Emrgy’s Hydropower Progress

Emrgy’s Hydropower Progress

On March 20, we heard from Emily Morris, CEO of Emergy, about the company’s impressive progress in revolutionizing hydropower technology. Since its founding in 2016, Emergy has been harnessing the power of flowing water in canals to generate electricity, providing a sustainable and cost-effective energy solution. When we first connected with Morris in 2023, the company was already making strides, but its growth has been remarkable in the last two years. Emergy is a prime example of what it takes to scale a cleantech startup and build wealth in the renewable energy sector.

Growing the Team and Scaling Operations

Emergy has expanded to 24 employees, reflecting its rapid development. However, Morris emphasizes that team building is one of the toughest challenges for any growing company. She advises that when a team member isn’t the right fit, it’s best to make changes sooner rather than later—a strategy that benefits both the company and the individual.

Emergy has standardized its hydropower units into factory-built modular kits to enhance efficiency and scalability. These systems, available in 5-25 kW sizes, are easily installed on-site using cranes or similar equipment, making deployment more accessible for a variety of locations.

Shifting to a Recurring Revenue Model

One of Emergy’s most significant advancements is its transition from an equipment sales model to a recurring revenue business. By adopting an energy-as-a-service approach, the company offers no money up-front installations, making projects more attractive to customers. Thanks to strategic de-risking through experience and data collection, investors are now willing to finance these installations in exchange for a portion of the revenue.

This financial backing was made possible through an $18 million Series A funding round, allowing Emergy to prove its new model and scale up operations. With this approach gaining traction, Emergy aims to install 15 MW of hydropower capacity in 2024, requiring the purchase of hundreds of units annually.

A Cost-Effective Renewable Energy Solution

Emergy is refining its value proposition, highlighting the affordability and reliability of its hydroelectric technology. Because water conveyance structures operate 24/7 for most of the year, the capacity factor remains high, and the cost of power is exceptionally low—around 5 cents per kWh. With installation costs between $3,000 and $4,000 per kW, these units present a compelling alternative to rising utility rates, particularly for farmers looking for behind-the-meter power sources to reduce electricity expenses.

Expanding Market Reach and Partnerships

To maximize its impact, Emergy is now targeting installations of 250 kW or more, using twin modules placed every 100 feet along a canal. These units generate DC power, which is then converted to AC using string inverters, much like solar energy systems.

As the company scales, it is actively seeking strategic partners to help identify and secure deals, oversee installations, and provide operations and maintenance (O&M) services. Morris recognizes that local partners are better positioned for deal-making, while Emergy focuses on project financing and system development.

A Global Vision for Hydropower

With over 2 million linear miles of water conveyance infrastructure worldwide, Emergy has only scratched the surface, having addressed just a few thousand miles so far. The company is now eyeing global expansion, aiming to bring its innovative, renewable energy solutions to a broader audience.

Learn More About Emergy’s Progress

For a deeper dive into Emergy’s journey, check out the full session on our YouTube Channel and revisit the 2023 discussion for more insights into how the company has evolved. Emergy’s story is an invaluable case study for anyone in cleantech, renewable energy, or startup development.

Stay tuned for more updates on cutting-edge clean energy innovations!

Gary Simon

ABOUT THE AUTHOR

Gary Simon chairs the CleanStart Board, bringing with him a wealth of experience from over 45 years in business, government, and non-profit sectors. Gary applies his deep understanding and experience to support the growth of clean energy initiatives and startups. His work is instrumental in guiding the organization towards achieving its goals of promoting sustainable energy solutions.

Sponsors

SMUD
ChicoSTART
RiverCity Bank

Revrnt, Witanlaw, Eco-Alpha, Momentum

Hank: Navigating the Path of Innovation in Commercial Real Estate

Hank: Navigating the Path of Innovation in Commercial Real Estate

On February 25th, 2025, the Carlsen Center for Innovation and Entrepreneurship and StartupSac hosted an illuminating Startup Happy Hour at Venture Labs in Roseville, featuring a candid fireside chat with Jerremy Spillman, Founder and Chief Revenue Officer of Hank. Hank has been a regular feature at CleanStart.

The Experimental Odyssey of a Tech Startup

Spillman’s narrative was less about a linear success story and more about persistent experimentation. Hank.re’s journey was characterized by continuous pivoting, testing, and refining their value proposition in the complex world of commercial real estate technology.

Searching for the Right Market Fit

The startup’s early days were marked by relentless exploration. Initially targeting HVAC technicians, Spillman and his team quickly realized this approach wasn’t optimal. Through careful observation and multiple iterations, they discovered that building and campus owners represented a more promising go-to-market strategy.

The Power of Persistent Iteration

“We were constantly experimenting,” Spillman shared. Each pitch, each conversation, each potential customer interaction was an opportunity to understand their product’s true value. This approach of continuous learning and adaptation became the cornerstone of Hank’s development.

A Partnership of Brilliance

Spillman spoke warmly about his co-founder Zach Denning, describing him as “brilliant” and crucial to their exploratory process. Their complementary skills allowed them to navigate the complex landscape of AI-powered building management.

The JLL Relationship: A Testament to Value Creation

While discussing JLL (NYSE: JLL), Spillman emphasized not just the relationship, but how Hank’s relentless innovation made them an attractive partner. The acquisition was a result of their proven ability to deliver tangible value through their AI-powered platform.

The Personal Touch: Why “Hank”?

In a charming aside, Spillman shared the origin of their company name. He and Zach wanted to personalize their AI engineer, giving it a human touch that reflected their approach to technology.

