(BRK.A), (BRK.B)
Chinese auto and battery manufacturer BYD Company Limited is bringing its pure electric service vehicles and a battery storage system to the Port of Los Angeles.
The $26 million Green Omni Terminal Demonstration Project will demonstrate zero emission technologies with Pasha Stevedoring and Terminals L.P.
The project will be the world’s first marine terminal generating all of its energy needs from renewable sources at full build-out.
BYD will provide a 2.6 megawatt battery storage system and two class eight electric yard trucks.
The state-of-the-art BYD battery storage system will be used to store solar power to recharge the BYD electric yard trucks, thus providing a sustainable and truly zero emission operation.
This project will be BYD’s first example of taking transportation off the grid and making it 100 percent renewable and self-sufficient in North America.
BYD expects to deliver the trucks and the battery storage system by the end of 2016.
BYD has been expanding the types of pure electric service vehicles it makes, and recently debuted pure electric forklifts.
Integrated Transportation and Energy Storage
BYD has been emphasizing integrated transportation and energy storage.
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In June, BYD signed a global framework cooperation agreement with Enel, a multinational power company and leading integrated player in the world’s power industry.
BYD notes that the agreement signed by Wang Chuanfu, Chairman and President of BYD, and Ernesto Ciorra, Enel’s Head of Innovation and Sustainability, will pave the way for possible cooperation projects in electrified transportation and energy storage aimed at residential, commercial and industrial applications, all based on BYD’s proprietary Iron-Phosphate batteries.
BYD is 9% owned by Berkshire Hathaway, and Berkshire has seen the value of its investment skyrocket as BYD became a world leader in a wide variety of areas.
What are those areas?
BYD is number one globally in EV vehicles. The company vaulted to the number one spot in 2015 from only being number ranked seventh a year earlier.
BYD is the number one maker of rechargeable batteries, and like Tesla even has rechargeable battery home storage already on the market.
BYD is number one in pure electric buses that come in a variety of sizes. From commuter buses to buses for long distance travel, BYD has been quietly conquering the world, and frankly right now has no major competitors. In April 2016, BYD achieved a major milestone, the production of its 10,000th pure electric bus.
BYD’s also rapidly growing a host of other product lines that include LED lighting, photovoltaic panels for solar farms, and other electric vehicles such as forklifts.
As for solar panels, in the U.S., BYD’s already has a total 109MW using its 270,000 PV modules being developed in California. It also has other projects using its modules, including a 65MW plant in Utah, and a 28MW plant in Arizona.
Perhaps you haven’t heard of BYD, but they are no fly-by-night company. BYD has nearly 180,000 employees working in 22 industrial parks across the globe.
BYD and Berkshire Hathaway
In 2008, Berkshire Hathaway bet on BYD’s potential, purchasing 225 million shares, and today owns roughly 9.1% of the company.
It’s an investment that has paid off handsomely. Berkshire’s original investment of $230 million is now worth roughly $1.77 billion.
For More on BYD, read the Special Report: BYD, Berkshire’s Tesla.
© 2016 David Mazor
Disclosure: David Mazor is a freelance writer focusing on Berkshire Hathaway. The author is long in Berkshire Hathaway, and this article is not a recommendation on whether to buy or sell the stock. The information contained in this article should not be construed as personalized or individualized investment advice. Past performance is no guarantee of future results.