US storage and geothermal player Ormat has begun commercial operations of a 20MW battery energy storage system (BESS), located in New Jersey.
The 20 megawatt-hour Montague BESS will provide ancillary services on the merchant market to PJM Interconnection and is expected to be eligible for a 30% Investment Tax Credit.
With the addition of Montague, Ormat’s total capacity in the PJM market stands at 120MW/120MWh.
Ormat CEO Doron Blachar said: “We are pleased to announce the successful commencement of commercial operations at our Montague facility, which reflects our dedication to expanding our Energy Storage portfolio in strategic U.S. markets while also continuing to make progress in improving our profitability.
“With the addition of Montague, Ormat now operates 290MW/658MWh of energy storage projects, and we have several additional projects currently under construction, demonstrating our strong development capabilities and commitment to achieving our 950MW-1050MW/2.5GWh-2.9GWh 2028 energy storage portfolio capacity target.”
Blachar added: “The addition of the Montague project brings valuable ancillary services to the PJM market, enhancing the reliability of the grid while also supporting the transition to a cleaner energy future.
“We are proud to support the PJM market with our premium renewable power generation and energy storage solutions.”