NYSERDA Awards Three Utility-Scale Solar Projects to CS Energy in New York

CS Energy developed and constructed this 27 MW DC large-scale solar project in Easton, N.Y.

CS Energy has been awarded three utility-scale solar projects from the New York State Energy Research and Development Agency (NYSERDA) under its fifth annual Renewable Energy Standard request for proposals. As proposed, and once operational, these projects would deliver 270 MW AC / 365 MW DC of new renewable energy generation capacity to the state.

Construction is planned to begin in 2025 and will be completed in 2026. These projects will generate over 500,000 MWh of renewable energy per year for New York ratepayers.

“As the first company to successfully develop and construct large scale solar in upstate New York, we are proud to continue playing a leading role in the deployment of NYSERDA’s large-scale renewables program,” says Eric Millard, chief commercial officer at CS Energy. “Our personalized approach and hands-on experience collaborating with municipalities, state and local agencies, communities, local labor, and New York businesses sets us apart in helping New York achieve its renewable energy goals.”

“With the help of partners like CS Energy, New York is growing a pipeline of over 120 large-scale renewable projects that bring us closer to reaching our climate and clean energy goals while at the same time delivering cleaner air, new green jobs and local tax revenue to communities across the state,” comments Doreen M. Harris, president and CEO of NYSERDA. “These newly awarded projects are another example of CS Energy’s ongoing commitment to investing in New York and help to build on the company’s successful completion of Branscomb Solar – the first utility-scale solar project outside Long Island – and more projects like it that will deliver clean power to the grid before the end of year.”

The three projects, among those selected from over 50 bidding facilities, are part of a competitive 22-project procurement portfolio. Each one of these CS Energy projects will deploy single-axis tracking technology and bifacial solar panels. Stern Solar is a 19.99 MW AC / 27 MW DC project in Schaghticoke in Rensselaer County. York Run Solar consists of a 90 MW AC / 122 MW DC solar farm in Busti and Kiantone, located in Chautauqua County.

Yellow Barn Solar is 160 MW AC / 216 MW DC project in Lansing and Groton in Tompkins County. CS Energy’s largest project is located less than 10 miles from the Cayuga coal plant, which was retired in 2019.

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Leclanché and MPC’s solar-plus-storage project on Caribbean island breaks ground

The project pairs 35.6MW of solar PV with a 44.2MWh battery. Image: MPC Energy Solutions.

Construction has begun on a solar-plus-storage project on the Caribbean island of St. Kitts & Nevis, backed by Leclanché, Solrid and MPC Energy Solutions.

The launch of the SOLEC power plant is nearly 18 months later than expected with the start of construction first announced back in December 2020, covered by Energy-Storage.news. Covid had a role to play in delaying the project, which pairs a 35.6MW solar PV farm with 44.2MWh of lithium-ion battery storage, but extra funding which helped move it forward was secured in March 2021.

Since March 2021, MPC Energy Solutions became a shareholder in SOLEC alongside the original backers of the project, Swiss-based vertically integrated lithium-ion battery manufacturer Leclanché and local company Solrid.

Leclanché has the engineering, procurement and construction (EPC) contract and will also provide its in-house Energy Management Software for the long-term running of the plant.

SOLEC will provide state-owned utility St Kitts Electric Company (SKELEC), which has signed a 20-year power purchase agreement (PPA) for the offtake, with roughly a third of the island’s energy needs.

Speaking at the groundbreaking ceremony on Friday 17 June, MPC CEO Martin Vogt said: “Today marks the start of a pioneering hybrid renewable energy project that combines solar power and battery storage not just for Saint Kitts and Nevis, but for the entire Caribbean region. This is the first of its kind and the first utility-scale power plant to combine these two technologies here in the region.”

“Once operational, this project will demonstrate the material advantages that hybrid projects can offer for the generation and storage of energy, grid integration and grid support as much as a competitive cost basis compared to conventional power.”

