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"Virtual power plant" Recurve raises $18M

Megan Hernbroth
Aug 30, 2022
Illustration of an electricity pylon with a dollar sign at the top.
Illustration: Gabriella Turrisi/Axios

Recurve, a data software startup for utilities, has raised $18 million in Series B funding, the company exclusively tells Axios.

Why it matters: The historically dull utility space is increasingly exciting for investors as the renewable energy push reshapes the sector.

Details: Calpine Energy Solutions led the all-equity round with participation from Quantum Energy Partners, Toshiba Energy Systems & Solutions and existing investor Energy Foundry.

  • Calpine and Quantum Energy Partners are both getting board seats as part of the round.

How it works: Recurve's software analyzes energy use and makes recommendations to utilities and grid operators using data from individual smart meters.

  • It relies on open source software for its recommendations, which CEO Matt Golden says could help standardize energy savings measurements across different stakeholders.
  • Its software also creates what Golden says is a "virtual power plant," where utilities can tell customers how much they are willing to pay for reduced energy use during peak times in something of a reverse PPA structure.

Between the lines: Recurve is primarily a software-as-a-service business and is primarily a middle party between grid operators and energy users.

The bottom line: Calpine Energy Solutions and Quantum Energy Partners play a dual purpose as investors in and potential customers of Recurve, an edge for the startup in an increasingly competitive sales environment.

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