ZynexGroup installs its first battery storage system: “It’s a milestone for us”

ZynexGroup is currently installing its first battery storage facility, which marks an important step for the young energy company. Located at Brædstrup Erhvervspark, the facility will serve as tangible proof that the company’s solution works in practice.

“It’s important to us that we can bring our customers out here and say: We’re not just saying that we can do it. The facility is right here, and it works,” says Kristian Bilstrup, CEO of ZynexGroup.

Kristian Bilstrup & Søren Pedersen, ZynexGroup

Aiming to utilize unused capacity

ZynexGroup installs and sells battery storage systems to commercial customers. The company primarily targets businesses with large electricity connections, such as manufacturing companies, farms and larger building complexes, where there is often unused capacity in the electricity grid. Kristian Bilstrup explains that it is precisely this unused capacity that the company aims to help customers make use of.

“Most businesses actually have an expensive grid connection that is sitting unused. With a battery, they can start making use of that resource.”

More specifically, ZynexGroup offers three key benefits:

• A stable monthly income
• Increased security of supply in the event of power outages
• A green profile and marketing value

At the same time, the company is focused on making battery investments financially accessible to its customers:

“It has to make financial sense. Otherwise, it won’t become a widespread success,” says Kristian Bilstrup.

The first facility

The company is currently working to get its first facility up and running at Brædstrup Erhvervspark. The facility will have a capacity of 1 MWh, which corresponds to the amount of energy stored in around 14 Tesla cars. It is a way of illustrating the size of the battery: if you had 14 Teslas parked next to each other, they would store the same amount of energy.

The purpose of the first facility is not only to operate the system, but also to document and learn from it. ZynexGroup will use the facility to demonstrate that the battery can take over in the event of a power outage, that all regulatory requirements have been met, and that the system can be integrated into the energy market.

“We need to show that we have all the necessary approvals in place and that we can communicate correctly with the market and our partners,” says Kristian Bilstrup.

The battery arrived at the site at the end of May, but the final commissioning still depends on the remaining approvals, Kristian explains:

“We hope to have it up and running within the next two months.”

The facility will be permanent and is expected to operate for at least 20 years.

From startup in INCUBA to first facility

For ZynexGroup, the project marks a crucial step from theory to practice. The company has been working on the solution for more than a year but has lacked practical experience. That is something they are gaining now. At the same time, the project gives the company a much stronger position when engaging with customers.

Kristian Bilstrup points out that the biggest challenge in getting the project off the ground has not been the technology, but rather bureaucracy:

“Approvals, approvals, approvals. That is the biggest challenge, and probably also the reason why Denmark is not further ahead than Germany and Sweden.”

ZynexGroup has been based at INCUBA throughout the process and continues to have its base here, which has played an important role in the company’s development.

“INCUBA has given us a stable framework and an office at a reasonable price. That has been very important to us as a newly established company,” says Kristian Bilstrup.

He particularly highlights the professional environment and facilities as significant advantages:

“There is a good working environment here, where we are surrounded by other companies. We have access to good meeting rooms when customers visit, which means we can present ourselves professionally.”

A secure investment

A central part of ZynexGroup’s strategy is to make battery storage a stable and predictable investment. While many players in the market leave customers to bear the risks of a fluctuating energy market, ZynexGroup has chosen a different approach.

“We guarantee that the facility will pay for itself within six years. The customer receives payment directly from us,” explains Kristian Bilstrup.

This means that customers are not exposed to fluctuations in the electricity market, which can otherwise make investments uncertain.

According to Kristian Bilstrup, this financial security is precisely what is needed to bring more businesses on board:

“You can’t just say that you want to contribute to the green transition. It has to make financial sense for the individual business.”

The next step

Once the first facility is up and running, the next step is clear:

“As soon as the facility is operational, it’s all about sales and growth,” says Kristian Bilstrup.

The ambition is to be able to set up new facilities faster, ideally reducing the process to around four months per project. At the same time, ZynexGroup has a clear ambition to make it easy for businesses to invest in energy storage and the green transition without taking on significant financial risk.

“We’re turning it into an investment where you get both a financial return and the opportunity to help move development in the right direction,” Kristian Bilstrup concludes.