Altech Batteries Wins Preliminary €46.7M Grant for Game-Changing German Battery Project
Altech Batteries has secured preliminary approval for a €46.7 million German government grant to support its innovative CERENERGY solid-state battery project, marking a significant step in its push to commercialize lithium-free energy storage technology.
- CERENERGY battery project approved for 30% CAPEX grant worth €46.7 million
- Grant is preliminary and contingent on final financial close and 2026 German budget approval
- Project located in Saxony, Germany, supported by the STARK economic development program
- Joint venture with Fraunhofer IKTS to commercialize sodium-chloride solid-state batteries
- Altech also advancing silicon alumina coating technology for EV battery materials
Government Backing for Next-Gen Battery Technology
Altech Batteries Limited has taken a major stride forward with the preliminary approval of a €46.7 million grant from the German Federal Government. This funding, representing 30% of the capital expenditure for the CERENERGY sodium-chloride solid-state battery project, underscores the growing momentum behind innovative, sustainable energy storage solutions in Europe.
The grant approval comes under Germany's STARK program, which aims to accelerate economic transformation in coal-dependent regions by supporting renewable energy initiatives. Altech’s project, located in Saxony, fits squarely within this vision, promising to replace fossil fuel reliance with cutting-edge battery technology.
CERENERGY – A Lithium-Free Alternative
The CERENERGY battery technology, developed in partnership with the renowned Fraunhofer IKTS institute, offers a compelling alternative to traditional lithium-ion batteries. Utilizing sodium chloride, common table salt, these batteries are free from lithium, cobalt, graphite, and copper, materials often subject to volatile prices and supply chain risks. Additionally, CERENERGY batteries boast fireproof and explosion-proof characteristics, a lifespan exceeding 15 years, and robust performance in extreme climates.
Altech plans to build a 120 MWh production facility in Saxony to manufacture these battery modules, targeting grid storage markets that are increasingly demanding safer, longer-lasting, and more sustainable energy storage options.
Complementary Advances in Battery Materials
Alongside CERENERGY, Altech is progressing its Silumina Anodes project through its subsidiary Altech Industries Germany GmbH. This initiative focuses on a proprietary silicon alumina coating technology designed to enhance lithium-ion batteries by increasing energy density by 30% and improving battery life. The project has cleared a Definitive Feasibility Study and is moving towards commercial-scale production, supported by partnerships with European silicon suppliers and automakers.
These dual efforts position Altech as a multifaceted player in the evolving battery landscape, addressing both next-generation solid-state batteries and incremental improvements to existing lithium-ion technology.
Conditional Approval and Next Steps
While the grant approval is a significant vote of confidence, it remains conditional on Altech achieving financial close and the German parliament’s budget approval in 2026. This introduces some uncertainty around timing and final funding certainty, but the official written confirmation signals strong governmental support.
Investors and industry watchers will be keen to monitor Altech’s progress towards these milestones, as well as the broader impact of the STARK program on Germany’s energy transition and the global battery market.
Bottom Line?
Altech’s preliminary grant approval marks a pivotal moment, but the path to full funding and production will test the company’s execution and the evolving policy landscape.
Questions in the middle?
- When will the German parliament finalize the 2026 budget and confirm the grant?
- How quickly can Altech scale up CERENERGY battery production to meet market demand?
- What impact will Altech’s lithium-free batteries have on the competitive landscape of energy storage?