Startups to Watch: Picosolar scores $800,000 in capital funding
by October 23, 2014 3:06 pm 113 views
It’s payday for Douglas Hutchings, CEO of Picasolar and his team who want to take their technology to the next level. The Fayetteville-based startup has announced approval of a Tier 1 funding award of $800,000 from the U.S. Department of Energy SunShot Incubator Initiative.
The $800,000 award increase from the SunShot Initiative will be matched with $200,000 from Picasolar, bringing the one-year project to $1 million. The award is the result of the company’s patent-pending process to increase the efficiency of solar cells and they hope will ultimately lead to new high-tech manufacturing jobs in Northwest Arkansas.
“We are very pleased to receive the continuation of funding from the SunShot Incubator Program,” Hutchings said. “The goal of the U.S. Department of Energy SunShot Initiative is to get solar energy to 6 cents per kilowatt hour by 2020 and in doing so making solar one of the most cost-effective forms of electricity generation on the planet. It is exciting to think that a technology invented in Fayetteville by UofA graduates can play a big role in this process.”
"This award is a significant step forward for Picasolar and will help us scale up the technology over the next 12 months. This has been an amazing few weeks for the entire team. Between SXSW Eco, the SunShot Award and building incredible new partnerships it is certainly an exciting time. It makes you wonder what next month holds," Hutchings told The City Wire.
Picasolar’s grant was one of 20 given to small businesses nationwide totaling more than $14 million and made public Wednesday (Oct. 22) by Energy Department Secretary Ernest Moniz.
“As U.S. solar installation increases and the cost of solar electricity continues to decline, solar energy is becoming an increasingly affordable clean energy option for more American families and businesses,” Moniz said. “The projects announced today will help the U.S. solar energy industry continue to grow, ensuring America can capitalize on its vast renewable energy sources, cut carbon pollution, and continue to lead in the world in clean energy innovation.”
This is the second award for Hutchings as his sister company – Silicon Solar Solutions – obtained $500,000 from the SunShot opening program in October last year.
The SunShot program provides early stage assistance to help startups commercialize their inventions while also encouraging private sector investment.
“The SunShot program is phenomenal,” Hutchings said. “In addition to the financial support, we get to work with world-class scientists at Department of Energy national labs for third-party validation and technical expertise. This award is a huge milestone for Picasolar.”
The City Wire tagged Picacolar as one of its five startups to watch this year and regularly reports on the progresses and setbacks these young companies face in trying to raise funding, ramp up hiring and bring products to market.
Picasolar was launched in 2013 after chief technology officer Seth Shumate invented the hydrated selective emitter for N-type solar cells that showed promising results. Picasolar filed for full patents that same month. Hutching said the emitter for N-type solar cells increases the efficiency of solar cells by 15%, enough to save the average-sized solar panel manufacturer $120 million annually He said the end game is reducing the costs so it’s more affordable for consumers.
“If successful, the emitter represents the single largest technology leap in solar power in 40 years,” Hutchings said.
Picasolar is working in partnership with its research partners at the Georgia Institute of Technolog,y and Roth & Rau, a German solar energy company. PicaSolar partnered with China-based Yingli Solar, a large solar manufacturer.