New Mexico, US utility Kit Carson Electric Cooperative (KCEC) has received US$231 million from the US Department of Agriculture (USDA) to build hydrogen and solar facilities with long-duration energy storage (LDES).
The grant is part of the USDA’s US$6 billion investments through the Empowering Rural America (New ERA) and Powering Affordable Clean Energy (PACE) programmes, as covered by our colleagues at PV-Tech.
KCEC plans to use the grant for its Questa Green Hydrogen Project, which looks to adopt green hydrogen production in Taos County, New Mexico, the Picuris Native American Pueblo People and the Taos Native American Pueblo People.
Custom green hydrogen facilities will be implemented in each of these communities. KCEC plans to co-locate solar generation facilities alongside closed mine Superfund wastewater treatment plants and create long-duration energy storage (LDES) facilities.
Try Premium for just $1
- Full premium access for the first month at only $1
- Converts to an annual rate after 30 days unless cancelled
- Cancel anytime during the trial period
Premium Benefits
- Expert industry analysis and interviews
- Digital access to PV Tech Power journal
- Exclusive event discounts
Or get the full Premium subscription right away
Or continue reading this article for free
It didn’t specify the technology but said the energy storage facilities would have a duration of up to 16 hours, and separately said they would be battery energy storage system (BESS).
New Mexico’s Energy Transition Act (ETA) aims to have rural electric cooperatives such as KCEC achieve 100% carbon-free resources by 2050, with at least 80% renewable energy resources. It also implements the Tri-State’s Responsible Energy Plan to eliminate coal emissions in New Mexico and Colorado.
KCEC CEO Luis A. Reyes Jr. said of the grant: “We are thrilled and extend our gratitude to the USDA for granting this opportunity to our rural electric cooperative in northern New Mexico. This will be a game-changer for KCEC, ensuring a reliable power supply even during challenging conditions and allowing first responders and the community to access lifesaving power during emergencies such as wildfires or extreme natural disasters.”
This announcement from the USDA follows its end-of-2024 US$4.37 billion investments in rural utilities through the New ERA programme. That funding will be awarded to 10 rural electric cooperatives, six of which have stated that they will use part of the funding to add BESS capacity to their grids.
Exus Renewables secures US$312 million financing for 50MW/200MWh BESS, 140MW solar
Also out of New Mexico, Exus Renewables North America has secured US$312 million in financing for the TAG project, a 140MW solar and 50MW/200MWh battery energy storage facility in Sandoval County, New Mexico.
The BESS, scheduled for completion in Q2 2025, will use Tesla Megapacks. A Meta data centre will use the energy generated by the project.
Crédit Agricole Corporate and Investment Bank and ING Americas led the project’s financing, with Exus making a significant equity investment. Norton Rose Fulbright lawyers represented Exus.
New Mexico has been a very active area for solar and storage projects in recent months. In December, IPP Enlight Renewable Energy announced financing for the 290MWdc/940MWh solar-plus-storage Roadrunner project after commissioning its flagship Atrisco solar-plus-storage project in the state.
In November 2024, investor-owned utility (IOU) Public Service Company of New Mexico (PNM) began seeking regulatory approval of two Energy Storage Agreements (ESA) and a Certificate of Convenience and Necessity (CCN) covering 350MW of energy storage capacity (Premium access article) across three projects.
Exus says the newly announced project is already supporting more than 250 temporary construction jobs and will create full-time operations and maintenance positions upon completion.
Jim Spencer, president and CEO of Exus said of the financing: “The successful financing of the TAG project represents a pivotal moment in Exus’ growth trajectory and our commitment to advancing America’s clean energy future.”
“This financing structure showcases our ability to deliver innovative, utility-scale projects that combine cutting-edge technology with practical energy solutions.”
