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Southern California Edison (SCE) announced the selected suppliers and projects for the largest grid-connected energy storage purchase in U.S. history – more than five times greater than the utility’s minimum energy storage procurement authorization of 50 MW, per California Public Utilities Commission ruling.
Pending approval of the projects by the CPUC, SCE will purchase 261 MW of energy storage resources.
This procurement effort marks the first time SCE has contracted with energy storage projects through a competitive solicitation. Once deployed, the systems will provide a number of services to SCE’s power grid, including ensuring adequate available electrical capacity to meet peak demand.
The companies named to provide storage systems and the amounts are:
“- NRG Energy, 0.5 MW
“- Ice Energy, 25.6 MW
“- Advanced Microgrid Solutions, 50 MW
“- Stem, 85 MW
“- AES Energy Storage, 100 MW
California utilities are proving the value of energy storage in various applications from transmission-connected to customer-sited systems. There are currently 112 operational energy storage projects in California, according the U.S. Department of Energy.
The progressive clean energy policies of the CPUC have helped make the state a global leader in energy storage, with substantial progress achieved since its 2013 decision ordering SCE’s storage procurement. The state is currently focused on implementing AB 2514, which requires investor-owned utilities to procure 1.325 GW of energy storage by 2020.
AB 2514 also required California’s Publicly Owned Utilities to evaluate procurement targets for energy storage. In October, the Los Angeles Department of Water and Power (LADWP) released a plan to procure 178 MW of energy storage capacity by 2021.
The California Energy Storage Alliance (CESA) has been an active stakeholder in the legislative, rulemaking, and implementation process in the state. CESA represents more than 85 organizations dedicated to making energy storage a mainstream resource that will enable a cleaner, more efficient and reliable electric power system. All five of the SCE storage project winners are CESA members.