As the energy transition accelerates and more and more renewable energy is installed, so does the need for battery parks that stabilize the electricity grid. Soltech Energy Solutions has now helped Kvänum Energi in its battery investment in Varaslätten, which will be the first battery installations in connection with wind turbines in the area. A total of three batteries have been installed, with a total output of 3 MW.

The battery installations now enable the storage of excess energy from the wind turbines, ensuring a more even energy supply even when wind conditions vary. They will also contribute with local flexibility, power cutting at peaks and support services to Svenska kraftnät. In the project, Soltech Energy Solutions has been the project manager in collaboration with the sister company Provektor, which has assisted with the AC installations.

– It feels great that we have now designed and commissioned several large-scale batteries that complement the wind turbines. Together, a smart and robust hybrid solution is formed where wind power produces renewable electricity and the batteries store the electricity, increasing the utilization rate of existing grid connections and stabilizing the electricity grid. We are very pleased to be able to help Kvänum Energi with their future investment, says Daniel Grandin, Key Account Manager at Soltech Energy Solutions.

Growing area for Kvänum Energi
Kvänum Energi has been around for over 50 years and is an energy company that provides renewable electricity in the form of electric power and heat, a well-functioning grid and various solutions in bioenergy. The energy company sees it as an important step to invest in battery storage that contributes to the green transition and a reliable and flexible electricity grid.

– The fact that we, together with the end customer, are now commissioning a large-scale battery investment as a complement to the wind turbines is very valuable. In order to contribute even more to the green transition and consolidate our position as a pioneer in sustainable energy, this is an important solution for the future. We thank Soltech and the end customer for a good collaboration and are pleased that the batteries can now start to make a difference, says Johan Lindqvist, CEO of Kvänum Energi.

The Spanish solar energy company Sud Renovables, which became part of the Soltech Group in 2022, is active in solar energy and storage solutions for self-consumption of solar energy. The projects often consist of large-scale solar facades, roof-mounted solar systems, solar roofs for parking spaces and floating installations.

The company has now designed and installed the Balearic Islands’ largest floating solar installation on a rainwater collection pond in Capdepera, Mallorca. The investment is part of the municipality’s investments in renewable energy. The installation will also include bird protection devices to prevent interference from birds.

– After constructing the first floating installation in Catalonia, we are very proud to continue to grow in this type of solar installation, now in Mallorca. Floating solutions are very important in our area in southern Europe to help save water and as an alternative to using agricultural land. This is further proof that solar technology is fully compatible with agricultural operations, says Manel Romero, Chief Technology Officer and Co-Founder at Sud Renovables.

Reduces evaporation and increases the power of solar panels
Previously, Sud Renovables designed and installed Catalonia’s first floating solar system on top of a rainwater collection pond. This type of solution is expected to grow in number in the future as floating solar energy installations have a number of advantages, in addition to producing renewable solar electricity.

– First of all, I would like to congratulate Sud Renovables for completing a very inspiring project. Floating solar systems reduce evaporation of water dams, which is important in regions prone to drought. The water, in turn, helps to cool down the solar panels, which increases their output by 10-15 percent. We expect an increased demand for this type of installation and it feels great that our subsidiary is an industry leader in the field, says Patrik Hahne, CEO of Soltech Energy.

Photo: Sud Renovables/G-ener Renovables

The façade company Essa Glas & Aluminium has been part of the Soltech Group since 2022. The company performs exterior and interior glass solutions, solar facades and roof-mounted solar energy solutions for commercial properties. The business is run from the production facility in Örebro, but the company carries out projects in several of Sweden’s metropolitan regions.

They will now assist the real estate company Atrium Ljungberg in the development of the block that will be developed in the Slakthusområdet area. Among other things, renovation of a 100-year-old warehouse building with new facades, as well as all windows, roofs and facades for a new building in the block, is being carried out. The assignment also includes the design and installation of a roof-mounted solar solution of 102.7 kWp with two associated battery installations.

– It feels great to be able to carry out a project that clearly shows the strength of our overall offer. Everything from glass, roof and façade contracts to solar energy and batteries, and I am proud of how we have managed to broaden our offering. I would like to thank Atrium Ljungberg for the trust and for allowing us to contribute to the development of the area, says Ola Karlsson, CEO of Essa Glas.

Past meets future in Slakthusområdet
The block is undergoing a comprehensive transformation to integrate historic architecture with modern features. Among other things, both the preservation of the warehouse building and a new office building.

Photo: Atrium Ljungberg/Soltech

In recent years, Soltech Energy Solutions has developed the Development business area, which is active in large-scale ground-based solar parks. The company develops solar park projects that can also be supplemented with energy storage solutions with batteries. The project portfolio includes building rights and lease agreements of land, where the majority of the projects in the development phase are located in the electricity grid area SE4. If all the solar park projects in the portfolio were to be realized, the solar park portfolio corresponds to a land area of approximately 3,300 full-size football pitches.

