Independent power producer (IPP) NextEra Energy Resources (NEER) has received approval from the Utah Inland Port Authority (UIPA) for its 200MW battery energy storage system (BESS) in Salt Lake City, Utah, US.
The project will be developed in the Northwest Quadrant Project Area in Salt Lake City, adjacent to the Rocky Mountain Power Terminal Substation.
NEER is operating the project through its subsidiary Dominguez Energy Storage, LLC.
UIPA states that the project aims to improve the region’s power infrastructure by offering extra capacity during peak demand periods, while also promoting a more sustainable energy mix for the state.
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UIPA’s support includes a proposed annual property tax rebate, available upon project completion. Depending on the facility’s operational status and adherence to certain conditions, such as minimal water usage and a corporate stewardship plan, the rebate can continue for up to 25 years.
At a previous UIPA board meeting, Glenn Shober, project director at NEER, clarified that Dominguez Energy Storage would serve not only the Salt Lake area but also provide a reliable energy resource for industries with around-the-clock operations.
On 1 May 2024, the UIPA Incentives Committee reviewed and recommended this incentive. The board’s approval is considered a crucial step in advancing the project, allowing NEER to move forward with the development of Dominguez Energy Storage.
Utah will also be the home of data centre developer Joule Capital Partners’ data centre campus with 1.1GWh of integrated BESS. Earlier this month, engineering equipment manufacturer Caterpillar agreed to deploy a combined heat and power (CHP) plant featuring the BESS for the campus.
Shober said of Dominguez Energy Storage, “Battery energy storage is being requested more frequently by grid operators like Rocky Mountain Power.”
He continued, “This project will support the entire region by providing crucial capacity, especially during peak load times.”