He described SOLEC as a “US$75 million project” and praised its mandated lender CIBC during the ceremony.

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Caterpillar VC arm, Volvo Group invest in UK company specialising in stationary storage with second life EV batteries

Connected Energy’s CEO Matthew Lumsden. Image: Connected Energy.

UK-based Connected Energy has raised £15 million (US$18.4 million) from five new investors to help scale up its second life-based battery energy storage system (BESS) solution.

Financing has been secured from Caterpillar Venture Capital Inc., the Hinduja Group, Mercuria, OurCrowd and Volvo Energy, part of manufacturing firm Volvo Group (not to be confused with Volvo Cars, the consumer vehicle division it sold to Ford in 1999).

Volvo Energy is focused on electrification and sustainable energy solutions for Volvo Group’s commercial vehicles group including trucks and buses under Volvo and other name brands.

They join existing investors Engie New Ventures, Macquarie and the Low Carbon Innovation Fund. The new money will be used to enable Connected Energy to scale up in response to the growing energy storage market and increasing international availability of second life batteries.

The company said there will be 6.7 million pure EVs operational worldwide by 2024/25 and 34.7 million by 2030, meaning ‘vast’ potential for battery reuse in energy storage.

CEO Matthew Lumsden said that 25% degraded batteries, often considered unsuitable for use in an EV, still have a ten-year lifetime for stationary energy storage. Lumsden recently wrote a guest blog for Energy-Storage.news in which he argued that more attention should be paid to reusing batteries as well as recycling them.

The new funding will also help Connected Energy develop its first large-scale solution, the M-STOR system, which is planned to be around 20MW/40MWh. Its deployments to date have been around 1MWh or less. Reporting on one of its biggest projects to date, a 1.2MW/720kWh system in Belgium for materials technology and recycling group Umicore, was among this site’s top 10 most-read news stories in 2020.

Connected Energy said it has already booked more projects in the first three months of 2022 than in any previous year, with this largely due to rising fuel prices, which it said have caused many organisations to consider the use of energy storage to reduce costs, increase self-consumption and generate new revenue as well as solve problems such as supply constraints.

The company’s business model is similar to German group Tricera Energy, which Energy-Storage.news recently interviewed. Tricera’s supply is slightly different, repurposing unused battery modules from the EV sector that automative players are willing to sell.

Just as Tricera’s COO Lars Fallant did, Lumsden highlighted battery control systems and rack design as major aspects of building second life-based BESS solutions. He said that battery module OEMs could make second life repurposing much simpler by incorporating simple yet highly effective changes into their design, like adding fixing holes and channelling into the external casing of the batteries.

Connected Energy has worked with several EV OEMs and there is a growing awareness in the automative industry of the opportunity to reuse and repurpose (as distinct from recycle) batteries from EVs.

Energy-Storage.news has reported on several moves this year including a Mercedes-Benz tie-up with Swedish startup BatteryLoop in April, Jaguar Land Rover launching an off-grid ESS unit and energy group Enel commissioning a 4MW BESS using Nissan EV batteries, both in March. Audi supplied used batteries from its e-tron EV to a 4.5MWh BESS project which launched in Herdecke, Germany, in January.

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AES, Clearway, Cypress Creek, DESRI Band Together to Create Solar Buyer Consortium

Andrés Gluski

The AES Corp. has partnered with Clearway Energy Group, Cypress Creek Renewables and D. E. Shaw Renewable Investments (DESRI) to form the U.S. Solar Buyer Consortium to drive expansion of the domestic solar supply chain and support the growth of the American solar industry.

The U.S. Solar Buyer Consortium is committed to purchasing more than $6 billion of solar panels and is looking for manufacturers that are aligned with the consortium’s goals that can supply up to 7 GW of solar modules per year starting from 2024.

