Recurrent Energy buys two energy storage projects from BMES

Recurrent Energy solar business

Recurrent Energy, a subsidiary of Canadian Solar, announced the acquisition of two standalone energy storage projects totaling 400 MWh from Black Mountain Energy Storage (BMES).

The projects — in the South Load Zone of the Texas ERCOT market — are each anticipated to store up to 200 MWh of energy. Both projects are currently in development and are anticipated to reach notice to proceed (NTP) in 2023 and begin operation in the second quarter of 2024.

Recurrent has developed 2.9 GWh of energy storage projects that are in construction or operation. It is also handling 15.5 GWh of projects under early to mid-stage development. Recurrent will operate the two energy storage projects as merchant projects in the ERCOT market. Recurrent will develop the projects, finalize entitlements and designs, select and procure equipment, raise project financing, and construct the facilities.

Shawn Qu, chairman and CEO of Canadian Solar, said: “ERCOT is one of the fastest growing markets in the world for energy storage, driven by market demand for flexible capacity.”

According to Wood Mackenzie’s US Energy Storage Monitor report, in 2021 annual deployments of grid-scale storage nearly tripled year-over-year, to over 3.5 gigawatts, with California and Texas as leaders. The South Zone in ERCOT is an attractive area for storage development due to the abundance of coastal wind and solar power.

The transactions were executed through the LevelTen Asset Marketplace, a platform that connects clean energy project developers and financiers, and provides the software, analytics and M&A transaction expertise they need to execute transactions quickly.

The LevelTen Asset Marketplace provides a centralized platform for renewable energy project sales, and delivers the tools buyers and sellers need to transact quickly, said Patrick Worrall, vice president of Asset Marketplace, LevelTen Energy.