According to EU startups, Amsterdam-based Moonwatt, an innovative energy storage startup, has secured €8 million in funding to develop its sodium-ion battery system, a groundbreaking alternative to lithium-ion batteries. This investment, co-led by daphni and LEA Partners, with additional participation from Founders Future, AFI Ventures (by Ventech), and Kima Ventures, aims to accelerate the development of next-generation solar energy storage solutions.
Moonwatt’s sodium-ion technology is designed to address the most pressing challenges in solar power storage—intermittency, grid congestion, and cost-effectiveness. Unlike lithium-based solutions, which rely on scarce and expensive materials, sodium-ion batteries are abundant, cost-efficient, and better suited for large-scale stationary storage.
Why Energy Storage is the Missing Piece in the Solar Revolution
Solar energy has become the fastest-growing power source in history, with capacity projected to increase tenfold by 2030. However, a major challenge remains: solar power is not available 24/7.
The Problem: Intermittency and Grid Congestion
- During the day, when the sun is shining, solar farms generate excess electricity, often overwhelming the grid and causing wholesale prices to drop below zero.
- At night, when energy demand peaks, solar-generated electricity is unavailable, forcing reliance on fossil fuel backups.
- Over 3,000 GW of renewable projects worldwide are stuck in grid backlogs, waiting for storage solutions to balance supply and demand.
This mismatch between energy generation and consumption leads to inefficiencies, economic losses, and slowed adoption of renewable energy.
Moonwatt’s Solution: A Sodium-Ion Battery Built Specifically for Solar Storage
Unlike existing battery technologies, which are mostly adapted from electric vehicle (EV) applications, Moonwatt has developed a solar-first energy storage system from the ground up.
Why Sodium-Ion Over Lithium-Ion?
Sodium-ion batteries offer several advantages over lithium-ion for stationary solar energy storage:
- 1000 times more abundant materials than lithium-ion, ensuring long-term supply stability.
- One-third lower cost, making large-scale deployment more economically viable.
- Enhanced safety, with reduced fire risk and better performance under extreme conditions.
According to Zukui Hu, CEO and Co-founder of Moonwatt:
“We started our product design from a blank sheet of paper, freeing ourselves from legacy features inherited from other segments of the battery industry, with the goal of designing a system from scratch that is fundamentally cheaper, safer and more reliable. Our vision is a product that can be deployed anywhere, and that can be scaled up multiple orders of magnitude without facing raw materials scarcity.”
How Moonwatt’s Technology Unlocks 24/7 Renewable Power
By co-locating sodium-ion storage with solar farms, Moonwatt’s system can:
- Increase solar capacity utilization from 15-20% to up to 80%.
- Reduce the need for costly grid upgrades, minimizing infrastructure bottlenecks.
- Stabilize electricity prices, preventing financial losses from energy overproduction.
- Enable round-the-clock renewable power, making solar a dominant energy source.
This strategy optimizes solar energy output, allowing it to be stored and released when demand is highest.
A €379+ Billion Market Opportunity
The global renewable energy storage market is projected to exceed €379 billion, and Moonwatt is strategically positioned to lead this transformation.
According to Paul Bazin, Partner at daphni:
“Renewable power growth has exceeded all expectations, but we’re approaching a tipping point where it won’t be able to scale further without better energy storage. Created by industry veterans, Moonwatt is solving this with a differentiated storage product built specifically for solar – this is the breakthrough the industry has been missing.”
By solving the bottleneck of solar storage, Moonwatt is creating new opportunities for utilities, energy providers, and industrial-scale renewable projects.
The Environmental Impact: Reducing Carbon Emissions by 14 GtCO₂ by 2050
At full scale, Moonwatt’s storage solution could help the energy sector reduce up to 14 gigatons of CO₂ annually by 2050, accelerating the shift to a decarbonized global energy system.
Moritz Pagel, Investor at LEA Partners, emphasized the significance of this breakthrough:
“By focusing on sodium-ion, Moonwatt represents a paradigm shift, finally making 24/7 renewable power truly competitive and unlocking massive value for operators and consumers. We’ve been amazed by the complementary skillset and execution power of the team and are excited to back Moonwatt.”
What’s Next for Moonwatt?
With its latest funding secured, Moonwatt will focus on:
- Scaling its sodium-ion battery technology for commercial deployment.
- Expanding its team to accelerate R&D and production capabilities.
- Partnering with solar energy providers to integrate storage systems.
As demand for sustainable, scalable, and cost-effective solar storage grows, Moonwatt is positioned to reshape the renewable energy landscape.
Conclusion: Powering the Future with Sustainable Solar Storage
Moonwatt’s €8 million funding round marks a major step forward in advancing sodium-ion battery technology for solar energy storage. By tackling challenges of intermittency, cost, and scalability, the company is driving a cleaner, more efficient renewable energy future. Its innovative battery storage system enables round-the-clock solar power, reduces reliance on scarce lithium-based resources for more affordable storage, and supports global decarbonization efforts, with the potential to cut up to 14 gigatons of CO₂ annually.
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