AES has a large backlog of solar projects in the U.S., including 3.4 GW of new projects coming online from 2022 to 2025, out of a total backlog of 10.3 GW across all geographies and technologies. In 2021, AES signed contracts for 5 GW of power purchase agreements (PPA) for renewable energy, including 1.4 GW for U.S. solar projects. AES has a 59 GW development pipeline of which 68% is in the United States.

“With our large and growing pipeline of solar projects, AES is fully committed to accelerating America’s transition to clean energy,” says Andrés Gluski, AES’ president and CEO. “Some of America’s top solar developers have come together to do our part to help attract investments into U.S. solar manufacturing. It is crucial, however, that the U.S. government creates a realistic, long-term policy framework that supports onshoring more of our solar panel supply chain without unnecessarily disrupting the growth and success of our sector.”

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Development banks invest US$83 million in 34MWh of storage projects in Guyana

Guyana Power & Light (GPL) is the publicly owned utility providing electricity services in the country. Image: GPL/IDB.

The Inter-American Development Bank (IDB) and Norwegian Agency for Development Cooperation are investing up to US$83.3 million in eight solar PV projects in Guyana with 34MWh of co-located energy storage.

The Latin America and Caribbean-focused bank is supporting the Government of Guyana with the deployment of the eight solar PV farms with a combined 33MWp power and 34MWh of associated energy storage, called the ‘Guyana Utility Scale Solar Photovoltaic Programme’ (GUYSOL). The non-reimbursable investment financing was approved by IDB last week (June 17).

The projects will be installed across three, separate electricity grids in the South American country serving 265,000 customers, and various IDB project documents provide more details. All the storage sites will be one-hour systems.

In the Linden Isolated Power System (LIS), which serves the second-largest city after the capital Georgetown, three solar PV plants totalling 15MWp will be installed with a minimum of 22MWh of battery storage. The Linden projects will have storage co-located on-site, described as “backup storage”, by the IDB.

Two solar PV plants totalling 8MWp with 12MWh of storage will be deployed in the southwestern Essequibo Coast Isolated Power System (EIS), although to what extent they are co-located has not been clarified.

Finally, some 10MWp of standalone PV will be deployed in the Demerara-Berbice Interconnected System (DBIS), in the east of the country, with no associated storage mentioned.

The projects will help utilities Guyana Power & Light (GPL) and the Linden Electricity Company Inc. (LECI) reduce emissions. GPL is a state-owned electricity provider serving the majority of the country.

The eight projects will contribute to lowering CO2 emissions, reduce the cost of running the electricity grid and support the country’s transition to renewable energy, it added. It will also help digitise the Essequibo and Linden electrical systems, moving them from manual systems towards real-time, automated monitoring and control, improving efficiency, reliability and stability.

The government is aiming to cut fossil fuel emissions by half by 2025 and 70% by 2027.

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Microsoft Climate Innovation Fund, Bank of America among funders of Africa mini-grid push

Aerial view of a commissioning celebration at a CBEA project implemented by PoweGen in Dokota, Niger State, Nigeria. Image: CBEA.

Crossboundary Energy Access, an investment platform which is project financing solar-powered mini-grid projects in rural Africa, has secured US$50 million funding for a near-term pipeline of projects.

The company said last week that funding commitments worth US$25 million have been freshly secured on top of a further US$25 million in senior debt in order to plough the capital into rolling out a network of mini-grids.

Specialist emerging markets investment advisor ARCH Emerging Markets Partners Limited, Microsoft Climate Innovation Fund and Bank of America contributed with funding commitments.

Crossboundary Energy Access was formed by mission driven investment firm Crossboundary, which also invests in educational infrastructure in East Africa and commercial and industrial (C&I) renewable energy services in Sub-Saharan Africa.

Crossboundary Energy Access (CBEA) launched in 2019 as a project finance facility for mini-grids. It uses blended finance with an innovative project financing structure to unlock access to electricity for rural areas, the company claimed.

The group hopes to reach more than 1 million people and aims to put a total of US$150 million financing into the rollout of mini-grids, which will combine solar PV and battery energy storage to give households and businesses 24/7 access to renewable electricity.

