Macquarie to invest $200 million in energy storage projects

Macquarie Capital has completed a transaction to provide capital for the joint development and construction of a US$200 million fleet of the Advanced Microgrid Solutions' (AMS) landmark energy storage projects. 

Under the agreement, Macquarie will provide project capital that will be used to design, construct and manage a distributed fleet of AMS's advanced energy storage facilities located at commercial, industrial and government host sites. The energy storage systems will be used for utility grid services, including flexible and reserve capacity, solar integration and voltage management in addition to retail energy services such as demand management, back up generation and enhanced power quality.

AMS's first projects will provide 300 megawatt-hours of capacity resources and demand management for utilities and certain commercial, industrial water and university customers in the West Los Angeles Basin service territory of Southern California Edison (SCE). SCE, which is California's second largest utility, will purchase capacity from the AMS fleet of behind-the-meter, battery-based energy storage systems under 10-year capacity contracts to provide load reduction services as part of SCE's plan to modernize the grid by 2022.

Susan Kennedy, Chief Executive Officer of AMS said

AMS is proud to announce this partnership with Macquarie Capital. Macquarie's financial strength and expertise in large infrastructure development makes them the MVP in the world of energy infrastructure."

Rob Kupchak, Head of US Power, Utilities and Renewables for Macquarie Capital commented:

"AMS's focus on contracted, grid-scale energy storage projects stands out amongst developers forging a path in the energy storage space. The next decade is likely to see huge changes in the mix of energy consumed across the globe, and we see energy storage rapidly emerging as a growth market in the next generation of energy infrastructure."

Kelly Warner, President of AMS added:

"Macquarie Capital is the gold standard for investment in critical infrastructure. Combining our innovative designs and technology with Macquarie's development and financing expertise will enable us to deliver best-in-class storage solutions and build tomorrow's energy grid."