Salt River Project (SRP) and Arizona Public Service (APS) have recently announced significant energy storage agreements in Arizona, showcasing the state’s expanding storage market. Combined, these deals will establish a total of 300 megawatts (MW) of energy storage capacity, which can generate up to 1,200 megawatt-hours (MWh) during a full discharge.
The SRP has committed to purchasing energy from the upcoming 200-MW/800-MWh Flatland energy storage project, which is being developed by EDP Renewables North America near Coolidge, Arizona. The public utility highlighted that this $271 million facility is expected to be operational by next year, aimed at meeting peak energy demands.
This project will utilize Tesla batteries and will be strategically positioned next to EDP’s existing 200-MW Bristlebush solar project, which SRP plans to leverage for energy supply to a Meta data center.
On the other hand, Arizona Public Service has signed a long-term agreement to acquire power from the 100-MW/400-MWh White Tank storage project, being developed by Strata Clean Energy near Avondale, Arizona. This agreement, spanning 20 years, was announced on November 12, with the project expected to be online by April 2027 as part of APS’s broader initiative to expand renewable energy sources in response to increased energy needs.
Furthermore, Strata is also overseeing the development of a 255-MW/1,020-MWh Scatter Wash storage project, which has a power purchase agreement with APS and is slated to become operational in the first half of the upcoming year. The project was acquired by Copenhagen Infrastructure Partners in September.
Additionally, APS has made arrangements to purchase energy from Strata’s planned 150-MW/600-MWh Justice storage project located in Phoenix, a move that reinforces the commitment towards renewable energy growth in the area.
With a total of 7 gigawatt-hours (GWh) of storage currently in development, Strata boasts a robust pipeline in Arizona, alongside ongoing projects across the United States, including a total capacity of 6 GW of solar energy and 22 GWh of storage.
As of June 2023, Arizona’s battery storage capacity stood at 923 MW, with projections indicating around 2,760 MW will be operational by the end of 2025, according to the Energy Information Administration. In the second quarter of the year, Arizona was rated second in the nation for battery storage installations, contributing to the overall advancement in renewable energy solutions in the region.