The International Energy Agency (IEA) has said that it will cost about US$187 billion by 2030 to provide universal access to electricity around the world for those that don’t have it, including more than 600 million people in Africa.

Access to affordable, sustainable, reliable and modern energy for all by 2030 is number seven of the United Nations Sustainable Development Goals (SDGs).

Project finance can unlock the long-term infrastructure-style investments the sector needs, CBEA claimed in a press release.

“Our investors believe the mini-grid sector is ready to scale and that 2022 will mark an inflection point in its growth,” CBEA managing director and head of energy access Gabriel Davies said.

“Work is still needed on every aspect of mini-grids including regulation, business model, and subsidy programs. But we’re excited by the step change in scale and pace that we’re seeing from developers, investors, regulators, and donors, and we’re encouraged by the amount of capital the sector is prepared to absorb in the next 24 months.”

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Australian projects trial benefits of distributed neighbourhood and flow battery energy storage

Artist’s concept drawings of how VSUN’s residential flow battery could look. Image: VSUN.

The government of Victoria, Australia, has opened a round of funding for ‘neighbourhood-scale’ battery storage, while in Western Australia a vanadium redox flow battery (VRFB) will be deployed at a mining site.

Both are projects aimed at demonstrating the capabilities of distributed energy storage.

Multiple value streams

Neighbourhood batteries are essentially sized to benefit whole communities and enable them to benefit from rooftop solar in their area without having to invest in a battery system or each household.

Meanwhile they are smaller than utility-scale batteries, making them easier to site, as well as potentially quicker to construct and cheaper.

Through its Neighbourhood Battery Initiative grant programme, the Victorian state government is offering funding from a pool of A$10.92 million (US$7.59 million) for projects that can demonstrate the multi-use case applications of such systems.

In an article published earlier this year for our quarterly journal PV Tech Power, a team of experts from Australian National University’s Battery Storage and Grid Integration Program wrote that the systems are generally between 0.1MW to 5MW, ranging in size from a “wardrobe to a shipping container”.

“What makes neighbourhood batteries a particularly interesting form of energy storage is that they have the potential to address energy equity and provide benefits to all energy users,” the authors wrote.  

“Some groups of people, particularly renters and those who do not have solar panels on their rooftops, but also people who might be socially and digitally isolated could all benefit from neighbourhood batteries.”

Through a series of socio-techno-economic studies, the ANU researchers found many benefits of the neighbourhood battery model: which they defined as distinct from the term ‘community’ batteries, as the latter implies community or shared ownership, which may not necessarily be the case.

However, the ANU team did find that at the time of reporting its findings that neighbourhood batteries would only be economical if local use of system (LOUS) network tariffs could be offered at a discounted rate.

Another proposed business model to recover costs would be to create a secondary peer-to-peer energy trading market using the batteries, but it was found that this pathway would be beset with regulatory complexities and challenges.

The Victorian government programme’s approach is to help fund projects that will be able to access multiple different revenue streams, including participation in frequency control ancillary services (FCAS) in the National Electricity Market.

A first round of grants worth A$3.68 million was awarded in 2021 to 16 different organisations including communities, local councils and industrial entities.

Round 2 was opened 6 June for applications and stays open for applications until 29 July 2022. Up to A$2.32 million is being made available.

Bidding entities will be responsible for installation and commissioning of projects as well as proving their ability to tap different value streams.

Various other initiatives of this kind have been installed across Australia, again, often dubbed ‘community’ batteries.

One such project was the five-year Alkimos Beach Energy Storage Trial (ABEST) in Western Australia, where an up to 85% reduction in use of energy from the grid at peak times was achieved. Around 100 rooftop solar PV systems were installed at properties in the area and paired with a 1.1MWh lithium-ion battery energy storage system (BESS).

However, the ABEST project partners, including state-owned generator-retail utility company Synergy found that without subsidies, the model would not be a sustainable product for Synergy to market.

