G City Ventures Into Energy Storage, Partnering with AGEERA
Translated & summarized from Israel Hayom by baba
G City, associated with businessman Haim Katsman, is entering the energy storage market through a strategic agreement with AGEERA. The partnership will install energy storage systems at ten Israeli properties, with a total capacity of 300 megawatt-hours, starting with a 20 megawatt-hour project in Rishon Lezion. This initiative aims to reduce electricity costs and create new revenue streams by storing power during off-peak hours and using it during peak demand. G City's Deputy CEO, Keren Khalifa, highlighted the move as a way to increase returns from existing assets, while AGEERA's co-founder, Aviad Bohbot, projected significant growth in managed storage capacity.
The story in 6 lines · by baba
- G City is expanding into energy storage by partnering with AGEERA to install systems at ten Israeli properties.
- The initiative aims to generate revenue by storing electricity during low-cost periods and using it during peak demand.
- The first project in Rishon Lezion involves an investment of 12 million shekels and a 20 megawatt-hour storage capacity.
- The total storage potential across ten G City properties is projected to reach 300 megawatt-hours.
- AGEERA, founded in 2021, manages over 720 megawatt-hours of energy storage capacity.
- G City is exploring expanding this energy storage collaboration to its international properties.
G City, a company associated with businessman Haim Katsman, is expanding its operations into the energy storage sector, aiming to transform electricity consumption at its commercial centers into an additional revenue stream. The company announced a long-term strategic agreement with AGEERA to establish energy storage systems at approximately ten of its Israeli properties. This initiative has a cumulative storage potential of around 300 megawatt-hours.
The initial project will be implemented at G City's flagship complex in Rishon Lezion, involving an investment of approximately 12 million shekels and a storage capacity of about 20 megawatt-hours. This move is designed not only to reduce electricity expenses for the commercial centers but also to generate new income channels and enhance operational profitability.
The economic model relies on storing electricity during off-peak hours when rates are lower and utilizing this stored energy during peak demand periods when electricity is more expensive. This strategy allows G City to lower energy costs, optimize electricity usage, and leverage existing infrastructure within its properties. The storage systems will utilize high-capacity industrial batteries connected to the commercial centers' electrical systems and the national grid.
AGEERA's management software will analyze electricity tariffs and energy needs in real-time, managing the battery operations while minimizing wear and tear. For G City's investors, this represents an effort to increase returns from existing assets through a complementary activity that does not require additional real estate acquisition. However, neither company has released revenue or profit forecasts for the project.
Keren Khalifa, Deputy CEO of G City and CEO of the Group's operations in Israel, stated that the company is actively seeking additional income sources from its existing real estate portfolio, aiming for double-digit returns. She noted that G City's properties already feature advanced energy systems, including solar roofs and electric vehicle charging infrastructure. Khalifa described the agreement with AGEERA as a "natural and necessary step" and indicated that the company is considering expanding this collaboration to its global properties.
AGEERA, founded in 2021, specializes in developing storage facilities and energy management technologies. The company currently manages a portfolio of connected and operational facilities, as well as projects in development, with a total capacity exceeding 720 megawatt-hours. Aviad Bohbot, Chairman and co-founder of AGEERA, anticipates that its platform will manage over one gigawatt-hour of connected and operational storage facilities by 2027.
