Convergent Completes Construction on First-of-Its-Kind Global Adjustment Charge Reduction Energy Storage Project for Husky Injection Molding Systems Ltd.
Bolton, Ontario – November 28, 2017 – Convergent Energy + Power, a developer of energy storage projects throughout North America, announced today that it had finished construction on a first-of-its-kind energy storage system. The project is designed to reduce Global Adjustment demand charges, which account for up to 70% of electricity bills for some customers in Ontario. The project is anticipated to reduce electricity cost on the load it addresses by 15-30% per year starting in 2018.
“We deploy energy storage to reduce electricity costs for our customers under a shared savings agreement,” said Johannes Rittershausen, CEO of Convergent. “That means we handle all the cost and risks of building and managing the project, and the customer shares in the savings created. If we do not deliver, our customers do not pay.”
Convergent installed the energy storage system at Husky Injection Molding Systems Ltd., a Canadian-based company specializing in injection molding equipment and services to the plastics industry. The system is specially designed to reduce demand charges and resulting electricity costs at the Husky plant. The constructed asset will be operational as soon as Hydro One is finished with its interconnection work.
“We look forward to realizing significant savings from this system to help us remain competitive over the long-term” said Robert Meek, Director, Global Facilities. “This battery system is a crucial part of our innovative, forward-looking strategy to decrease both operating costs and our overall environmental impact.”
Convergent worked with Lockheed Martin Energy to install their GridStar™ Lithium battery systems, selected for their robust, reliable, and space-saving design. Convergent also used local Mississauga-based vendors for the balance of plant equipment, Ontario-based S&T Electric for construction management, and SNC Lavalin for the design work.
“We are pleased to supply Convergent Energy + Power with our turnkey GridStar™ energy storage system,” said Roger Flanagan, managing director for Lockheed Martin Energy. “Due to our unique and market-leading system design, the required storage capacity was able to fit in a small footprint and be built at a lower cost.”
Together with its other energy storage projects across Ontario – from Sault Ste. Marie to the GTA – this project makes Convergent the largest owner/operator of constructed energy storage projects in Canada. Rittershausen added, “Convergent is excited to help large users of electricity in Ontario save significant money on their hydro bills. We are just at the beginning of using our energy storage assets to make electricity more reliable and cost-effective for customers all over Ontario.”
About Convergent Energy + Power
Convergent Energy + Power is a technology-neutral energy storage asset developer with experience across a wide range of projects, from commercial and industrial applications to grid-connected utility systems, including over 70 MWs and 230 MWhs of projects in operation, construction, or under contract to be built. The company manages all aspects of the energy storage asset development cycle, including project-specific opportunity identification and economic evaluation, contract and financial structuring, engineering-procurement-construction, as well as operations and maintenance.