RENO, Nev., April 16, 2018 (GLOBE NEWSWIRE) -- Ormat Technologies, Inc. (NYSE:ORA) announced that its wholly owned subsidiary, Viridity Energy Solutions, Inc., a leading battery storage, distributed generation, demand response, and energy management solution provider expects to start construction of two 20MW/20MWh utility scale, in-front-of-the-meter battery energy storage systems (BESS) located in Plumsted Township and Alpha, New Jersey. The projects were initiated by Ormat’s Viridity and are expected to be operational in the fourth quarter of 2018. Ormat, through Viridity, will finance, construct, own and operate the projects. The BESSs will be utilized to provide ancillary services to assist PJM Interconnection, a regional transmission organization (RTO), in balancing the electric grid, and will also be available as a capacity asset. In 2019, the projects are expected to generate average revenues of between $7 million and $8 million, mainly from ancillary services. The projects’ revenues are based on spot prices and may vary from period to period.
Ormat and Viridity selected Dynapower’s inverters and LG Chem’s modules for the two 20MW/20MWh BESSs. Viridity is also using Dynapower’s package to provide a fully integrated system including the inverters, batteries, thermal management and enclosures. Viridity’s market leading VPower™ software will provide the visualization, optimization, economic value stacking and automated control of the BESS to deliver the optimal economic return and to provide the electric grid with better performance.
Earlier today Viridity announced a new behind-the-meter 1 MWh project which will serve Atlantic County Utility Authority’s (ACUA) unique ecological green facility by a Battery Storage as a Service model, optimizing the facility economics as well as providing PJM Interconnection grid ancillary services.
Isaac Angel, CEO of Ormat Technologies said, “The construction of these two 20MW/20MWh utility-scale in-front-of-the-meter battery energy storage systems and the initiation of the ACUA behind-the-meter system, mark another significant step in our strategic plan to expand our reach into energy storage and leverage Ormat’s core capabilities in this growing market. We believe these projects, along with additional initiatives we are working on, will augment our growth over the next few years. The offering Ormat and Viridity bring to the market represent a comprehensive end-to-end value in energy management analytics and optimization from load and distributed resources management as well as energy storage as a service. We are actively pursuing opportunities and partnerships in the US and globally to utilize our comprehensive offering and capabilities.”
“With the 2017 change in the PJM’s market signal, Viridity and Ormat’s engineering teams worked with BESS partners in designing a battery storage system that is tailored to ensure the highest possible performance in the PJM market, thus maximizing the economic return,” said Mack Treece, CEO of Viridity. “Combining our engineering expertise with the industry leading value-stacking algorithms in Viridity’s VPower™ software positions us to produce above industry averages for revenue and savings generated per kW of battery storage.”
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