Monthly Report

NGK Insulators and Sustech expand partnership, consider establishing BESS investment fund

October 25, 2024
NGK NAS
NGK Insulators commercialized NaS batteries. (Image: NGK Insulators)

NGK Insulators and Sustech will expand their grid-scale BESS development-related partnership first announced in September 2023, the two companies announced on October 25, 2024.

As part of the initial partnership, the two companies have been working on developing a grid-scale BESS facility using NGK’s batteries, which is expected to commission by the end of this fiscal year, i.e., by March 31, 2025. The storage plant will be used for trading in the wholesale, capacity, and balancing markets, with forecasting and profitability optimization done by Sustech’s ELIC platform.

According to the latest announcement, NGK will now also invest in Sustech and the two companies will consider establishing a BESS investment fund with Sustech serving as the general partner and NGK being one of its limited partners. “The profits earned will be returned to investors as dividends, with the aim of attracting further investment and establishing new energy storage plants,” said the statement.

NGK, a ceramics company founded in 1919, was the first company to commercialize NaS batteries, which were, among other projects, chosen for an 11.4MW/69.6MWh BESS facility being built by Toho Gas in Tsu City, Mie Prefecture, and a similarly sized facility being developed by SALA Energy in Hamamatsu City, Shizuoka Prefecture.

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