Munich-based startup Co-Power has raised €6.4 million (US$7.3 million) to expand its energy infrastructure solutions for Europe’s industrial sector.

The round was led by Cherry Ventures, with participation from Abacon Capital, Aurum Impact, and former Encavis CEO Dierk Paskert.

Founded in 2024, Co-Power installs and operates on-site battery storage and solar PV systems for industrial clients, offering up to 50% energy cost savings without upfront investment.

The funding will support Co-Power’s rollout of large-scale systems and the launch of an industrial virtual power plant.

This decentralized energy network aims to stabilize renewable energy supply, reduce price volatility, and improve resilience.

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🔗 Source: EU Startups

🧠 Food for thought

1️⃣ Europe’s renewable transition creates both opportunity and price volatility

The European energy market is experiencing significant transitions that Co-Power is strategically addressing.

According to EU data, April 2024 saw a record 54% of electricity generated from renewable sources, with solar generation increasing by 19% (adding 38 TWh to the grid) while fossil fuel generation dropped by 10% 1.

This shift has already begun impacting prices, with wholesale electricity prices averaging 74 €/MWh in 2024, marking a 22% year-on-year decrease, while retail prices for households have declined by 7% to 242 €/MWh 1.

However, the intermittent nature of renewable energy creates challenges that storage solutions like Co-Power’s are designed to solve. Seasonal demand fluctuations have driven gas consumption up 8% year-on-year to 103 bcm in Q4 2024, showing how volatile energy requirements remain 1.

The startup’s focus on industrial customers particularly targets the sector most vulnerable to these price fluctuations, as businesses cannot quickly adjust their production schedules to match renewable energy availability.

2️⃣ Energy storage startups gaining momentum amid broader greentech investment surge

Co-Power’s €6.4 million funding round reflects a broader pattern of increasing investment in energy innovation across Europe.

The European Institute of Innovation & Technology (EIT) reports that startups in their portfolio focused on sustainability have reached a combined valuation exceeding €71 billion, demonstrating significant investor confidence in the green transition 2.

This funding environment is bolstered by specialized investors, with venture capital firms like Primo Climate, Ecosummit, and Set Ventures increasingly focusing on sustainable energy solutions that address climate resilience 3.

The EM-POWER EUROPE 2025 event highlights that startups are concentrating on technologies Co-Power is developing, such as smart grids, renewable energy integration, and energy efficiency systems that can transform how industrial users consume power 4.

Companies like Spine GmbH (turning electricity meters into smart control hubs) and Bohr Energie (helping producers optimize energy sales through real-time market data) demonstrate the diverse approaches emerging in this sector 4.

3️⃣ Battery storage creating critical flexibility for renewable-heavy grids

Co-Power’s focus on battery storage addresses a fundamental challenge in renewable-dominated energy markets that research increasingly validates.

The National Renewable Energy Laboratory’s Storage Futures Study predicts energy storage capacity will increase five-fold by 2050, highlighting the essential role of storage in maintaining grid reliability as renewable penetration increases 5.

The study specifically emphasizes the synergy between solar photovoltaics and storage technologies, which aligns with the combination Co-Power is deploying for its industrial clients 5.

Research on solar technology advancements shows this approach has significant headroom for improvement, with innovations like tandem solar cells achieving 23.6% efficiency rates and new applications such as floatovoltaics expanding deployment possibilities 6.

By installing these technologies directly at industrial sites, Co-Power’s model aligns with the industry trend toward decentralized generation that reduces transmission losses and provides localized resilience against grid disruptions.

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