france's engie: a utility invests in cutting power demand - battery power storage1
* NGI will invest 130 euros in energy startups * shares in New Zealand are taking risks cutting power demand * hope these investments will lead to external companies in the new line of business Paris Geert De Clercq, December 8 (Reuters)-
New Zealand electric power in the UK is the kind of startup that will make utilities have nightmares.
To reduce power consumption, it does deal with large power users such as hospitals or hotels.
Businesses built on lower demand for electricity are not natural investments in utilities, but French Engie bought a minority stake in Kiwi this year through its venture capital fund, Engie New Ventures.
With the influx of renewable energy, traditional power stations being squeezed out of the market, European utilities are looking for new business models.
Yoav Zingher, ceo of New Zealand Electric Power, said of his new investors: "This is a cannibal, but they 'd better do it themselves . ".
When power usage peaks, power grid operators usually call utilities to turn the power back on
It is usually the oldest and most expensive power plant.
Kiwi turned the process upside down.
Instead of adding power to the extended network, it pays to supermarkets, hotels, hospitals or other companies by turning off the thermostat or off the non-
Basic equipment.
A small hotel could earn 10,000 pounds. $15,000)
But a big hospital can earn 400,000 pounds a year ($600,000)
Although New Zealand power is paid by the State Grid for helping it balance its network, it makes a profit in the process.
New Zealand says it is the UK's leading demand response aggregator, offering 300-
Demand is reduced by 400 MW with a target of 5,000-
6,000 megawatts, up to six nuclear power plants.
UK competitors include acti, EnerNOC and Amerseco.
Founded in 2014, New Ventures is Engie's fund to fund innovative start-ups in the energy sector.
This is part of Mr NGI's response to the energy industry, which is increasingly driven by policies aimed at tackling climate change, and the New Zealand stake acquired in July is one of several investments involving energy efficiency.
Engie CEO Gerard Mestrallet told Reuters: "New businesses are very important to bring great potential for external innovation to the company . ".
Its capital has recently increased to 0. 13 billion euros, and so far, new companies have invested 30 million euros in seven startups, usually holding 10 to 30% of their shares.
These include AMS for installing battery power storage systems in buildings;
APIX enabling portable systems to analyze air quality;
Powerdale, which produces charging stations for electric vehicles;
And Sigfox, which connects everything from washing machines to smart meters to the Internet.
Hendrick van asbrook, new venture capital director, said: "There are many disruptive business models in these startups, but they may bring new activity or business lines to Engie
Jean-Engie's director of innovation
Louis Blanco says new investments have never been the first
Stage investors usually buy after a startup wins its first customer.
Engie also encourages employees who have good ideas to try.
"We are funding their ideas for them to try outside the company," he said . " He added that Enji has invested 10 million euros in several employees
Risks arising.
In order to attract new ideas from outside, Engie also launched a "project call" through social media, such
Grid generating units with a cost of less than 500 euros ($540)
, Or applications used to serve airlines-
Remote adjustment equipment.
This year, Engie has launched 10 such calls and will launch 100 next year.
The winner receives 48 hours of instruction at the business school to prepare for the Engie selection committee.
Mestrallet says the test for Engie startups is whether they will change his company.
"Once we see that new businesses have changed our own organization through engagement with these innovators, we will evaluate its efficiency," he said . ". ($1 = 0. 6685 pounds)($1 = 0. 9192 euros)(
Supplementary Report of Karolin Schaps;
Edited by Giles Elgood)