Moment Energy lands $40M to turn retired EV batteries into grid-scale storage

Moment Energy has raised $40 million as it pushes deeper into one of climate tech’s most practical ideas: giving used EV batteries a second job on the power grid.

The startup builds stationary energy storage systems from retired electric vehicle battery packs. Instead of sending those batteries straight to recycling after their automotive life ends, the company repurposes them for use in larger storage installations that can support utilities, businesses, and other energy users.

The new funding arrives at a moment when demand for electricity is climbing and interest in battery storage is moving from niche to essential. As grids absorb more renewable power and prepare for heavier loads from electrification, storage has become one of the most watched parts of the energy stack.

That is the opening Moment Energy is chasing. Its pitch is straightforward: there is a huge and growing need for power storage, and retired EV batteries can help fill part of that gap faster and with less waste.

Second-life battery companies have long argued that EV packs still have meaningful value after they are no longer ideal for vehicles. Stationary storage is a natural fit. The performance demands are different, and the systems can be configured to make use of batteries that still have plenty of useful life left.

For Moment Energy, the bet is that this approach can solve more than one problem at once. It can lower the barrier to deploying storage, extend the useful life of battery materials, and create a bridge before those packs eventually move into recycling streams.

Why it matters

The grid needs more storage, fast. Second-life EV batteries could offer a cheaper and more sustainable path by extending battery life before recycling, while helping utilities and businesses manage growing electricity demand.

The bigger backdrop is hard to miss. Energy storage is increasingly seen as critical infrastructure, not just a nice-to-have add-on for solar projects. Utilities need ways to balance shifting electricity supply and demand. Commercial users want backup power and better control over energy costs. Policymakers and power providers are also looking for ways to make grids more resilient.

That has created a strong market pull for battery systems of many kinds. But building enough storage is not only about software and demand forecasts. It also comes down to hardware availability, supply chains, and the economics of batteries themselves.

That is where Moment Energy’s model stands out. By sourcing retired EV packs, the company is working in a category that sits between new battery manufacturing and end-of-life recycling. If done well, it offers a circular approach that could make battery deployment more efficient overall.

There are still real challenges. Second-life battery systems require testing, sorting, safety controls, and careful system design. Battery health can vary, and stationary deployments need to meet strict reliability expectations. Success in this market is not just about having access to used packs. It is about turning inconsistent raw inputs into dependable products.

Even so, investors continue to pay attention to the space because the underlying need is so large. The growth of EVs means more batteries will eventually become available for repurposing. At the same time, grid operators and energy customers are searching for every viable storage option they can get.

The latest raise suggests Moment Energy sees a chance to move quickly while that demand window is wide open. For the broader market, it is another signal that battery reuse is becoming a more serious part of the energy conversation.

If the company can scale reliably, it will be selling more than storage hardware. It will be selling a useful answer to two urgent questions at once: where to find more grid capacity, and what to do with the wave of EV batteries coming off the road.

In a power market hungry for flexibility, that combination is getting harder to ignore.