Electra Wins New NIS 120 Million Energy Storage Contract for Future Energy
Electra has signed another deal in the energy storage market, agreeing with Future Energy to design, build and operate storage facilities with a combined capacity of about 300 megawatt-hours. The contract is worth NIS 120 million, and the project is expected to start immediately, with construction scheduled to take about two years.
The facilities will help Future Energy fulfill an agreement it signed in February with Cellcom Energy to provide 212 megawatt-hours of storage capacity. Future Energy had agreed then to build five storage facilities with 45 megawatts of power and 212 megawatt-hours of storage, in a deal valued at NIS 580 million.
This is Electra’s third storage-related contract in recent months, bringing the total value of those three deals to more than half a billion shekels. The earlier agreements were with Gav-Yam and Meshek Energy, together worth about NIS 400 million. The Gav-Yam deal, signed in April, covered stand-alone storage projects totaling about 100 megawatts and about NIS 150 million in investment, while the Meshek Energy deal involved supplying and installing storage systems in the company’s solar projects in kibbutzim.
Future Energy, which began operating at the start of the current decade, works in electricity generation, supply and storage in Israel, but has no commercially operating facilities yet. The Electra agreement covers construction only and does not include long-term operation. The work will be carried out by Electra Energy Solutions, the group’s energy arm in its Israeli contracting business. Electra CEO Itamar Deutscher has said such projects are meant to open the door to later operation and maintenance contracts, creating recurring income rather than a one-time construction payment. He noted that this is important because the company’s operations, service and maintenance division had the highest profit margin in the first quarter, at 8%, with annual EBITDA of about NIS 650 million and an expected increase of another NIS 100 million by 2028.
