Power and automation company, ABB, and Samsung SDI, a leading manufacturer of lithium-ion batteries, have signed an MoU to develop microgrid solutions globally.
The two companies will establish a global commercial alliance to develop and market modular and scalable microgrid solutions, utilising lithium-ion batteries for energy storage.
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Microgrids are modern, small-scale versions of the centralised electricity system which aim to achieve specific local goals, such as reliability, carbon emission reduction, diversification of energy sources, and cost reduction.
The combination of ABB’s global market presence, its leadership in grid technology and its global service footprint with Samsung SDI’s leading lithium-ion battery technology will enable accelerated growth of the market. It will make microgrids a viable alternative to promote and broaden access to electricity in emerging markets and remote areas while providing power reliability, resiliency and security to developed markets.
“ABB is very pleased to sign this Memorandum of Understanding with Samsung SDI. Microgrid applications are expanding rapidly, both in emerging and developed markets, and are a key growth area in ABB’s Next Level strategy,” said ABB CEO Ulrich Spiesshofer. “This strategic alliance allows us to combine our complementary capabilities and will enable us to bring optimised solutions to our customers.”
“The alliance with ABB provides Samsung the basis to expand our global No. 1 position into the Microgrids market. Together with ABB we will make our utmost effort to develop new products and to pioneer new markets to keep on being the world’s best ESS company,” said Namseong Cho, President and CEO of Samsung SDI.
ABB will provide technologies for electrification, control optimization, stabilization and expert consulting services. Samsung SDI will provide the batteries and the battery management system.
According to both companies, the alliance will further strengthen ABB’s and Samsung’s ability to supply advanced solutions to the global microgrid market.