Ontario’s IESO Chooses Joint Venture to Build and Operate Three Battery Energy Storage Systems

Ontario’s Independent Electricity System Operator (IESO) has commissioned Convergent Energy and Power and Alectra Energy Solutions in a joint venture to build and operate three battery energy storage systems.

The Convergent/Alectra joint venture will install a total of 80 MW of storage — enough to power more than 83,000 homes—across three sites, a 20MW facility in Guelph and two facilities in Vaughan, a 20MW and 40MW facility respectively. The systems will also increase the reliability and resiliency of Ontario’s electric grid while reducing reliance on fossil fuel generation.

Convergent and Alectra Energy Solutions responded to the IESO’s expedited long-term request for proposals, which aimed to add capacity services from new and expanded electricity resources starting in 2025. Construction of the systems is expected to begin in 2024.

Ontario is entering a period of emerging electricity system needs, driven by increased demand and the retirement and refurbishment of existing power plants. To address these needs, the IESO’s recent request for proposals included energy storage, which can store energy when there is a surplus and provide energy supply in times when it is needed most.

The Convergent/Alectra joint venture’s battery storage systems is meant to not only support the reliability of Ontario’s electricity grid but will also bolster Ontario’s minimal usage of fossil fuels. Because Ontario’s grid is effectively ~92% decarbonized, the power supply that the batteries will store and discharge will be almost entirely clean.

“We’re committed to bringing proven solutions through innovative partnerships and advanced technologies,” said Ammar Nawaz, VP, Distributed Energy Solutions at Alectra Energy Solutions. “As energy demands increase, battery storage systems will serve as an efficient means of supporting an effective as well as clean energy transition in the communities we serve. Sustainable solutions like these are central to Alectra’s commitment to assist in addressing Ontario’s long-term energy goals.”