Southern California Edison To Bring Online 50 MW Tesla Powerpack 2 Systems
California will shortly bring more Tesla energy storage systems online in Southern California Edison’s (SCE’s) service area.
The 50 MW projects (utilizing Tesla’s Powerpack 2) are conducted by Macquarie Capital, the corporate advisory, capital markets and principal investing arm of Macquarie Group (a global finance corporation).
Beside the large scale of storage systems, Macquarie boasts an industry-first battery storage project financing.
According to the press release, SCE will actually purchase capacity from the Macquarie-owned fleet of behind-the-meter, battery-based energy storage systems, under a 10-year capacity contract to provide load reduction services, as part of SCE’s plan to modernize the grid by 2022.
“Macquarie Capital, the corporate advisory, capital markets and principal investing arm of Macquarie Group (“Macquarie”) (ASX: MQG; ADR: MQBKY), today announced the closing of the first non-recourse project financing of battery-based energy storage systems with CIT Bank.
The financing, led by CIT, backs a 50MW fleet of behind-the-meter, battery storage systems located in certain grid-constrained pockets of the West Los Angeles Basin service territory of Southern California Edison (“SCE”) that Macquarie Capital acquired from Advanced Microgrid Solutions (“AMS”) in August 2016.
Since the acquisition, Macquarie and AMS have been jointly developing and constructing the portfolio, which is expected to come online in phases over the next 12-24 months.”
“The fleet of energy storage systems, which will be located at various large-load commercial,industrial and government host sites in Los Angeles and Orange counties, will be used for utility grid services including flexible and reserve capacity, solar integration and voltage management in addition to retail energy services such as demand management, back up generation and enhanced power quality.
AMS, which led the development of the portfolio, will serve as the asset manager of the projects.”
“”The era of energy storage has begun.” SCE, which is California’s second largest utility, will purchase capacity from the Macquarie-owned fleet of behind-the-meter, battery-based energy storage systems under 10-year capacity contracts to provide load reduction services as part of SCE’s plan to modernize the grid by 2022.”