Energy Storage RFP, bids and Government Contracts
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Energy storage procurement contracts must also take into account the ever-evolving suite of laws and regulations applicable to energy storage projects, including as a result of the recent change in administration in the United States.
In a 2032 system, 13.6 GW of energy storage is currently planned to provide $835 million to $1.34 billion of annual net grid benefits depending on storage costs, as estimated in the CPUC Energy Storage Procurement Study: Moving Forward, Chapter 3.
Recent contracts are predominantly for much larger transmission-connected energy storage projects. Earlier energy storage contracts were significantly more expensive across all grid domains, and they generally reflect the cost reductions seen in the global storage industry.
These contracts allocate the risks of project development, construction, and performance between the parties and include the price that will be paid by the utility for the resource or the energy storage services that are to be provided.
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