AES to Expand Energy Storage Presence in PJM Market with First Advanced Energy Storage Facility in O
AES to Expand Energy Storage Presence in PJM Market with First Advanced Energy Storage Facility in Ohio
Battery Array Will Bring AES' Energy Storage Resources in PJM to More than 100 MW
ARLINGTON, Va.--(BUSINESS WIRE)-- AES today announced it plans to bring an additional 40 megawatts (MW) of advanced energy storage resources to PJM Interconnection, which controls the power grid for 60 million people in the Northeast and Midwest regions of the United States. To be located at Dayton Power and Light's (DP&L) Tait generating station, just south of Dayton, Ohio, the AES battery array will provide frequency regulation service to the PJM market and bring new energy technology to Ohio that is safe, reliable, does not bear direct emissions and does not require water. This facility is the first of its kind in the state.
This announcement comes on the heels of AES' recent 400,000 megawatt-hours (MW-h) service milestone within PJM at its Laurel Mountain facility. When the Tait storage array comes online, which is expected to occur in September 2013, it will bring the company's storage resources in PJM to more than 100 MW, all operating on AES' patented control system, sOS™. This will be the third project within PJM to run on the software and the fifth overall. The PJM-specific module of sOS™ employs AES market expertise and PJM-specific operating experience to most efficiently control the array within the market's unique dispatch model. This extensible AES sOS™ platform has been proven in multiple commercial settings and with multiple underlying battery technologies.
"Having served within PJM for many years, we are pleased to expand AES' standing in the market with energy storage assets across West Virginia, Pennsylvania and now Ohio," said Phil Herrington, President and CEO, DP&L. "We look forward to working with the city of Moraine on this project as part of the expertise that AES is bringing to the community and continuing to deliver safe, reliable and sustainable energy solutions that utilize energy storage to better serve PJM and other key markets."
For Ohio, the Tait project brings a multi-million dollar investment in a cutting-edge technology that can displace power generation from inefficient or retiring plants, reduce overall system emissions, and create construction jobs and tax revenue in the Dayton region.
With this storage array in particular, AES is leveraging the mobility and scalability inherent in battery-based grid resources to quickly deploy resources that rapidly meet the needs of any given market. The 40 MW storage resource will consist of 24 MW from AES inventory with the remaining 16 MW coming from an existing AES facility, which the company is relocating to Ohio.
"We've designed our business model in a way that allows us to quickly evaluate and respond to changing market needs," said Chris Shelton, President, AES Energy Storage. "We can make decisions on where we locate battery storage to optimize service across markets. Physically moving an asset to where it's needed most hasn't been possible with traditional power generation and load resources, so it's exciting to be able to do this with energy storage assets."
The DP&L Tait station's generating turbines, operated by DP&L and DPL Energy, LLC, are used during times of peak electricity demand in the summer. The new project will connect through the station but will have an independent agreement with PJM. Unlike conventional resources, the Tait battery facility does not require water to operate and will not produce direct emissions.
The new array will bring AES' total energy storage fleet to 174 MW of power plant equivalent flexibility resource, serving customers in the United States and South America
For more information, please visit www.aesenergystorage.com.
About AES Energy Storage
AES Energy Storage is a subsidiary of the AES Corporation (NYS: AES) , a company that has served utility customers around the world for 30 years, helping them to deliver safe, reliable power. The company is a leader in commercial energy storage partnerships, which enable utilities, power markets and renewable developers to manage projects from concept to operation. The company's energy storage solutions unlock value from existing power infrastructure, liberating reserve capacity, enabling renewable facilities to generate new revenue streams, improving flexibility and reliability of the power system, and meeting peak power demand. With 150 MW of resources online, AES Energy Storage has the largest fleet of battery-based storage assets in commercial operation today. The company has over 1,000 MW in development with prospects in the US and abroad. To learn more, please visit www.aesenergystorage.com or @aes_es on Twitter.
About The Dayton Power and Light Company and DPL Inc.
The Dayton Power and Light Company is the principal subsidiary of DPL Inc., a regional energy company.
DPL's other subsidiaries include DPL Energy, LLC (DPLE) and DPL Energy Resources, Inc. (DPLER), which also does business as DP&L Energy. The Dayton Power and Light Company, a regulated electric utility, provides service to over 500,000 retail customers in West Central Ohio; DPLE engages in the operation of merchant peaking generation facilities; and DPLER is a competitive retail electric supplier. DPL, through its subsidiaries, owns and operates approximately 3,800 megawatts of generation capacity, of which 2,800 megawatts are coal-fired units and 1,000 megawatts are natural gas and diesel peaking units. Further information can be found at www.dplinc.com. DPL Inc. was acquired by The AES Corporation (NYS: AES) in 2011.
Safe Harbor Disclosure
This news release contains forward-looking statements within the meaning of the Securities Act of 1933 and of the Securities Exchange Act of 1934. Forward-looking statements are not intended to be a guarantee of future results, but instead constitute AES's current expectations based on reasonable assumptions. Actual results could differ materially from those projected in AES's forward-looking statements due to risks, uncertainties and other factors. Important factors that could affect actual results are discussed in the Tender Offer Materials related to the Tender Offers and AES's filings with the SEC, including, but not limited to, the risks discussed under Item 1A "Risk Factors" and Item 7 "Management's Discussion & Analysis of Financial Condition and Results of Operations" in AES's 2012 Annual Report on Form 10-K and in subsequent reports filed with the SEC. Readers are encouraged to read AES's filings to learn more about the risk factors associated with AES's business. AES undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
Anyone who desires a copy of AES's 2012 Annual Report on Form 10-K dated on or about February 26, 2013 may obtain a copy (excluding Exhibits) without charge by addressing a request to the Office of the Corporate Secretary, The AES Corporation, 4300 Wilson Boulevard, Arlington, Virginia 22203. Exhibits also may be requested, but a charge equal to the reproduction cost thereof will be made.
Kristin D'Ambrosio, 914-374-2147
KEYWORDS: United States North America Ohio Virginia
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