Greenely Secures €8M Funding to Expand Reach and Drive Europe’s Energy Transition

Greenely, a Swedish energy tech startup, has secured €8 million in Series A funding to expand its energy management platform to neighboring Nordic countries. The funding round, which is approximately $8.7 million at current exchange rates, was led by Belgian investment company Korys, with participation from existing investors Luminar Ventures and other shareholders.

Greenely serves around 200,000 households in Sweden, offering freemium energy consumption analytics and optimization services. These services help paying customers save on electricity costs by implementing strategies such as charging electric vehicles when energy prices are low. The platform also enables users to access government payouts through automated optimization of energy demand, reducing pressure on the grid.

Currently, Greenely’s energy optimization services are available only to customers who also purchase energy from the startup. However, with new European legislation expected to be implemented in Sweden by the end of the year, Greenely plans to offer these services independently of energy supply contracts.

The company also provides options for installing home batteries, such as the Pixii Home, allowing households to store energy for later use. This setup helps customers respond to fluctuations in wholesale electricity prices, further optimizing energy costs. Additionally, Greenely’s platform integrates with solar installations and heat pumps, enabling users to sell surplus energy during high-price periods and store it when prices are low.

Greenely’s CEO and co-founder, Tanmoy Bari, highlighted the benefits of their “residential virtual power plant” (VPP) technology. This system lets customers participate in balancing the electricity network, offering both cost savings and potential revenue through government payouts. Bari mentioned that average annual savings per customer are around €250, with the potential for higher savings, especially for electric vehicle owners.

In 2023, if the VPP technology had been fully operational, Greenely customers could have earned more than €3,000 in balancing payments. While customers need to consider the cost of purchasing a home battery, Bari estimates that the investment could be recouped within two to three years.

Greenely’s Market Expansion

Greenely’s new funding will support its expansion into Finland and Norway, leveraging a harmonized market for frequency balancing services across these countries. The startup also has plans to explore other European markets with high smart meter penetration, such as France and the UK, though Germany is not currently on the roadmap due to lower smart meter adoption.

Funding Overview

Korys’ investment director Brieuc de Hults and investment manager Quentin Dupont expressed enthusiasm for supporting Greenely’s mission to revolutionize household energy consumption and contribute to a net-zero future. The startup aims to become the largest residential virtual power plant in Europe, with plans to continue adding customers in Sweden and beyond.