– I am very pleased that we can now announce that over 600 MWp of our solar park projects have been approved by the County Administrative Board, which in itself corresponds to a land area of almost 1.000 full-size football fields. I want to dedicate this milestone to the solar park team here at Soltech Energy Solutions, who do a fantastic job every day to further develop our projects, says Christoffer Caesar, CEO of Soltech Energy Solutions.

Solar parks and batteries in combination
The strategy for the solar park portfolio is to divest the projects on an ongoing basis, in clusters or individually, as the projects are completed and ready for construction. In addition to large-scale solar parks, the need for energy storage solutions is also increasing. By offering energy storage with batteries together with the solar parks, the company is creating a solution that, in addition to the production of renewable electricity, also can contribute to reduced power problems and stabilization of the electricity grid.

The process of building a solar park:

1. Identification & analysis
2. Feasibility study
3. Environmental assessment (At this stage, the County administrative board determines whether the solar park can be built on the site)
4. Detailed design & procurement
5. Construction of the solar park
6. The park generates renewable electricity

* A football pitch is estimated to be 7,140 sqm. 1 ha = approx. 0.85 MW

Soltech Energy Solutions is active in large-scale solar energy and energy storage solutions for property owners and energy companies, among others. The company has over 30 years of experience in creating smart and cost-effective renewable electricity production for commercial properties, not least in the growing segment of logistics properties.

The company has now signed a new agreement with logistics property developer Logicenters for a new solar energy solution in Kronoslätt’s industrial park, corresponding to an area of approximately 20,000 sqm.

– This is our 13th facility that we are constructing together with Logicenters, and it feels great that Soltech has continued to be entrusted. Logicenters has ambitious goals for its climate initiatives and continues to prove its ambitions. This time it also feels great that we are collaborating with our sister company, the electrical engineering company Provektor, in the project, and we look forward to starting the installation, says Daniel Grandin, Key Account Manager at Soltech Energy Solutions.

The new facility is expected to be completed in the second quarter of 2025, with commissioning in June.

– We have a clear strategy to develop sustainable logistics properties for our customers and invest in smart energy solutions. The fact that we are now building one of our largest solar plants is an important step in our work to reduce the climate footprint and make our properties more energy efficient. The solar installation in Kronoslätt’s industrial park is estimated to produce about 2,050 MWh per year – equivalent to the electricity consumption of 580 households or enough to power an electric car 270 times around the world, says Jon Malmsten, Solar Energy Expert at Logicenters.

CEO comment:

The long-term increased need for solar energy and energy storage remains and is becoming an increasingly important part of electrification and the energy transition. In the short term, we have had a continued challenging market to navigate in the quarter.

In the quarter, we saw a continued positive development in demand in the solar business segment in Sweden. It is also gratifying to see how our Roof, Façade and Electrical Engineering businesses continue to develop with stable core businesses and at the same time broaden the offering to include not only solar energy solutions, but also charging infrastructure and energy storage on both a larger and smaller scale. Despite a weak construction economy, we have managed to maintain relatively stable volumes in the quarter through a focus on energy solutions, service, maintenance and renovation work.

The decrease in the Group’s net sales for the full year 2024, compared to the previous year, is mainly explained by the decrease in net sales in the solar consumer market in all our geographic markets of the Netherlands, Spain and Sweden.

During the quarter, we have continued working on cost adjustments, efficiency improvements, and pricing. Throughout the full year of 2024, we have, among other things, reduced the workforce, and the cost savings implemented during 2024 are expected to take full effect in the second quarter of 2025.

In the fourth quarter, we strengthened our cash position, mainly as a result of positive changes in working capital, but also as a result of our sale of the Ramsjöholm solar park. It is gratifying that we have now completed our first transaction, in line with our strategy. This has freed up capital for future potential transactions.

I continue to have a positive view of the future, where solar energy and Soltech’s solutions in electrification create great opportunities over time. The upcoming EU requirements for solar energy on properties, together with society’s electrification with increased needs for energy storage and charging infrastructure, combined with monitoring, control and optimization, create new business opportunities. The latest interest rate cuts also create better prospects for our base in construction and construction. With our broad business base and expertise as well as the ability to offer technically advanced complete solutions, we are in a strong position to meet increased and new needs.

Patrik Hahne, CEO

Read the CEO’s comment in its entirety in the quarterly report.

