Move will help Cat develop off-grid energy access
Caterpillar Venture Capital Inc., a wholly owned subsidiary of Caterpillar Inc., has made an equity investment in Powerhive, a Berkeley, California, U.S.A.-based energy solutions provider for emerging markets. Powerhive, founded in 2011, also has offices in Nairobi and Manila, and received early backing from First Solar.
Powerhive develops and operates portfolios of renewable microgrids that supply electricity to off-grid communities in emerging markets. The announcement said Powerhive’s scalable energy access solution drives rural economic development, reduces energy poverty and results in cleaner, more resilient energy infrastructure in some of the world’s most vulnerable communities.
Caterpillar Ventures is one of eight investors in a US$20 million Series A round, which was led by Prelude Ventures and also includes First Solar, Total Energy Ventures and Tao Capital Partners. The venture financing will support Powerhive’s global expansion and continued growth in East Africa, where the company has operated rural microgrids since 2012.
“We are excited about our investment into Powerhive,” said Steve Niehaus, Caterpillar vice president with responsibility for the electric power division. He added that the addition of Powerhive allows Cat and its dealer network to integrate alternative energy solutions, such as solar and energy storage with its generator sets.
Over the past year, Caterpillar Inc. has invested in Fluidic Energy for energy storage and signed a strategic alliance with First Solar for an integrated photovoltaic (PV) solar solution for use in microgrid applications.