US Climate Legislation Set to Boost Energy Storage

RNS Number : 3927V

Invinity Energy Systems PLC

09 August 2022

 

9 August 2022

Invinity Energy Systems plc

("Invinity" or the "Company")

 U.S. Climate Legislation Set to Boost Energy Storage

Clean energy incentives in the Inflation Reduction Act recently passed by the U.S. Senate notably include large-scale support for U.S. energy storage

Invinity Energy Systems plc (AIM: IES) (AQSE: IES) (OTCQX: IESVF) a leading global manufacturer of utility-grade energy storage , welcomes the inclusion of energy storage project support in the Inflation Reduction Act passed by the Senate on 7 August 2022.

Potentially the largest and most far-reaching climate legislation in U.S. history, the bill contains $369bn of clean energy investment, primarily in the form of tax incentives and grants aimed at supporting the rapid buildout of renewable generation and energy storage projects in the U.S.

The Company views this development extremely positively, especially with respect to the fact that energy storage is treated on par with energy production in the bill. Key areas include:

-  Investment Tax Credits (ITCs) and grant programmes expected to significantly improve economics for standalone energy storage projects utilising a broad range of clean energy technologies including vanadium flow batteries.

-  Similar support for renewable power generation, which Invinity expects will accelerate the need for long-duration, high-throughput energy storage solutions capable of delivering intermittent renewable power on demand, a use case where Invinity's vanadium flow batteries are both field-proven and offer advantageous economics.

-  An ITC time horizon stretching to 2032, providing unprecedented project development and investment security in comparison to previous programmes which were significantly shorter in duration.

Given Invinity's geographical footprint and proven track record of project delivery within the U.S. and particularly within California, the Company believes it is well positioned to benefit from the support this legislation will provide to U.S. energy storage projects once it is signed into law.

The bill, considered to have overcome its primary hurdle by passing the U.S. Senate, will now face a vote in the Democrat-controlled House of Representatives, following which, if it passes the House, is expected to be signed into law by President Biden.

Larry Zulch, Chief Executive Officer at Invinity said:

"This is significant legislation not only for its size and scope, but because it goes beyond past efforts that focused on renewable energy production to include incentives for energy storage. This is tangible and welcome acknowledgement that renewable energy and energy storage go hand-in-hand. Once signed, we see this bill enhancing the already vast opportunity for Invinity's products in the U.S., not only directly through economic support of storage project deployments, but indirectly by stimulating large amounts of additional renewable generation which will require long-duration energy storage solutions such as Invinity's.

This is tremendous support for Invinity's corporate strategy in the U.S."

Enquiries :

Invinity Energy Systems plc	[phone]
Peter Dixon-Clarke, Chief Financial Officer Joe Worthington, Director of Communications

Notes to Editors

Invinity Energy Systems plc (AIM:IES) manufactures vanadium flow batteries for large-scale, high-throughput energy storage requirements of business, industry and electrical networks.

Invinity's factory-built flow batteries run continually with no degradation for over 25 years, making them suitable for the most demanding applications in renewable energy production. Energy storage systems based on Invinity's batteries are safe, reliable, and economical, and range in size from less than 250 kilowatt-hours to tens of megawatt-hours.

Invinity was created in April 2020 through the merger of two flow battery industry leaders: redT energy plc and Avalon Battery Corporation. With over 33 MWh of systems deployed to date across more than 50 sites in 15 countries, Invinity is active in all major global energy storage markets and has operations in the UK, Canada, USA, China and Australia. Invinity Energy Systems plc is listed on the AIM Market of the London Stock Exchange and on the Aquis Stock Exchange (AQSE). The Company also trades in the USA on OTCQX Best Market under the symbol "IESVF".

To find out more, visit  invinity.com  or call Investor Relations on [phone]

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