State utility Southern California Edision (SCE), as part of its Preferred Resources Pilot, has selected Advanced Microgrid Solution (AMS) to develop and deliver 40 MW of energy storage systems designed to expedite the integration of solar energy on to the Southern California grid.
The cleantech firm has announced five power purchase agreements (PPAs) signed with SCE for the deployment of the storage systems, forming part of a 125 MW procurement program designed to manage circuit load in one of the most densely populated areas of the state – the Los Angeles Basin.
The AMS storage systems will reduce demand from the grid on key distribution circuits, while utility customers that host the systems will benefit from lower energy costs and increased revenue for participating in the grid services programs. California’s vast and growing distributed solar resources will also benefit, because the storage system will be designed to integrate solar energy.
The cities of Santa Ana, Irvine, Tustin and other areas of the Orange County – many adversely affected by the closure of the San Onofre Nuclear generating station – will be the chief beneficiaries of the SCE program, with AMS one of six companies chosen to participate in the effort to transition the region’s primary power source from traditional fuels to clean energy resources.
AMS will build, own and operate the networks of storage systems at chosen SCE C&I customer locations. The systems will provide fast-response load control on key areas of the grid. The batteries will take up the slack during peak energy demand periods, thereby reducing customers’ reliance on the grid during these more expensive times of the day.
“SCE’s aggressive use of advanced technologies for grid management showcases the utility’s unrivaled leadership in the clean energy sector,” said AMS CEO Susan Kennedy.
The chair of the California Air Resources Board, Mary Nichols, added that energy storage is a clean-air, clean-energy strategy that should be a “top priority” for every electric utility. “Reducing demand on the grid instead of adding new peaker plants is the fastest way to reduce greenhouse gas emissions while improving reliability for customers,” she said.
AMS is already working on developing storage and microgrid projects in California to address the state’s water-energy nexus, grid reliability and renewable integration issues. The firm has contracts to supply around 120 MW of customer-sited storage projects across California.