Mercom: Energy storage VC funding cools as project funding heats up in Q3

Facebook
Twitter
LinkedIn
Reddit
Email

The participation of venture capital (VC) investors seems to have cooled, while project funding has conversely seen a sharp rise, in the latest quarterly report into funding and mergers and acquisitions from Mercom Capital.  

In the third quarter (Q3) 2016 report on the smart grid, battery storage and energy efficiency sectors, VC funding for battery storage dropped to just US$30 million across nine deals, compared to US$125 million across 10 deals in the previous quarter. Q3 last year also saw funding drop from the preceding quarter, though not as sharply. In 2015, Q2 and Q3 stood at US$126 million across 13 deals and US$96 million across nine deals, respectively.

This article requires Premium SubscriptionBasic (FREE) Subscription

Try Premium for just $1

  • Full premium access for the first month at only $1
  • Converts to an annual rate after 30 days unless cancelled
  • Cancel anytime during the trial period

Premium Benefits

  • Expert industry analysis and interviews
  • Digital access to PV Tech Power journal
  • Exclusive event discounts

Or get the full Premium subscription right away

Or continue reading this article for free

Mercom found that six battery sub-technologies shared the VC funds including energy storage management software and supercapacitors, as well as lithium battery makers, whole energy storage system makers, thermal energy storage and flow batteries, the latter of which appear to be a consistent target for VC funding announcements in the past couple of years the report has been produced.

For the full version of this story, visit Energy-Storage.News.

2 February 2027
London, UK
Returning in 2027 for its 14th edition, Solar & Storage Finance Europe will bring together the brightest minds representing funds, banks, developers, utilities, government and industry across Europe and the UK on a programme that is solutions-focused from top to tail. The event is designed to enable leaders at the forefront of solar and storage investment and deployment in Europe to scale, learn and land themselves industry defining partnerships.

Read Next

September 4, 2026
Germany and the wider EU can use its research and development strengths to stay competitive in the global solar PV manufacturing industry, according to a group of industry and research bodies.
September 4, 2026
News of two utility-scale solar PV developments in Texas, where construction began on a 347MW project in Wharton County and finances secured for a 310MW/250MWh pair of projects.
Premium
September 3, 2026
PV Tech Premium speaks to IEEFA's Jonathan Bruegel about how renewable PPAs have become a key part of European energy resilience.
September 2, 2026
Europe’s PV fleet has removed the need for over €30 billion (US$34.74 billion) in gas imports since the start of the Iran conflict.
September 1, 2026
Australia recorded its strongest quarter yet for rooftop solar installations, household battery storage uptake and large-scale solar investment in Q2 2026, according to the Clean Energy Regulator's (CER) latest Quarterly Carbon Market Report.
August 31, 2026
ARENA has announced up to AU$105.6 million for 20 research and development projects aimed at reducing the cost of large-scale solar.

Upcoming Events

Solar Media Events
October 13, 2026
San Francisco Bay Area, USA
Solar Media Events
November 3, 2026
Málaga, Spain
Solar Media Events
November 24, 2026
Warsaw, Poland
Solar Media Events
February 2, 2027
London, UK