Energy storage developer Black Mountain Energy Storage (BMES) has sold a 700MW battery storage project in development to UBS Asset Management, which it has sold to the Texas Electric Reliability Commission (BRE) within two months. ERCOT) market's third mass sale.
Five standalone battery energy storage systems (BESS) acquired by UBS Asset Management, a subsidiary of UBS Group, are expected to come online in 2024 and will be connected to the Texas Electric Reliability Commission (BESS). ERCOT) grid.
UBS Asset Management said the battery storage projects, once operational, will provide flexibility, responsiveness and dispatch capabilities to the Electric Reliability Commission of Texas (ERCOT) grid.
The main sources of revenue for these battery storage projects are Frequency Response Services Regulated Reserve Services (RRS) and Fast Frequency Response (RRS-FFR) services, as well as wholesale energy trading near grid-congested nodes.
BMES has sold 1,200MW of energy storage projects in the past two months, which will be delivered in 2024 in the Electric Reliability Commission of Texas (ERCOT) service area. And assuming that the duration of these acquired projects is at least 1 hour, then the total energy storage capacity of these projects is at least 1,700MWh,
BMES also recently sold a 400/600MWh energy storage project to Cypress Creek Renewables with an average duration of 1.5 hours. In June, the company also sold two 100MW/200MWh battery storage projects to Recurrent Energy, a division of Canadian Solar. Both acquirers said they would take over project development, engineering, procurement, financing and construction and operate the sites once they are built.
As energy trading grows as a revenue source, battery storage systems deployed in the Electric Reliability Commission of Texas (ERCOT) market typically last more than an hour.
