Perhaps best known outside the US for peaches and its emergence as a rival to Hollywood, Georgia is also thirsty for electric capacity and has become a hub for battery manufacturing, writes Allan Oduor of Enertis Applus+.
Georgia is on track to deploy more than 1GW/4GWh of utility-scale storage by 2027, outpacing every other Southeastern state. Driven by economic growth and evolving grid requirements, Georgia’s energy storage sector presents an opportunity worth evaluating. For developers, financiers, and the engineering, procurement and construction (EPC) workforce, the market merits a hard look.
Load growth is the catalyst
Utility Georgia Power’s 2025 Integrated Resource Plan (IRP) projects approximately 8,200MW of new winter peak demand by 2030/31. This is 2,200MW more than it projected just two years ago. In this scenario, near-term demand climbs to ≈5,940MW by 2028/29 and hits ≈9,400MW by 2034/35. Most of that spike comes from data centres, EV manufacturing, and other energy-hungry industries.
Why it matters: The load curve is steep and front-loaded. So, available capacity—such as that provided by battery energy storage systems (BESS)—has to show up fast.
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Procurement channels and near-term timeline
In direct alignment with critical load demand, Georgia Power is executing a strategy to integrate BESS capacity. The largest electric utility in the state is undergoing a transformation with investments in BESS driven by recent regulatory approvals and rapid project execution.
Building upon earlier Integrated Resource Plan (IRP) cycles, the 2023 IRP Update1 notably sanctioned an additional 500 megawatts (MW) of BESS capacity for utility ownership and operation. This strategic planning is swiftly translating into tangible infrastructure. A considerable 765MW of new BESS projects2 authorised through the 2025 IRP process are actively under construction across various locations in the state.
| Channel | What’s on deck | Timing |
| Utility build‑own‑operate | 765MW now under construction across four sites (Robins 128MW, Moody 49.5MW, Hammond 57.5MW, McGrau Ford I + II 530MW total) | All online May–Nov 2026 |
| Company‑owned tranche from 2023 IRP Update | Extra 500MW (same four sites) | Certified Aug 2024; in EPC contracting |
| Targeted Winter 2027/28 BESS RFP | At least 500MW | Issued Aug 2024, shortlist Q1 2025 |
| All‑Source Capacity RFPs | Additional capacity through the early 2030s | 1st round expected 2026 |
| Third‑party tolling / solar‑plus‑storage | Fort Stewart 15MW / 4‑hour BESS | Contracting phase |
Georgia Power helps de-risk projects by locating BESS storage next to existing substations or retired plants. This is an intentional strategy to capitalise on existing infrastructure, alleviate common development bottlenecks, and optimise the critical path to commercial operation.
The sites selected for the recently approved deployment for 500MW of utility‑owned BESS capacity exemplify this approach:
- Co‑locate with existing solar and substations near Robins and Moody AFBs.
- Repurpose retired coal sites (Hammond BESS) to use in‑place transmission.
- Phase expansions at McGrau Ford to piggy‑back on substation upgrades.
Downstream market dynamics
Cost signals: Preliminary discussions regarding engineering, procurement, and construction (EPC) managers for Georgia’s 4-hour utility projects indicate that turnkey prices are expected to range between US$450-600 kW-AC (≈US$140-160 kWh). These estimates fall significantly below the mid-case projection of US$326 per kWh for 2025 systems, as forecasted by the National Renewable Energy Laboratory (NREL) in 2023.
Moreover, the predicted prices approach the BloombergNEF’s average US turnkey cost of US$165 per kWh for 2024, largely attributed to the incentives provided by the Inflation Reduction Act (IRA), section 45X, which credits and strategic bulk procurement agreements for batteries with Tesla. It is advisable to model around a US$525 per kW midpoint to effectively capture the downward pricing trend while accounting for potential supply chain disruptions and tariff fluctuations.
Revenue stack: Standalone storage in Georgia primarily generates revenue through utility capacity payments and fixed-price tolling contracts rather than engaging in spot-market arbitrage.
According to Georgia Power’s 2025 IRP, these avoided-cost payments are estimated to be approximately US$3 per kilowatt-month, with annual escalations. The existing BESS Request for Proposals (RFPs) incorporate a “must-charge” profile that limits the potential for energy-market gains. Furthermore, while ancillary service revenues through the Southeast Energy Exchange Market (SEEM) represent an additional opportunity, they do not form a fundamental source of cash flow.
Georgia’s role in US domestic battery manufacturing
Adding to Georgia’s appeal is its rapidly growing prominence in the domestic battery manufacturing and supply chain – a critical factor for the scalability and security of grid-scale BESS deployments.
In relation to the broader US energy storage industry, the American Clean Power Association (ACP) has committed to investing US$100 billion by 2030 in building and procuring American-made grid batteries and to supplying 100% of U.S. energy storage projects domestically by the end of the decade3. This national push is creating a robust ecosystem of manufacturing facilities in the Peach State.
