Capital Power has announced commercial operations of its 120MW York battery energy storage system (BESS) and 50MW Goreway BESS projects in Ontario, Canada.
Capital Power said it delivered both projects on time, under budget, and “with an excellent safety record.”
York and Goreway are Capital Power’s first BESS projects. The company wholly owns and operates both projects.
The company also says it worked closely with the City of Brampton, the Township of King, Indigenous Nations, and local residents to bring the projects to fruition.
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Capital Power highlighted its community investments in local food banks, sporting events, and health centres.
Both projects are expected to generate approximately US$35 million in annual EBITDA under contract for over 20 years. They are contracted until 2047 with the Ontario Independent Electricity System Operator (IESO), following its expedited long-term 1 (LT1) request for proposals (RFP) process.
In 2023, the IESO launched its first LT1 procurement via a streamlined process. The system operator awarded contracts for over 850MW of battery storage capacity in two phases during May and June.
Building on this expedited process and as part of LT1’s primary procurement round, the IESO entered into contracts for 10 more energy storage projects, totalling 1.75GW. This marks Canada’s largest single BESS procurement to date.
The IESO recently launched its LT2 RFP, publishing documents for the process at the end of June.
A report from trade association Energy Storage Canada (ESC), ‘Energy Storage Canadian Market Outlook,’ was published earlier this month. It details the current role of energy storage in the country.
Notably, Ontario is leading BESS installations, accounting for over two-thirds of the grid-connected energy storage in the country, with 486MW.
Alberta follows, having installed 190MW of BESS.
However, Ontario is home to IPP Northland Power’s 250MW/1000MWh Oneida Energy Storage project, which more than doubled the province’s energy storage capacity when it entered commercial operations in May.
