LG Chem said Wednesday it has inked a partnership deal with Canadian-based power conversion system developer Eguana Technologies (EGT:CA) as part of its strategy to expand its presence in the growing North American energy storage market.
The Korean battery maker said the two companies will develop energy storage systems for homes, with an aim to launch the first system in the latter half of this year in the United States and Canada.
The system, combining LG Chem’s lithium-ion batteries and Eguana’s power conversion system, reduces costs for purchase and maintenance as it can be installed in homes with solar rooftops without changing existing facilities, the company said.
|LG Chem researchers work on a home energy storage system at the company’s research center in Daejeon. (LG Chem)|
LG Chem will use Eguana’s sales network in North America and Europe to secure new clients, while Eguana hopes to further elevate its market share in the regions. Eguana, a leading power conversion system developer, makes up more than 30 percent of the European home inverter market.
Starting with the new strategic partnership, LG Chem said it will beef up its business in North American where the home energy storage market is expected to surge from this year’s 49 megawatts of capacity to 950 megawatts by 2020.
The company also plans to extend ties with local renewable energy companies and key suppliers in the future, taking advantage of the region’s growing incentives for energy storage system installers.
“With the partnership between the two companies with the world’s best energy storage technologies, we have paved the way to lead the home energy storage market in North America,” said Jang Sung-hoon, head of energy storage system business at LG Chem. “We aim to become the global No. 1 in the field.”
By Lee Ji-yoon (firstname.lastname@example.org)
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