ABB has formed a strategic partnership and made a minority investment in LevelTen Energy, a clean energy transaction marketplace, to expand ABB’s capabilities in renewable energy procurement and energy and carbon advisory services. Financial terms of the investment were not disclosed.
LevelTen Energy has facilitated more than 20 GW of clean energy transactions across more than 35 markets in North America and Europe. Its marketplace supports transactions including power purchase agreements, capacity, powered land, energy attribute certificates, energy storage agreements and granular certificates.
The partnership combines ABB’s expertise in electrification, digital solutions and energy management with LevelTen’s clean energy procurement and transaction platform.
ABB said the relationship will allow it to provide customers with a broader set of services spanning energy procurement, electrification, optimization, emissions reduction and ongoing reporting.
The companies are targeting commercial and industrial customers seeking to secure long-term clean electricity while managing energy costs and maintaining reliable operations.
As companies pursue decarbonization goals, large-scale clean energy procurement often requires long-term renewable energy agreements that can be complex to identify, structure and execute.
ABB said LevelTen fills a gap in its current offering by providing customers with a way to identify and secure clean energy through long-term agreements.
The partnership also comes as companies increasingly move beyond annual renewable energy matching toward requirements that more closely align when and where electricity is consumed with when and where clean energy is generated.
Meeting those requirements can involve technologies such as battery energy storage systems, microgrids and advanced energy management platforms.
ABB has existing capabilities in those areas, while LevelTen provides clean energy contracting and environmental attribute certificate trading. The companies believe combining these capabilities can help customers develop more comprehensive and verifiable energy transition strategies.
ABB will also gain access to LevelTen’s ecosystem of clean energy developers and projects. The company expects this to create additional opportunities to provide monitoring, optimization and lifecycle services.
LevelTen, meanwhile, is expected to gain access to ABB’s global customer relationships and domain expertise across manufacturing, industrial and commercial markets.
ABB said its presence in regions including Asia-Pacific could also create opportunities to expand the partnership into additional growth markets.
The investment was made through ABB Electrification Ventures, the venture capital arm of ABB’s Electrification business.
Including LevelTen, ABB Electrification Ventures has invested more than $110 million across 18 startups since 2021.
The unit operates within ABB Ventures, the company’s broader corporate venture capital platform. ABB Ventures has invested more than $500 million in startups since its formation in 2010, focusing on companies aligned with ABB’s electrification, automation and motion businesses.
ABB also pointed to its recent investment in Gridcog as part of a broader strategy to expand capabilities across energy procurement, energy advisory, and energy and carbon services.
LevelTen Energy was founded in 2016 and provides transaction infrastructure connecting utility-scale clean energy buyers and sellers. In addition to its marketplace, the company offers transaction tools, market intelligence software and energy market data.
KEY QUOTES:
“Our customers are under real pressure to reduce their carbon footprint while managing energy costs and maintaining reliable, 24/7 operations. One important piece missing from the solutions we provide today: a straightforward way to secure long-term clean energy at the right price. LevelTen Energy brings exactly that capability.”
“Through the partnership, ABB will be able to extend its growing energy and carbon advisory services portfolio with renewable energy procurement capabilities, helping customers move from planning and implementation to ongoing optimization and reporting.”
Stuart Thompson, President of Electrification Service Division at ABB
“The partnership is expected to accelerate growth opportunities for both companies. ABB will gain access to LevelTen’s extensive ecosystem of clean energy developers and projects, creating new opportunities to deliver monitoring, optimization and lifecycle services.”
Stuart Thompson, President of Electrification Service Division at ABB
“This strategic partnership will generate new clean energy solutions, allowing ABB’s global customers to seamlessly tap into clean power, capacity, and portfolio management tools. Together, we have a real opportunity to help even more customers decarbonize.”
Bryce Smith, CEO of LevelTen Energy