As Energy-Storage.news reported at the time the trial concluded in September 2021 however, ABEST didn’t trial the multi-use applications of battery storage.

Meanwhile the Australian Energy Market Operator (AEMO) has since made it easier and more lucrative for batteries to participate in the NEM – albeit AEMO was forced to temporarily suspend all wholesale market activity in the NEM last week (16 June) due to ongoing energy challenges the country is facing, such as the outage of about 3GW of coal generators due to “unplanned events”.

Flow battery to power mining pump with 100% renewable energy

Staying in Western Australia (WA), a project part-funded with an Australian Government Modern Manufacturing Initiative Grant will see a 300kWh VRFB installed at a mining site.

Australian Vanadium, a company aiming to develop primary vanadium resources as well as processing and electrolyte production capacity in the country, has a subsidiary which markets and promotes VRFB technology.

The subsidiary VSUN Energy is designing and constructing a standalone power system based on the tech for Nova Nickel Operation, a site owned by mining company IGO Limited.

Australian Vanadium provided an update yesterday to the Australian Stock Exchange (ASX) that said the VRFB system VSUN Energy has ordered from manufacturer E22 in Spain has been assembled and is being prepared for shipment to Fremantle Port in WA.

VSUN Energy and E22 – an energy storage subsidiary of Spain’s Gransolar – signed a partnership agreement in 2021 through which E22 gets access to the Australian market for its VRFBs, while it could in turn source vanadium pentoxide as well as processed electrolyte, on a purchase or lease basis, from Australian Vanadium’s facilities.  

From there it will be tested at a site in Perth and during the testing period Australian Vanadium and VSUN will showcase the system and its capabilities to mining companies, utilities and others that the company said have shown interest in the VRFB.

As reported by Energy-Storage.news last November when the project was first announced, the VRFB will be installed for use by IGO Limited at the nickel, cobalt and copper mine for free for the first year of operation. After that, the mining company will have the option to purchase or rent the system from VSUN Energy.

IGO will use the standalone power system (SPS) to power a continually operating mining process water bore pump. Running the pump on 100% renewable energy, it is hoped that in addition to reducing the site’s carbon footprint, the expected reduction in both fuel and maintenance costs will result in operational cost savings.

Australian Vanadium noted that the project will be part-funded from the A$3.69 million grant it received from the government alongside companies involved in lithium, rare earth metals and other high-tech manufacturing-related sectors.

The company is using the remainder of the grant money towards a high purity vanadium processing circuit for its mining site, as well as for the development of a residential VRFB prototype and its electrolyte manufacturing plant, for which it is targeting an initial annual production capacity of 33MWh.

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ROUNDUP: Ormat launches 20MWh BESS, Lumin/Leap launch demand response for homes in California, Dubai R&D lab’s flow battery patent

Lumin Response combines its home energy management platform with Leap’s distributed energy resource aggregation platform. Image: Lumin.

Ormat turns 5MW/20MWh BESS online in California

Geothermal company Ormat Technologies has started the commercial operation of the 5MW/20MWh Tierra Buena Battery Energy Storage System (BESS) in California.

The BESS will provide energy to community choice aggregators (CCAs) Redwood Coast Energy Authority and Valley Clean Energy in line with resource adequacy (RA) requirements with the offtake split evenly between the two.

Rather than using a centralised auction for long-term energy procurement like the UK National Grid’s Capacity Auctions, the California Independent System Operator (CAISO) uses the RA programme to ensure utilities have enough energy to meet demand (with an additional reserve margin).

The Tierra Buena BESS will also provide ancillary services and energy optimisation through participation in merchant markets run by CASIO.

It is Ormat’s third operational BESS in California and increases its energy storage portfolio to 88MW/196MWh.

Lumin and Leap launch demand response for households, also in California

Smart home energy solution provider Lumin and distributed energy resource (DER) aggregator Leap have partnered to allow select homes in California to participate in the wholesale demand response market.

