Calgary: AltaGas Ltd. announced August 16 that through its wholly owned subsidiary, AltaGas Pomona Energy Storage Inc., it had signed a 10-year Energy Storage Resource Adequacy Purchase Agreement (ESA) with Southern California Edison (SCE) for 20 megawatts of energy storage at its Pomona Facility in the east Los Angeles Basin of Southern California. The Pomona Energy Storage Project, which AltaGas will build, own and operate, is expected to cost between US$40 - $45 million and will be among the largest battery storage projects in North America when it comes on line by the end of December.
AltaGas was a successful participant in SCE's Request For Offers (RFO) for resource adequacy from energy storage units. Under the terms of the Energy Storage Agreement, AltaGas will provide SCE with 20 MW of resource adequacy capacity for a continuous four hour period, the equivalent of 80 MWh of energy discharging capacity. AltaGas will receive fixed monthly resource adequacy payments under the ESA and will retain the rights to earn additional revenue from the energy from the lithium-ion batteries.
AltaGas has selected Greensmith Energy Management Systems, Inc. to provide its software control platform (GEMS) in addition to lithium-ion batteries and power conversion technology (PCS). The battery and PCS hardware will be integrated by Greensmith. AltaGas will retain overall project management, execution and operations of the project.