Technology That Solves Real Problems

Hank’s cloud-based platform demonstrates the power of targeted innovation:

  • Autonomously optimizes building management systems
  • Improves energy efficiency
  • Enhances air quality
  • Reduces maintenance costs
  • Increases net operating income for real estate investors

Deeper Insights

For those curious about Hank’s evolutionary journey, CleanStart has previously documented their progress:

The Startup Happy Hour, sponsored by the City of Roseville, offered a raw, unfiltered look into the messy, exciting world of technological innovation—where success is less about a perfect plan and more about persistent experimentation.

Sponsored by the City of Roseville and hosted by StartupSac and the Carlsen Center for Innovation and Entrepreneurship

Thomas Hall

ABOUT THE AUTHOR

Thomas is the Executive Director of CleanStart. Thomas has a strong background in supporting small businesses, leadership, financial management and is proficient in working with nonprofits. He has a BS in Finance and a BA in Economics from California State University, Chico. Thomas has a passion for sustainability and a commitment to supporting non-profits in the region.

Sponsors

SMUD
ChicoSTART
RiverCity Bank

California Mobility Center, Revrnt, HumanBulb, Witanlaw, Eco-Alpha, Momentum

CleanStart Perspectives with XeroHome

CleanStart Perspectives with XeroHome

Join us as we chat with Mudit Saxena, co-founder & CEO of XeroHome, a startup that makes it easy for homeowners to decarbonize their homes.

Our guest, Mudit Saxena, is the co-founder and CEO of XeroHome, a startup that helps homeowners and utilities transition to a low carbon future by prioritizing cost-effective, clean energy upgrades. XeroHome™ is a web platform that uses predictive modeling and data science to deliver customized home energy insights at scale.

CleanStart Perspectives are short online conversations to connect the greater Sacramento clean tech entrepreneurship community and share insights, experiences, and outlooks. Join us as we welcome our featured guests to share their perspective on what entrepreneurs and innovators can do to thrive and grow.

Register and we’ll send you the Zoom login information prior to the meeting time.

CleanStart Perspectives are recorded through Zoom.

CleanStart Perspectives: New Vision Aviation

CleanStart Perspectives: New Vision Aviation

New Vision Aviation promotes aviation education with a focus on communities of color in the San Joaquin Valley using all-electric aircraft.

Join us as we talk with Joseph Oldham, the founder of New Vision Aviation . New Vision Aviation, a 501c3 charitable non-profit corporation, was formed in 2018 to promote aviation education with a specific focus on communities of color within the San Joaquin Valley. NVA’s mission is to open the doors for aviation careers to young people that previously would not have considered this path due to cost barriers. NVA manages the four Pipistrel Alpha Electro all-electric trainers owned by the City of Reedley and City of Mendota as part of the Sustainable Aviation Project funded by Fresno County Transportation Authority.

CleanStart Perspectives are short online conversations to connect the greater Sacramento clean tech entrepreneurship community and share insights, experiences, and outlooks. Join us as we welcome our featured guests to share their perspective on what entrepreneurs and innovators can do to thrive and grow.

Register and we’ll send you the Zoom login information prior to the meeting time.

CleanStart Perspectives are recorded through Zoom.

Hot New Business Opportunities in DER Management?

Hot New Business Opportunities in DER Management?

At our MeetUp on January 28, three speakers talked about their experiences in installing and integrating distributed energy resources (DERs) in the grid and offered some fresh insights.  We heard from Lowell Watros and John Franzino of GridSME (“Grid Subject Matter Experts”) and Tim McDuffie of Smarter Grid Solutions.  Here are some of the highlights of that very interesting discussion:

  • The need for much faster-response assets on the grid has been growing enormously and it has been hard for DERs to keep up.
  • By the nature of the DERs and the number of entities involved in managing them, the DERs need to be connected to the internet.  Connections over dedicated communication lines is just not practical.
  • As a result, there is a critical need for excellent cybersecurity.
  • For DER assets deep in the distribution system and often in rural areas, communication may be dependent on RF systems, which are slow and noisy.  This limits what those resources can do and be compensated for. 
  • DERs are not being fully compensated for all the value they bring to a system such as capacity value in addition to energy value, and the value of avoiding distribution system upgrades.  However, there is still concern over the reliability of DERs providing those values and with a quick enough response. 
  • There is a big gap in the systems and protocols for effective DER management that is holding back the next wave of DER investment and installations.  Europe is probably ahead of the US in creating such systems.
  • The US systems are a hodge-podge of rules for DERs and there is not enough motivation to create consistent rules and procedures with full compensation for the values provided
  • There may be an emerging role for more flywheel systems as very fast-response assets within DER systems.  This is different than using flywheels for energy storage in competition with batteries.  Flywheels can inject of absorb power very quickly, smoothing-out fluctuations from DERs in very short intervals.
  • There is a new horizon in integrating more behind-the-meter DER assets into the distribution grid, but it will require excellent communication systems and fast response equipment. Tim McDuffie specifically talked about a project to enhance the reliability of service to the Hoopa Valley Tribe east of Eureka which sits at the end of a long, single distribution feeder.

We could go on and on with all of the insights packed into this 90-minute discussion, but you can learn all about it by checking out the video.  One participant who had been with a number of utilities and dealing with DERs said he found the panelists much more knowledgeable and thought-provoking than he had seen with other online discussions.  That’s high praise and a good indication of why you should play the recording.  This is such a hot topic, we have had three prior sessions on it and likely will have many more.

Many thanks to our panelists and to all those who joined in. 

Thomas Hall

ABOUT THE AUTHOR

Gary Simon is the Chair of CleanStarts Board. A seasoned energy executive and entrepreneur with 45 years of experience in business, government, and non-profits.

CleanStart Sponsors

Weintraub | TobinBlueTech Valley, Revrnt, 

Moss AdamsPowerSoft.biz, Greenberg Traurig, Momentum,

College of Engineering & Computer Science at Sacramento State