SRP, AES Launch Arizona’s First Standalone Energy Storage Project to Provide Flexible Peaking Capacity
AES, Fluence to Provide 10-megawatt, 4-hour Duration Solution;
Construction Starts in Chandler
Salt River Project (“SRP”) today announced contract execution and the
start of construction with The AES Corporation (“AES”) for SRP’s first
standalone battery-based energy storage project. The 10-megawatt,
four-hour duration energy storage solution, to be supplied by Fluence,
will provide peaking capacity that will inject power into the grid
during high peak demand periods for SRP customers.
The 10-megawatt project, to be built in Chandler, was procured as part
of an SRP initiative to learn more about grid-scale battery storage so
that SRP will be better prepared to implement battery storage technology
at an even larger scale in the future.
“Energy storage is already providing a wealth of services to central
Arizona’s grid through other deployments, from supporting the growth of
renewables to boosting reliability on transmission and distribution
grids,” said Mike Hummel, SRP’s General Manager and Chief Executive
Officer. “This latest investment will add much-needed efficiency and
value for our more than one million electric consumers.”
Under the 20-year agreement, AES will provide SRP with the 10-megawatt,
40 megawatt-hour battery-based energy storage system that will be
charged by an SRP distribution substation. Fluence’s Advancion energy
storage technology platform was selected to meet SRP’s need for an
industrial-strength solution with high dependability, reliability and
the ability to evolve over long-term operations. The solution can
deliver the energy equivalent to power about 2,400 homes in the greater
Phoenix metropolitan area for up to four hours and will help SRP assess
how best to scale up future energy storage projects across its
2,900-square-mile electric service area.
SRP’s new energy storage project marks the latest move to secure
resources that enable the integration of more renewables for its
electric service area. This comes at a time when Arizona is evaluating
steps to transform its energy infrastructure, including proposals for
both the largest energy storage target in the United States – three
gigawatts by 2030 – and a “clean peak” standard.
“AES is committed to developing solutions which will accelerate a
cleaner and greener energy future,” said Ken Zagzebski, President of AES
Southland Energy. “This project will allow SRP to continue meeting
customer demands while also supporting the ongoing integration of
renewable power sources.”
As the largest provider of power to the greater Phoenix area, SRP is
drawing on both AES’ experience developing energy storage projects
across its platform and Fluence’s expertise in designing and deploying
energy storage solutions in 16 countries. Together, SRP, AES and Fluence
will deliver a long-lasting, reliable energy storage solution for
central Arizona’s power grid and SRP’s electric customers. The Fluence
team has a successful track record of deploying and operating energy
storage for more than 10 years, including many of the first or largest
systems in each market. Fluence delivers superior value for its
customers by providing proven, industrial-grade energy storage solutions
that perform critical tasks reliably and cost-effectively.
“We’re proud to support Salt River Project and AES in adding fast,
flexible and zero-direct-emissions energy storage to SRP’s network,”
said Stephen Coughlin, CEO of Fluence. “With proven energy storage
solutions, Fluence is helping SRP deliver more low-cost renewable energy
and value to Phoenix residents.”
AES chose Mortenson as the EPC construction partner for the project.
Mortenson has experience in the energy storage market and will be
performing the engineering, procurement and construction for the balance
of plant portion of the project.
“Mortenson is honored to be a part of this team and advancing our
involvement in this exciting part of the utility electrical sector,”
said Brent Bergland, general manager of Mortenson’s energy storage
business.
About Salt River Project
Tempe-based SRP is a community-based, not-for-profit public power
utility and the largest provider of electricity in the greater Phoenix
metropolitan area, serving more than 1 million customers. SRP also is
the metropolitan area’s largest supplier of water, delivering about
800,000 acre-feet annually to municipal, urban and agricultural water
users. For more information, visit the SRP website at www.srpnet.com.
Follow SRP on Twitter: @SRPconnect and Facebook: Facebook.com/SRPconnect.
About The AES Corporation
The AES Corporation (NYSE: AES) is a Fortune 200 global power company.
We provide affordable, sustainable energy to 15 countries through our
diverse portfolio of distribution businesses as well as thermal and
renewable generation facilities. Our workforce is committed to
operational excellence and meeting the world’s changing power needs. Our
2017 revenues were $11 billion and we own and manage $33 billion in
total assets. To learn more, please visit www.aes.com.
Follow AES on Twitter @TheAESCorp.
About Fluence
Fluence, a Siemens and AES company, is a global energy storage
technology solutions and services company that combines the agility of a
technology company with the expertise, vision, and financial backing of
two industry powerhouses. Established in 2018, as the successor to
industry pioneers AES Energy Storage and Siemens energy storage,
Fluence’s goal is to create a more sustainable future by transforming
the way we power our world. The company offers proven energy storage
technology solutions designed to address the diverse needs and
challenges of customers in a rapidly transforming energy landscape,
providing design, delivery and integration in over 160 countries.
Fluence works closely with customers during every step of their journey
and provides advisory, financing, and project lifecycle services. To
date, Fluence’s teams have deployed or been awarded over 500 MW in 16
countries. To learn more, please visit http://fluenceenergy.com/
and follow Fluence on Twitter at @FluenceEnergy.
About Mortenson
Founded in 1954, Mortenson is a U.S.-based, family-owned construction
and development services company. As one of the nation's top builders,
Mortenson provides a complete range of construction services, including
planning, program management, preconstruction, general contracting,
construction management and design-build. The company also is a leader
in real estate development, developing all asset types. Mortenson has
operations across North America with offices in Chicago, Denver, Fargo,
Iowa City, Milwaukee, Minneapolis, Phoenix, Portland, San
Antonio, Seattle, Washington, D.C., and in Canada. As one of the first
contractors to enter into the U.S. wind market, Mortenson is recognized
as the leader in renewable energy construction. This leadership position
has allowed us to leverage our wind power expertise to advance the
fields of solar, high voltage transmission and energy storage services. www.mortenson.com
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