$65 million investment by Chugach and Matanuska electric set to transform energy
- by Alaska Link
- Oct 08, 2024
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Andrew Laughlin, the chief operating officer for Chugach Electric gives tour of new BESS at Chugach Electric Headquarters.
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Chugach Electric Association and Matanuska Electric Association have invested $65 million in a state-of-the-art battery energy storage system (BESS) to enhance efficiency and stabilize the Railbelt transmission system.
"And what this does is, if there is a trip to a generator, the battery takes over instead of traditional turbine generators," said Andrew Laughlin, the chief operating officer for Chugach Electric. "So it responds faster, and it can also not just deliver power, but absorb power."
On Monday, October 7, 2024, Chugach and MEA cut the ribbon on the new system. Powered by Tesla's Megapack 2XL lithium iron phosphate batteries, BESS has a capacity of 40 megawatts for two hours, equivalent to the energy storage of approximately 1,000 electric vehicles.
"So this battery energy storage system can either deliver or absorb 80 megawatts or, I'm sorry, 40 megawatts of power on or off the grid, said Laughlin. "And in some situations where we have, like, a transmission line tie trip, it allows us to slow down our system frequency."
According to Laughlin, BESS will help improve efficiency by reducing reliance on fossil fuels and enhancing frequency response during power outages. Julie Hasquet, senior manager for corporate communications for Chugach Electric, added that BESS is a grid-supporting system that will stabilize the rail belt system at work.
"This is supporting the entire grid, the electrical grid of the rail belt, so every home is going to benefit when this thing is working or stabilizing the system, or, you know, reducing fuel," said Hasquet. "So it's not like a car battery. This is for the whole grid. It's going to help all the customers on the grid."
Additionally, BESS will support the resilience of the Bradley Lake hydroelectric project, a 120-megawatt facility near Homer that generates about 10 percent of the total annual power used by Railbelt electric utilities. By effectively integrating renewable resources into the power grid, BESS will help promote a sustainable energy future.
"And it'll help reduce our fuel consumption by taking the contingency reserve off of thermal units and placing it on the battery," said Laughlin. "So it'll save consumers a lot of money in terms of fuel."
The installation is located on Electric Drive, south of the Chugiak headquarters. It may also be eligible for investment tax credits.
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