Energy storage platform GoodPeak has closed construction debt financing to start construction on two 10MW battery energy storage system (BESS) projects in Texas, US.
GoodPeak closed construction credit facilities with Pathward, NA and BridgePeak Energy Capital.
Enjoy 12 months of exclusive analysis
- Regular insight and analysis of the industry’s biggest developments
- In-depth interviews with the industry’s leading figures
- Annual digital subscription to the PV Tech Power journal
- Discounts on Solar Media’s portfolio of events, in-person and virtual
Or continue reading this article for free
The company’s two BESS projects will have a 2-hour duration (20MWh storage capacity) and be located near Houston, Texas. They are expected to come online at the end of 2025.
While GoodPeak has announced the projects as having a 10MW capacity each, it is likely that the projects have a 9.9MW capacity, allowing for a quicker interconnection process in the Electric Reliability Council of Texas (ERCOT) market.
Available Power VP business development, Alex Krass explained the process at the Energy Storage Summit USA in 2023:
“You can skip a part of the interconnection process with ERCOT (with projects under 10MW) so your time to market is quicker, which is fantastic.”
Because of this quicker interconnection, multiple developers have opted for smaller scale, ‘distributed’ projects under 10MW.
For instance, in January, On.Energy closed a credit agreement for its Texas BESS portfolio, in which each project has a capacity of 9.9MW/20MWh.
Plus Power’s Farmersville West BESS 1 and Mainland BESS (Premium access) located in the ERCOT service region each comprise 9.9MW of storage capacity.
Investors SUSI Partners and SMT Energy also added 10 BESS projects in Texas, likely to be 9.9MW each.
GoodPeak launched its energy storage platform in March 2024 after acquiring a large portfolio of ‘distribution-level’ assets in ERCOT from community solar and storage company PearlX in November 2023.
That portfolio consists of 10 projects totalling 100MW. Shortly after acquisition, GoodPeak referenced the shorter interconnection time of the 9.9MW projects in ERCOT, noting that its ‘Texas Tens’ have quicker lead-times than larger, grid-scale batteries.
In addition to the company’s Texas BESS projects, it has 14 sites in California located near Sacramento.
According to GoodPeak’s website, the company’s California portfolio consists of 500MW of solar and 1,200MW of energy storage. The company has not provided updates on the progress of these projects.
The smaller-scale projects in ERCOT are also notable because of the industry-wide trend toward large-scale systems.
Texas continues to see a growing energy demand from increased business and population growth. Depending on the region, it is also subject to some extreme weather conditions.
For a state needing energy storage resources, the shortened interconnection route with an increased number of systems is an enticing offer.