Lumin Response will give customers in select regions eligibility for financial incentives for automatic energy reduction at certain times to help balance the grid during times of high demand. It said the programme will help homes maximise the value of their solar and storage systems, although it was designed for homes with and without storage.

Demand response (DR) is typically used by large users of electricity in the commercial and industrial (C&I) sector, although many utilities offer DR options to residential users too.

The programme will integrate Lumin’s home energy management platform and smart circuit control technology with Leap’s distributed energy resource (DER) aggregation platform, reducing a home’s power usage by automatically turning off appliances when electricity prices are highest, and commensurately rewarding the participant.

Eligible households will be asked to provide a set of preferences for when and how long their appliances can be turned off. Lumin’s tech connects to energy-intensive appliances like refrigerators, smart controllable plugs and EV chargers.

“This partnership presents the first true example of automated value stacking for individual homes in the demand response space, beyond battery participation in virtual power plants (VPPs),” said Alex Bazhinov, founder and CEO of Lumin.

“As many municipalities move to enact standards for energy-saving measures in homes, smart appliances that integrate seamlessly with renewable energy systems will become more important as we continue to see energy strain on the grid, and this is why Lumin’s user-friendly, automated system is so valuable,” added Keegan Campanelli, product manager at Lumin.

Dubai R&D centre files vanadium battery patent

The Dubai Electricity and Water Authority’s Research and Development Centre (DEWA’s R&D Centre) has filed a patent for a redox flow battery.

The battery has an improved electrolyte distribution, wherein the battery stack has a streamlined shape by changing the size of the cell at the inlet and outlet sections, DEWA claimed. That means a reduced pressure drop, better performance and efficiency of the battery flow system leading to increased power density and reduction in manufacturing costs, it added.

“The new patent solves a major challenge in flow battery. Conventional redox flow battery stack has inactive sites at the edges of the cell which restrict mass transport of the reactants at the electrode/electrolyte surface, leading to pressure drops which affect the overall efficiency and performance of a flow battery system,” the press release continued.

It builds on several energy storage projects in development by DEWA, including a 15-hour thermal storage system at the Mohammed bin Rashid Al Maktoum Solar Park and a 250MW pumped hydro facility in Hatta.

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Acento Real Estate Partners Participates in PI Energy’s PV Cell Installation Pilot

Phil Layton

Acento Real Estate Partners has partnered with PI Energy for pilot installations of next-generation photovoltaic (PV) cell technology on its buildings across the U.S. Acento joined PI Energy’s Pilot Deployment Program, providing the company access to PI Energy’s module PV technology, which is designed to be wrapped onto roofs, walls and other surfaces.

The program is the first phase of the PI Energy’s commercialization of its PV cell technology, which is based on its proprietary nanofilm solar cell innovation, using ultrathin silicon. It enables practical and low-cost installation of solar modules that are designed to be lightweight, flexible, nontoxic and easy to install on most surfaces.

“Acento’s participation in PI Energy’s Pilot Deployment Program is aligned with our low-carbon infrastructure and social impact goals, so that we can have onsite electrical power from otherwise unused surfaces, from our buildings, parking areas and surrounding walls,” says Andrés González, CEO of Acento. “Enhancing our real estate portfolio’s energy resilience and sustainability is even more attractive with a cost-competitive approach to solar energy.”

“We are excited to partner with Acento, which is leading the shift to more sustainable buildings,” states Phil Layton, CEO of PI Energy. “A large-scale transition to sustainability requires both a low-carbon energy and cost-competitive path. Acento is creative and innovative in its approach to improving buildings’ performance while reducing their carbon footprint, which makes the company an ideal partner.”

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New York grid operator says wholesale market will drive investment in energy storage

Recently completed solar-plus-storage project in New York State designed to alleviate transmission line constraints. Image: Convergent Energy + Power.

