems with major utilities, including Con Edison and Engie (formerly GDF Suez) among others, and we have worked hard to establish a network of partnerships that will allow Eos to cost-effectively manufacture, install, and maintain our product globally. These are major accomplishments; I’m very proud of our team for their hard work and continued determination.
What’s on the horizon for Eos Energy Storage?
Eos has reached an exciting point in the company’s growth. With the EDA’s support, we are now scaling up operations to produce commercial batteries in volume and to continue developing next generation improvements to our Znyth technology. We are in the process of deploying MW-scale, grid-connected battery systems to major utilities and renewable energy developers in New Jersey, New York, California, and key international markets. We also look forward to launching residential, commercial, and industrial battery systems in collaboration with global strategic partners. Stay tuned, 2016 is looking like an exciting year for Eos!