Rolling blackouts loomed large enough during a Christmas Eve cold snap in 2022 to trigger nearly $40 million in fines against multiple power plants, after they failed to pump out extra electricity in a pinch for the strained New England grid.
A few years later, that grid is several steps closer to providing a needed power boost at the snap of the fingers — thanks to increasing numbers of battery farms under development from Bridgeport to Killingly that could match the output of small power plants for short stretches.
As of last January, utility-scale battery power storage made up 46% of applications for new power sources to be connected to the grid, as reported by ISO New England, which oversees the region's wholesale power market.
ISO New England lists about 30 active battery farm projects statewide in Connecticut where developers want to hook up to grid substations operated by Eversource and the United Illuminating subsidiary of Avangrid. This year, feasibility or impact studies for at least 10 more battery farms have been filed as well.
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A year ago, the Norwich-based Connecticut Municipal Electric Energy Cooperative issued a request for developers interested in building as many as five battery farms for its customer territories, which include portions of Norwalk, Norwich, Groton, Griswold and Bozrah.
If delivered as planned (several applications have been withdrawn over the past few years), those Connecticut projects would add up to more than 4.3 gigawatts of electric storage capacity, at a total investment of billions of dollars. That would represent roughly double the output of the two nuclear reactors at Dominion's Millstone Power Station, for the short window of time those batteries would be able to discharge that power onto the grid before having to be recharged.
Boost of juice — but from whom and where?
On its running list of battery farm applications, ISO New England does not identify specific developers or planned locations beyond the county level, with an ISO New England spokesperson telling CT Insider that is in compliance with confidentiality agreements.
An Eversource spokesperson said the company must abide by confidentiality pacts as well, but that none of the battery-storage projects in the current Connecticut pipeline are being developed by Eversource itself. Several years ago, the company built a battery farm at the tip of Cape Cod in Massachusetts and Eversource currently has two more projects under way outside Connecticut. Eversource has also piloted the concept of mobile energy storage trucks to maintain an uninterrupted supply of power to customers during repair work without relying on diesel-fuel generators.
"Projects are being studied by ISO-NE, and we are unable to predict which will move forward and be built," said Eversource spokesperson Tricia Modifica in an email. "Developer names remain confidential during this process, and while they are not being built in partnership with us, once approved by ISO-NE, we would build supporting transmission infrastructure as needed for transmission interconnected battery storage projects."
An Avangrid official told CT Insider that the Orange-based company is not on the development teams for any of the projects connecting to United Illuminating's substations.
Multiple developers have disclosed their projects publicly, including Elevate Renewables and its Boston-based parent ArcLight Capital Partners. Elevate has five battery farms planned for the sites of existing power stations in Bridgeport, Middletown, Milford, Montville and New Haven.
In October, Elevate got $27.5 million in funding through the U.S. Department of Energy's Grid Resilience and Innovation Partnerships Program, for a battery farm at Milford's Devon Generating Station, which provides power during peak periods of need like cold snaps.
Albany, New York-based Key Capture Energy has filed limited liability companies for 10 battery farms in Connecticut, ranging from five to 190 megawatts in capacity. In Granby, Key Capture Energy has encountered pushback from some residents expressing concern on any possibility of a fire being sparked by the lithium elements of storage batteries.
Several Redding residents turned out last May to voice objections to a $200 million battery farm proposed by Hecate Energy, whose website now lists a large installation planned for Haddam as its only Connecticut project in the works. One Redding homeowner told town officials he never imagined he would need a "go bag" in his wooded neighborhood, citing the fear of any thermal runaway fire that might prompt an evacuation of the street where the battery farm had been proposed.
Help during outages
Gov. Ned Lamont's administration has been offering incentives to encourage battery storage systems, with the primary goal reducing electricity prices. Under a 2022 law passed by the Connecticut General Assembly, the state must achieve a carbon-emission-free electric grid by 2040 by phasing out polluting sources of power generation.
Battery farms got an extra boost from the federal Inflation Reduction Act of 2022, which made battery farms eligible for tax credits that had been designed initially to spur the development of wind and solar power.
Battery farms are seen as an integral part of the power grid equation for utility-scale wind and solar farms, socking away electricity for discharge during calm or cloudy days when electrical output is lower at those installations to keep a steady flow of power on the grid. For power outages lasting hours, battery farms could provide a temporary source of instant power to fill any gap.
But Northeast policymakers see battery farms as a way to reduce electric prices as well. Recharging overnight when wholesale power generation costs are lower, batteries can discharge that electricity during daylight hours when wholesale prices rise alongside daytime power consumption, resulting in a net savings for rate payers.
Those savings are defrayed partially by the need to install fresh battery cells a few times during the anticipated four-decade life of the current generation of storage batteries, according to Gerhard Walker, a grid planning manager for Eversource, during a pair of Connecticut Public Utilities Regulatory Authority technical meetings in September and October.
Walker added battery farms often require extra investments in substations to accommodate their power capacities, given the unpredictable operating model in which they can be flipped on at any moment, whether to provide lower-cost electricity or fill in any gap during an outage.
"A substation’s load characteristics are not the same every hour of the day, and we need to plan the system to ensure that there is sufficient capacity for secure operation under foreseeable conditions," said Eversource spokesperson Jamie Ratliff via email. "Part of that analysis and planning can include agreed-upon operating schedules, which can limit grid impact by avoiding charging at certain times. Storage systems without such control mechanisms may require distribution and ... transmission build out."
And using batteries for pricing power can impact their availability during outages, Walker noted, if any outage strikes later in the day or evening after batteries have been running during the day to deliver lower prices. Assigning blame may be not as easy as during the 2022 instance when power plants did not step up under contractual obligations with ISO New England, with clear lines of regulatory oversight in place.
"I don't even know where that goes down the rabbit hole," Walker told PURA commissioners in September. "Even if you do collect those damages, that does not help the customer ... [who] might have still been out of power, right?"
Includes prior reporting by John Moritz, Paul Schott and Luther Turmelle.
Dec 20, 2024
Reporter
Alexander Soule is a business writer with Hearst Connecticut Media Group. He covers the state economy and other business news as well as penning a monthly column on personal finance for Connecticut Magazine. Before joining Hearst Connecticut, Alex started a growth economy website called Enterprise CT chronicling Connecticut startups. Before that, Alex spent six years with the Fairfield County Business Journal, and before that the Boston Business Journal, the Rochester Business Journal, Mass High Tech and InsuranceTimes in Boston. Alex is a Maine native who served a two-year enlistment in the U.S. Army (Fifth Infantry Division at Fort Polk, La.) before attending Connecticut College.
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