Southern California Edison’s (SCE) 2014 venture into virtual power plant (VPP) technology has yielded a new world record – delivering 2GWh of grid services, and saving customers over $1 million in savings, according to a press release.
2018, the VPP’s first year operation saw the joint project achieve another world first as the first VPP to be in operation for a full 64 days during the winter peak demand season. Overall, the plant was dispatched to the California Independent System Operator 250 times in 2018, during its 11MW/60MWh first phase.
The project, owned by Macquarie Capital, is the largest in the world, using battery storage to manage peak demand at large industrial and commercial sites in the greater Los Angeles metropole, including 21 hybrid electric buildings owned by the Irvine Company.
At the initiatives start, SCE awarded 262 MW of contracts to five companies to build a combination of energy storage projects both behind-the-meter and at SCE substations. AMS was awarded a contract to reduce peak demand in the LA Basin by installing battery storage systems behind-the-meter at SCE's commercial industrial customer sites.
These targeted what SCE referred to as “preferred resources” namely energy storage, solar, wind, energy efficiency and conservation.
AES, NRG, Onsite Energy, Sterling Analytics, SunPower, Ice Energy Holdings and Stem were among others chosen by SCE to participate.
AMS was awarded a contract to reduce peak demand in the LA Basin by installing battery storage systems behind-the-meter at SCE's commercial industrial customer sites.
“SCE is proving that distributed energy, properly harnessed, can provide flexibility to the grid while reducing energy costs for customers,” said Susan Kennedy, CEO of AMS. “By using batteries to replace fossil fuels for peak demand in a region like Los Angeles, California is proving that 100 percent clean energy policies can be achieved anywhere in the world.”