AES Energy powers up its energy storage business

An AES (NYSE:AES) subsidiary said April 27 that it is scaling up its energy storage business in the United States and internationally.

AES Energy Storage said it was ramping up its battery-based storage projects across the United States, South American and Europe.

Projects in construction or late stage development are expected to deliver 260 MW of interconnected battery-based energy storage, equivalent to 520 MW of flexible power resource, 25% of which is expected to be on-line by mid-2016. These projects are in addition to the 86 MW of interconnected energy storage, equivalent to 172 MW of resource, AES currently has in operation.

AES announces the expansion of its existing fleet into new markets, including the Company’s first utility scale project within the Midcontinent Independent System Operator (MISO) and the first two projects in Europe.

Considerable expansions are underway in existing markets, including California, PJM Interconnection and Chile. AES Energy Storage is also actively developing a pipeline of additional projects in multiple global markets, said Virginia-based AES.

“The electricity grid is poised for a major transformation and AES is proud to work with leading utilities and power systems to bring advanced storage to a new scale,” said John Zahurancik, President of AES Energy Storage. “Energy storage is lowering costs and improving critical grid infrastructure for customers around the world.”

Upcoming projects in the United States include the 10-MW Warrior Run project in Maryland, slated to come online in the second half of this year. That project in Cumberland, Md., is already in construction.

There is also a 20-MW project in Indiana scheduled to go commercial in 2016. AES performed its initial storage pilot work in Indiana in 2008. The new project will deliver enhanced reliability and ancillary services, including frequency regulation and peak power.

Also, the previously-announced 100-MW Alamitos Energy Center in Long Beach, Calif., would go online in 2021. This local capacity resource will supply fast acting power for Edison International (NYSE:EIX) utility Southern California Edison (SCE) under a 20-year Power Purchase Agreement.

All the U.S. projects would have a “resource” MW output of double its interconnection MW rating, which means the Alamitos project for example would have a power plant equivalent dispatchable resource, including supply and load capacity of 200 MW.

AES is using its trademarked Advancion energy storage solutions unlock value from existing power infrastructure, AES said.

About Wayne Barber 4201 Articles
Wayne Barber, Chief Analyst for the GenerationHub, has been covering power generation, energy and natural resources issues at national publications for more than 20 years. Prior to joining PennWell he was editor of Generation Markets Week at SNL Financial for nine years. He has also worked as a business journalist at both McGraw-Hill and Financial Times Energy. Wayne also worked as a newspaper reporter for several years. During his career has visited nuclear reactors and coal mines as well as coal and natural gas power plants. Wayne can be reached at