Northland Power has signed a contract for capacity at its Oneida Energy Storage Project.
The Energy Storage Facility Agreement (ESFA) with the Independent Electricity System Operator (IESO) strikes a 20-year fixed price contract for revenue payments for the majority of the capacity from the project.
The remaining capacity will earn market revenues through sales into the wholesale market.
The project has the potential to double the amount of energy storage resources on Ontario’s clean electricity grid from approximately 225MW currently to around 475MW when it is completed in 2025.
In addition, Northland has finalised a Battery Supply Agreement and a long-term Service Agreement with Tesla for the supply of key components and services, as well as an EPC agreement with Aecon Group for designing, engineering and constructing the facility.
“The Oneida Energy Storage Project is a milestone for Ontario’s burgeoning energy storage sector. For Northland, this site marks our first storage investment. As trusted and experienced operators in Canada, the opportunity to construct and operate Canada’s largest battery energy storage project holds special significance,” said Mike Crawley, President and CEO of Northland Power.
“We recognise the government of Canada and the government of Ontario for their continued support of Oneida as part of their broader vision to ensure reliable and affordable clean energy for Canadians. We’re excited to be a part of this growth and look forward to continuing to work in partnership with NRStor and the Six Nations of the Grand River Development Corporation.”