Battery Swapping Company RACEnergy Raises $3 Million in Pre-Series A Round
RACEnergy, a Hyderabad-based deep-tech battery swapping company, raised $3 million in debt and equity in a pre-series A round of funding.
Growx Ventures led the round, which also included Micelio Mobility, Huddle, and several angel investors.
RACEnergy has so far raised $6 million in funding. It plans to use the funds to further develop its battery-swapping technology and build new facilities to support its expanding operations.
According to the company, its swappable battery technology recently received AIS-156 Phase 2 certification.
“We are humbled by our investors’ confidence in our technology and its potential to drive the adoption of electric mobility across India. The capital will enable our expansion to new markets and further develop our swapping technology for two-and-three wheelers. It will also help scale our operations with a new facility in the pipeline,” said Arun Sreyas, Co-Founder of RACEnergy.
RACEnergy claims that its technology allows discharged batteries to be swapped in 4 seconds, allowing users to stay on the road for longer periods of time. It has 3 million green kilometers under its belt and facilitates 500 swaps per day on its network.
The NITI Aayog has proposed a policy to encourage battery swapping with advanced chemistry cell batteries in order to decouple battery costs from the initial costs of purchasing electric vehicles.
The policy also establishes technical standards for the interoperability of components within a battery-swapping ecosystem. The policy would use regulatory tools to derisk the battery-swapping ecosystem and open up access to competitive financing.
The Ministry of Road Transport and Highways issued amendments in September that added new safety requirements for battery cells, battery management systems, onboard chargers, battery pack design, and thermal propagation due to internal cell short circuits that cause fires.
Chhattisgarh, Rajasthan, and Punjab have all issued policies outlining incentives for battery-swapping stations as well as the construction of charging infrastructure in their respective states.
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Content Credit: MERCOM CLEAN ENERGY ISIGHTS