WASHINGTON--(BUSINESS WIRE)--GridPoint, Inc., a provider of intelligent energy management (IEM) products, announced the completion of a $21 million strategic financing, with significant participation from the Goldman Sachs Group, Inc. (NYSE:GS) and the execution of an agreement with Goldman Sachs’ wholly-owned subsidiary Cogentrix Energy, Inc., a leading independent power producer, to market an innovative and superior set of demand response and energy conservation solutions to electric utility companies nationwide.
GridPoint products will enable utilities to meet the rising demand for power while lowering costs and curtailing the need to build new power plants, providing significant economic and environmental benefits. For example, during periods of peak demand for electricity, a single utility that has deployed 100,000 GridPoint products across its service territory can draw upon 500 megawatts of stored capacity, equivalent to the amount of electricity generated by an $800 million coal-fired power plant.
GridPoint’s integrated demand response, conservation, and load-shaping solutions will provide utilities the opportunity to create powerful residential and commercial programs that will lower the cost of supplying electricity, reduce consumption, and increase the reliability of the electric grid. GridPoint products are equipped with utility-controlled intelligence to provide advanced power systems management capabilities.
“We look forward to working with Goldman Sachs’ Cogentrix subsidiary to deliver valuable solutions to the utility market,” said Peter L. Corsell, President and CEO of GridPoint. “The combination of Cogentrix’s deep knowledge of the utility industry and GridPoint’s advanced technology will introduce a measure of network elasticity into the electric power grid.”
The solution’s demand-side management capabilities include load control: the ability for utilities to modulate air conditioners, water heaters, and other appliances for those customers who wish to participate in exchange for a reduction in their utility bills. Additionally, unlike any other solution, GridPoint will provide utilities with supply-side management: the ability during peak demand periods to access energy stored at a customer’s site from either batteries or a distributed generation source such as solar panels, wind turbines, or fuel cells.
GridPoint also announced that Larry Kellerman, a Managing Director of Goldman Sachs and President of Cogentrix, and Robert Mancini, a Managing Director of Goldman Sachs, will join the company’s board of directors.
“We want to help utilities access cost-effective and environmentally advanced means of supply and demand management,” said Mr. Kellerman. “With energy demand increasing, utilities are looking for a way to provide added value to customers while reducing their carbon footprint. GridPoint’s advanced electrical gateway fulfills that need in a manner uniquely manageable and controllable by utilities.”
In addition to the environmental benefits associated with curtailing power plant development, GridPoint products represent a major step forward for the commercial success of solar and wind energy sources. GridPoint’s “plug-and-play” technology incorporates advanced computing and network controls to serve as an intelligent gateway between the electric grid and renewable energy sources.
GridPoint products will also enable utilities to offer value-added services to their customers including protection from power outages, online energy management, and the ability to easily integrate renewable energy sources.
GridPoint’s intelligent energy management (IEM) products ensure clean, reliable backup power, increase energy efficiency, and integrate renewable energy. A partner in the ENERGY STAR® program, GridPoint helps home and business owners automatically protect themselves from power outages, manage their energy online and reduce their carbon footprint. GridPoint products also provide a superior set of integrated demand response, energy conservation, and load shaping solutions to utilities, which lower the cost of supplying electricity, reduce consumption, and increase the reliability of the electric grid.
On the Net: www.gridpoint.com
About Goldman Sachs
Goldman Sachs is a leading global investment banking, securities and investment management firm which provides a wide range of services worldwide to a substantial and diversified client base, which includes corporations, financial institutions, governments and high net worth individuals. Founded in 1869, it is one of the oldest and largest investment banking firms. The firm is headquartered in New York and maintains offices in London, Frankfurt, Tokyo, Hong Kong and other major financial centers around the world.
Cogentrix Energy, Inc. is a leading independent power producer and a wholly-owned subsidiary of Goldman Sachs. Headquartered in Charlotte, North Carolina, Cogentrix owns and operates twenty electric generating facilities in North America. These plants utilize both proven and emerging technologies, as well as innovative management and operational procedures, to serve the electric energy supply needs of utilities and industrial customers.