Georgia has emerged as a major hub within this burgeoning domestic supply chain, particularly for the electric mobility sector, which shares technological and manufacturing synergies with grid-scale storage. The state has attracted billions in investment since 2018 for EV and battery-related projects4. Key battery manufacturing initiatives in Georgia include investments by Korean companies like SK Battery America (now SK On), operating large-scale battery manufacturing plants in Commerce, and the Hyundai Motor Group and LG Energy Solution Joint Venture, developing a major EV battery cell plant in Bryan County5.
Additionally, Stryten Energy has a lithium assembly plant in Cumming, GA, focusing on lithium battery production for various applications, including stationary energy storage.
It is worth noting that while there have been manufacturing announcements, the landscape can change, as seen with the cancellation of Freyr’s planned BESS plant in Georgia, highlighting the dynamic nature of this emerging market.
The financial attractiveness of the Georgia BESS market is further amplified by the interplay of deployment incentives and manufacturing incentives. Particularly, the Section 45X Advanced Manufacturing Production Credit established under the Inflation Reduction Act (IRA).
This incentive provides financial assistance for the domestic production of eligible battery components, which include battery cells, battery modules, and electrode active materials. For BESS developers, EPCs, and owners/operators, a strong domestic supply chain in states like Georgia offers advantages including:
- Sourcing components domestically strengthens supply assurance by reducing reliance on volatile overseas supply chains.
- Shorter transport routes lower logistics overhead, cutting freight costs and accelerating delivery schedules.
- Proximity to production facilities enhances quality oversight by enabling closer monitoring of manufacturing processes and rapid resolution of any issues.
- Increased domestic output supported by federal and state incentives yields more predictable component pricing, stabilising capital cost forecasts.
Georgia’s emerging domestic battery manufacturing facilities incorporate production flexibility to serve both automotive and grid-scale storage markets. This dual-manufacturing capability enhances supply chain reliability for utility-scale BESS projects, reduces dependence on international suppliers, and minimises procurement delays typically associated with overseas shipping and coordination.
| Risk | Why it matters |
| Policy volatility in Washington | Several House proposals would repeal or sunset core IRA credits, including Section 45X for battery manufacturing6. Losing those incentives could erase up to 30 % of projected cost declines for domestic cells and modules, forcing project repricing or relocation. |
| DOE Loan Programs Office under the microscope | A Republican-led Congress has floated defunding or sharply curtailing the LPO, jeopardizing multi-billion-dollar loan guarantees that many battery factories (and some grid-storage projects) already rely on for cheap capital7. |
| Tariff whiplash | The latest “Liberation Day” duties slap 64.5 % on Chinese lithium-ion batteries today, climbing to 82 % in 2026, while broader Section 301 tariffs could jump to 60 % on all Chinese imports. Every 10-percentage-point tariff hike adds roughly US$30–US$40/kWh to turnkey storage costs according to the Prometheus Institute8. |
| Import dependence | ~70 % of lithium-ion batteries used in the U.S. last year were sourced from China9, and most new U.S. plants still plan to import cells or precursor materials. Until a deeper domestic supply chain exists, tariff shocks and shipping bottlenecks flow straight into EPC bids. |
| Investment hesitation & project slippage | Policy and tariff uncertainty is already filtering into the pipeline: Wood Mackenzie10 trimmed its 2025 grid-storage forecast, and developers report pausing contract signings until they see clearer cost signals. Roughly half of 2025’s announced U.S. grid-battery deployments are at risk of delay or renegotiation. |
Georgia isn’t merely adding megawatts, it is filling a genuine capacity gap with ready‑to‑build projects, an anchored supply chain, and a clear procurement schedule. Despite the challenges of site selection and regulatory issues common in such a fast-moving market, BESS projects that secure sites and equipment early position themselves to benefit from a unique and reduced-risk growth opportunity in the Southeast’s emerging storage hotspot.
As the development of storage solutions in Georgia accelerates, the conversion of nameplate capacity into reliable, revenue-generating megawatt-hours necessitates detailed engineering and diligent oversight.
1 Georgia Power 2023 Integrated Resource Plan Update
3 American Clean Power Association (ACP)
4 Georgia Department of Economic Development
5 Alliance for Automotive Innovation
10 Wood Mackenzie Power & Renewables/American Clean Power Association
About the Author
Allan Oduor is an associate project manager for US BESS projects at Enertis Applus+, a global, full-range engineering consultancy firm with extensive expertise in the renewable energy and storage sectors. Founded in 2006, and part of the Applus+ Group since 2021, Enertis Applus+ has an accumulated experience of more than 400GW in renewable energy projects and 100GWh in energy storage projects worldwide.
