- PRESS RELEASE -
ARLINGTON, Va., August 18, 2016 – The AES Corporation (NYSE: AES) today announced its subsidiary, AES Energy Storage, has entered into two contracts with San Diego Gas and Electric (SDG&E). AES will install and commission two energy storage arrays totaling 37.5 MW using its Advancion® energy storage solution at sites in San Diego County, California. The SDG&E-owned energy storage arrays will help to improve regional reliability and integrate greater amounts of renewable energy when operational by the end of January 2017.
“We are excited that SDG&E has selected AES’ Advancion energy storage solution to help meet peak demand and ensure the reliability of the electric grid in Southern California,” said Andrés Gluski, AES President and Chief Executive Officer. “AES recently made Advancion available to utilities, developers and commercial customers interested in owning our innovative and scalable solution, and SDG&E’s selection of Advancion highlights the significant growth potential we see for our energy storage business.”
With the support of the California Public Utilities Commission, SDG&E leveraged an ongoing competitive solicitation to seek energy storage projects on an expedited basis. SDG&E selected Advancion 4, AES’ fourth generation battery-based energy storage platform and recipient of the Edison Electric Institute’s 2016 International Edison Award. Advancion is designed for rapid deployment and is a smart, dependable and cost competitive alternative to peaking power plants that improves existing electric infrastructure and enables a greater penetration of clean energy resources.
“These batteries are beneficial because they maintain a reliable flow of energy to customers when they need it most,” said James P. Avery, SDG&E’s chief development officer. “We also are national leaders in supplying renewable resources, with more than 33 percent of the energy we supply to customers coming from wind and solar. These batteries will help smoothly integrate this growing supply of clean energy onto the power grid for use by our customers.”
The SDG&E Advancion arrays will be able to provide 37.5 MW of power for four continuous hours and serve as a 75 MW of flexible resource to the grid. The arrays will be installed at two SDG&E substation facilities: 30 MW in Escondido and 7.5 MW in El Cajon. Once completed, the Escondido array will be the largest battery-based energy storage project in operation in the United States. Both arrays will incorporate components from best-in-class Advancion certified suppliers, including batteries by Samsung SDI and power conversion systems by Parker Hannifin.
AES has been deploying advanced battery-based energy storage onto electric grids since 2008, including recent installations in the United States, Northern Ireland and the Netherlands. With more than three million megawatt-hours of delivered service across 136 MW of energy storage projects in four countries and an additional 296 MW under construction or in late stage development, AES is the most experienced energy storage provider in the world.
The AES Corporation (NYSE: AES) is a Fortune 200 global power company. We provide affordable, sustainable energy to 17 countries through our diverse portfolio of distribution businesses as well as thermal and renewable generation facilities. Our workforce of 21,000 people is committed to operational excellence and meeting the world’s changing power needs. Our 2015 revenues were $15 billion and we own and manage $37 billion in total assets. To learn more, please visit www.aes.com. Follow AES on Twitter @TheAESCorp.
About AES Energy Storage
AES Energy Storage is a leader in commercial energy storage solutions, which improve flexibility and reliability of the power system, and provide customers with a complete alternative to traditional peaking power plants. The company’s Advancion® 4 energy storage solution is available for sale to leading utilities, power markets, and independent power producers, and AES Energy Storage and its partners can manage installations from concept to operation with a market-proven solution that integrates best in class battery and power conversion technologies. AES Energy Storage introduced the first grid-scale advanced battery-based energy storage solution in commercial operations in 2008 and operates the largest fleet of battery-based storage assets in service today. AES Energy Storage has a total of 432 MW of interconnected energy storage, equivalent to 864 MW of flexible resource, in operation, construction or late stage development in seven countries. To learn more, please visit www.aesenergystorage.com or @aes_es on Twitter.
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. Such forward-looking statements include, but are not limited to, those related to future earnings, growth and financial and operating performance. Forward-looking statements are not intended to be a guarantee of future results, but instead constitute AES’ current expectations based on reasonable assumptions. Forecasted financial information is based on certain material assumptions. These assumptions include, but are not limited to, our accurate projections of future interest rates, commodity price and foreign currency pricing, continued normal levels of operating performance and electricity volume at our distribution companies and operational performance at our generation businesses consistent with historical levels, as well as achievements of planned productivity improvements and incremental growth investments at normalized investment levels and rates of return consistent with prior experience.
Actual results could differ materially from those projected in our forward-looking statements due to risks, uncertainties and other factors. Important factors that could affect actual results are discussed in AES’ filings with the Securities and Exchange Commission (the “SEC”), including, but not limited to, the risks discussed under Item 1A “Risk Factors” and Item 7: Management’s Discussion & Analysis in AES’ 2015 Annual Report on Form 10-K and in subsequent reports filed with the SEC. Readers are encouraged to read AES’ filings to learn more about the risk factors associated with AES’ business. AES undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
Any Stockholder who desires a copy of the Company’s 2015 Annual Report on Form 10-K dated on or about February 23, 2016 with the SEC 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. A copy of the Form 10-K may be obtained by visiting the Company’s website at www.aes.com.