QUARTER 4: 1 OCTOBER – 31 DECEMBER

• Net sales amounted to SEK 664.3 (740.6) million
• The Group’s organic growth amounted to -10% (-3)
• EBITDA amounted to SEK 61.3 (58.1) million. EBITDA margin amounted to 9.2% (7.8)
• EBITA amounted to SEK 39.9 (41.5) million. EBITA margin was 6.0% (5.6)
• Profit after tax for the period amounted to SEK -217.5 (-120.2) million
• Cash flow from operating activities amounted to SEK 100.6 (102.4) million. Cash flow for the period amounted to SEK 126.6 (50.8) million
• Earnings per share before and after dilution amounted to SEK -1.64 (-0.91)

FULL YEAR: JANUARY 1 – DECEMBER 31

• Net sales amounted to SEK 2,405.8 (2,904.4) million
• The Group’s organic growth amounted to -18% (26)
• EBITDA amounted to SEK 197.0 (128.5) million. EBITDA margin amounted to 8.2% (4.4)
• EBITA amounted to SEK 129.5 (75.4) million. EBITA margin was 5.4% (2.6)
• Profit after tax for the period amounted to SEK -278.1 (-165.9) million
• Cash flow from operating activities amounted to SEK 91.5 (-0,9) million. Cash flow for the period amounted to SEK 21.7 (-62.5) million
• Earnings per share before and after dilution amounted to SEK -2.10 (-1.25)

SIGNIFICANT EVENTS DURING THE QUARTER

• Soltech launched the Soltech Home concept, needs-based solar energy solutions that enable optimization of energy production, energy use and reduced energy costs for private individuals and farmers

• The solar tech company E-Mobility has developed and installed Stockholm’s first mobile fast charger for electric boats. The charger has an output of 200 kW

• Solpark Ramsjöholm (11 MW) has been divested to Alight. Operation and maintenance will be handled by Soltech in the future through an operation and maintenance agreement

• The signing of a new battery agreement with the battery company CA Batteribalans regarding assistance with the design, installation and commissioning of a large-scale battery park of 28 MWh. The battery storage facility will be built in Lerum and the installation is expected to be commissioned in April 2025

• Completion of a battery park with a capacity of 42 MWh in collaboration with Hylte Paper. The installation is part of the previously communicated long-term energy collaboration, which in addition to batteries also includes Soltech assisting Hylte Paper with smart control, high-voltage equipment, batteries, integration with various arbitrage, operation and maintenance and other services. As previously communicated, the energy collaboration is expected to generate a business value of over SEK 250 million for Soltech over a 20-year period, with the majority of revenues in the first three years. The installation is now undergoing a trial period

SIGNIFICANT EVENTS AFTER THE PERIOD

• No significant events after the period

The quarterly report and other financial reports are available at: https://soltechenergy.com/en/investors/financial-reports-calendar/

Borlänge-based E-Mobility is the Soltech Group’s company with specialist expertise in large-scale installations for electric car charging and high-efficiency charging infrastructure. Since the company was founded, they have designed, installed and maintained thousands of charging points across large parts of southern and central Sweden. Their new project will be carried out in Nacka, just outside Stockholm. The deal covers the design, installation and operation of at least 100 charging points for the real estate company Elisby Fastigheter, who also chose E-Mobility as a supplier for the operation and maintenance of the installations. Construction will start in April.

– It feels great to be entrusted with carrying out a new charging infrastructure project for a real estate company that focuses on sustainability. Now we are helping them adapt their parking spaces to the new EU requirements for charging infrastructure, says Maja Pettersson, Key Account Manager at E-Mobility.

New EU rules from 2025 – expected to be further tightened in 2027
At the turn of the year, a new EU directive came into force, requiring commercial properties, such as shopping centers and sports halls, with 20 parking spaces or more to offer at least one charging point. The basis for the new requirements is the EU Energy Performance of Buildings Directive (EPBD). However, the EU’s ambition to expand the charging infrastructure in the Union does not stop there. As early as 2027, EU regulations are expected to be further tightened to require at least one charging point for every tenth parking space.

– The new EU rules are beneficial and will make it easier to be an electric car user in Sweden. However, we have noticed that many property owners are not aware of the new regulations or what is expected of them. Therefore, we would like to offer some advice on what to consider when adapting your parking spaces to current requirements, while also future-proofing them to meet even stricter regulations, says Martin Götesson, CEO of E-Mobility.

Important things to consider as a property owner – and to avoid pitfalls:

• Map both parking spaces and electrical systems
  Start by taking stock of your electrical system and your parking spaces. Check whether your electrical installations can handle the extra load that charging posts entail or if reinforcements are needed. Thorough planning and a careful selection of services reduce the risk of problems later on and can also ensure hassle-free ownership, including operation, monitoring, and individual billing.
• Future-proof
  The new requirements have just come into force, but in 2027 the requirements will be tightened, as one charging point must be available for every tenth parking space, and 50 percent of the spaces must be prepared for charging. By planning for future needs, you can avoid unnecessary costs for remodeling later on.
• Use financial support
  Apply for a grant via, for example, Klimatklivet, which can cover up to 50 percent of the costs of installation and materials.