There could be nearly 13GW of energy storage on the grid in New York by the middle of this Century, providing an “exceptional tool” to help balance renewable energy generation, the CEO of the state’s network operator has said.  

The New York Independent System Operator (NYISO) earlier this month issued its annual Power Trends report, analysis into the state of play on the power grid and wholesale markets, which it is responsible for.

“We view storage as an incredibly, potentially valuable asset and we anticipate that the addition of new storage will give us an exceptional tool that will help us balance the intermittency of… both wind and solar,” NYISO’s CEO Rich Dewey said in a presentation of some of the key Power Trends 2022 findings.

The system operator expects to see an uptick in the amount of storage on the grid to be driven by changes in wholesale market rules it has made to enable wider participation and therefore increased revenues for energy storage, whether electrochemical like lithium batteries, or mechanical, like pumped hydro.

New York’s Climate Leadership and Community Protection Act (CLCPA) legislation put in place in 2019, requires the state to get 70% of its energy from renewable sources by 2030 and to make its electricity supply 100% emissions-free by 2040.

To help achieve that aim, the state also introduced a 3GW energy storage deployment target by 2030, which was doubled to 6GW by Governor Kathy Hochul in her State of the State Address at the beginning of this year.  

However, NYISO also asserted that energy storage technologies as they are today would not be sufficient to run a grid on mostly or totally renewable energy. That task will require more than the relatively short durations of battery storage deployed at scale around the world, Dewey said.

So-called “dispatchable, emissions-free resources” will be needed as well. Although Dewey said that possible examples of these could include hydrogen in the gas grid or some kind of carbon capture and storage, he said it was clear there is a gap that needs to be met with a technology or set of technologies that is still to be introduced to the market.

Even in the present day, New York’s planning reserve margins for energy are starting to wear thin, according to NYISO, with fossil fuel resources currently retiring faster than clean energy additions come online. In 2021 there was actually a slight increase in carbon emissions relating to the closure of Indian Point nuclear plant and the turn-up of fossil fuel generators to step in.

NYISO’s ‘Tale of two grids’

New York’s other major challenge is its “Tale of two grids” as the operator dubbed it. Basically, the New York City urban region, which has high carbon intensity, very few renewable energy resources and very high demand, versus the out of town and Upstate regions which are already much less reliant on fossil fuels, largely thanks to hydroelectric resources but also much lower demand.

Unsurprisingly, the grid operator made the case for investment into transmission resources to alleviate the constraints that prevent energy being taken into downstate New York from outside resources, including the 9GW of offshore wind the state’s CLCPA legislation mandates for deployment. Several such projects are already being developed through a Request for Proposal (RfP) launched by New York State Energy Research and Development Authority (NYSERDA).

The state also has in place a 10GW target for distributed solar as well as strict targets for reduction of greenhouse gas emissions (GHGs) from buildings, all of which is also likely to drive the case for behind-the-meter (BTM) energy storage, which can help reduce demand on the transmission system.

Wholesale market changes for energy, capacity markets and ancillary services will help drive investment into grid-scale and behind-the-meter energy storage, NYISO said.

According to the New York Department of Public Service (DPS), as of the end of 2021, there were 1,230MW of deployed, contracted or awarded energy storage projects in the state, equivalent to 80% of an interim 1,500MW by 2025 policy target.

DPS also noted that there were 12GW of storage in New York interconnection queues at that time, Energy-Storage.news reported in April.

NYISO’s revisions to the wholesale market include filing compliance proceedings for the Federal Energy Regulatory Commission (FERC) Order 2222, which requires transmission system operators to reconfigure wholesale markets to allow distributed energy resources (DERs) to participate.

It also filed for FERC’s approval for tariff modifications that would remove buyer-side mitigation (BSM) costs for energy storage aggregation and received approval for rule changes that would allow energy storage co-located with wind or solar PV to take part in wholesale markets as separate assets to the generation.

Read NYISO’s Power Trends 2022 report here.

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