Europe’s electric car charging market is gaining momentum First sale to Chakratech in Germany, as part of a contract worth about 1 million euros for the construction of two fast charging facilities for electric vehicles | The agreements with the customer are the infrastructure for the construction of additional facilities in the near future, with the potential to increase orders by about 4 additional systems | The fast charging facilities will also be set up in places where the power grid is limited in power
Shi Klein 07.12.2021
Chakratech today announces the first sale of a high-speed electric vehicle charging system it has launched in Germany. As part of the agreement signed between the German company EES, which is the local partner of Chekratek, and an investment company based in Germany with experience and reputation in initiating investments in income-producing properties in the fields of energy. The agreement signed is for cooperation in the construction of 2 facilities for fast charging of electric vehicles that will incorporate the company’s 100 KPB products, which are used to strengthen the power grid at the fast charging site and enable acceleration of the charging rate.
This sale is part of the implementation of the company’s strategy to introduce its products to the international market of electric vehicles which is growing rapidly and needs fast charging stations to reduce range anxiety.
A kinetic storage system will be installed at each of the sites and these systems are used as an enabler for fast charging of electric vehicles, despite the limitation of the power grid at these sites.
The scope of the investment in the construction of the two facilities is about 1 million euros, with about 70% constituting the consideration to Chakratech for the supply and installation of the kinetic storage systems.
Following the construction of the facilities, the facilities will be operated by Chakratek’s partner in Germany, for 15 years + an option for another 5 years.
Chakratech will be entitled to additional revenue for the maintenance and operation of storage systems during this period.
A profit-sharing mechanism has been established according to which Chekratech will be entitled to approximately 15% of the operating profit of the fast-charging facilities.
The agreements with the client, an investment company in income-producing properties in Germany, are the infrastructure for the construction of additional facilities. Additional sites have been identified in Germany, which have the potential for additional engagements in the near future, with the potential to increase orders for the new model of the kinetic storage system, in about 4 additional systems.
According to Boaz Weiser, CEO of Chekratech: “I am pleased to update on the first commercial transaction of the advanced generation of our kinetic storage systems, and in one of the most advanced markets in the realization of the electric vehicle revolution – in Germany. This agreement, in which we will provide a complete and clean turnkey solution for 2 fast charging facilities for electric vehicles, is a testament to the significant added value that our storage systems bring to our customers, their ability to be enabler for setting up fast charging facilities for electric vehicles even in places where the power grid is limited. This is a significant expression of confidence in the technology we have developed and the uniqueness and potential of the advanced product, the KPB100, which will be launched in early 2022.
“This deal is an example of how we have implemented the strategy for introducing our products and educating the market about their benefits, while providing a complete, turnkey solution of fast charging facilities with the help of local partners with complementary capabilities. This deal also serves as a model for other customers and positions us as a significant player in the electric vehicle charging infrastructure market in Germany, and in Europe in general, the first to provide a solution to the electricity grid infrastructure gap economically, proven, and green, non-battery based.
“We are coming up with the right solution at the right time, for a market that is growing tremendously and is expected to receive significant windfall from government and private investment in building the infrastructure that is critical to realizing the vision of the transition to electric vehicles. I am happy and proud to take part in this revolution, with a unique solution based on Israeli innovation, is an enabler for a fast-charging infrastructure in a wide distribution and everywhere. I believe that this engagement is a first swallow and further on we will gain a lot of interest in Germany and other countries across Europe and thus it reflects the huge potential that the company’s products have in the rapidly evolving market of fast charging infrastructures for significant vehicles.