Avoid pitfalls such as:

• Deficient analysis
  Make sure to carefully analyze your electrical system before installation. If the electrical system cannot cope with the increased load, it can lead to expensive upgrades later.
• Installing minimum requirements
  Installing only at the minimum level can lead to future renovations and costs as requirements become stricter over time. Think long-term to avoid this.
• Starting too late
  It is wise to start planning immediately, the new requirements are already in place. If excavation work is required, it can be significantly more difficult to carry it out during the winter when it is cold or the ground is frozen. Being proactive can save both time and money in the long run.

Read more about E-Mobility:
https://kalemaemobility.se/

Sweden is facing a capacity shortage where electricity is not enough to meet the growing need, especially in the transport sector and in industrial transition. By storing surplus energy from renewable sources such as solar and wind, large-scale battery parks can release this energy when needed. This helps to balance demand and reduce the load on the electricity grid, helping to reduce energy costs and increase the reliability of the energy supply. Battery parks therefore play a crucial role in stabilizing the electricity grid and improving the efficiency of the energy system.

Over the past two years, Soltech Energy Solutions has aimed to install 150 MWh of battery parks for its customers. A milestone that has now been reached. The company has thereby consolidated its position as one of the market-leading players in large-scale battery parks in Sweden and the Nordic region.

– We are proud to have reached 150 MWh of installed capacity and for our growing market share. This is proof that we have built a brilliant team that in a short time has delivered large amounts of technically complex and large-scale energy storage projects. I am very proud that the battery team at Soltech Energy Solutions creates great value for our customers every day, says Christoffer Caesar, CEO of Soltech Energy Solutions.

Several tech solutions in combination
The battery projects are carried out for a number of different customers and, in addition to the batteries themselves, often include smart control, integration with various arbitrage and subsequent operation and maintenance. Customers are found in various industries, including transport and logistics companies, other solar energy companies, but often also municipal energy companies.

– Although we are now passing a milestone, we are aiming even higher. Our power system is facing a challenging transition that is increasing the demand for new technology, new services and commercial models, something that Svenska kraftnät also highlighted in its latest report. As an industry leader, we must therefore continue to revolutionize the energy landscape in collaboration with Huawei and other suppliers, facilitate the energy transition and stabilize the grid, concludes Christoffer Caesar.

The battery park in Hylte will enable Hylte Paper to streamline the use of its self-produced green electricity. The battery park and related services also help reduce power peaks and provide support services to the regional electricity grid.

– We are very pleased to have completed one of Sweden’s largest battery parks together with Hylte Paper. The energy collaboration shows how technology and sustainability ambitions can work together to strengthen the industry’s green energy supply and at the same time support the electricity grid. The team led by project manager Anders has made an outstanding effort, which has enabled us to deliver this installation before the scheduled delivery time, says Rickard Lantz, Business Development Manager, Soltech Energy Solutions.

Hylte Paper, part of the Sweden Timber Group, manufactures sustainable paper products and already has a biomass boiler that contributes with green base power to the electricity grid. Through this project, they further strengthen their position in the green transition.

In recent years, Soltech Energy Solutions has established itself as a market leader in large-scale battery parks and energy storage. An area that is growing in importance for harmonising the important balance between electricity production and consumption and for meeting increased power demands. Large-scale battery parks also help to smooth out price fluctuations and can thus quickly prevent volatility and stabilise electricity prices.

The companys has now commissioned another battery park. The installation in Falun has an output of 12 MWh and has been designed and built during the year for the municipal energy company Falu Energi & Vatten. Thus, the battery park is ready to support Falun’s local electricity grid and the energy company’s customers. The installation will also be connected to Svenska kraftnät’s support service market for further optimisation. Going forward, Soltech will assist with the operation and maintenance of the battery park.

– We are very pleased to have commissioned the battery park, which will directly create benefits for the energy company and will strengthen the local electricity grid. We would also like to thank Falu Energi & Vatten for a great collaboration throughout the process. This installation is further proof that we can create great value for our customers through our expertise in large-scale and technically complex battery parks, says Zen Dinha, Business Engineer at Soltech Energy Solutions.

– This is an important investment for both us and our customers. The battery makes the local grid stronger and helps us meet the future need for flexibility in the energy system, says Markus Åkerberg, Head of Electricity Networks, City Networks and Energy Services at Falu Energi & Vatten.