A123 Systems (Nasdaq:AONE),
a developer and manufacturer of advanced Nanophosphate™ lithium ion batteries
and systems, today announced that AES Energy Storage, a leader in the use of
fast-responsive energy storage for the grid, has ordered and is deploying 44MW
of A123's Smart Grid Stabilization Systems (SGSS) for various new projects—including
an energy storage project in Johnson City, N.Y.
These projects, scheduled to be completed by the end of 2011, extend the business
relationship established between AES Energy Storage and A123 Systems in 2008
to develop and deploy multi-megawatt energy storage systems to increase the
capacity, improve responsiveness and enhance efficiency of assets on the electric
grid. In 2009, the companies announced the commercial operation of a 12 MW frequency
regulation and spinning reserve project using SGSS at AES Gener's Los Andes
substation in the Atacama Desert in Chile, the first energy storage system deployed
in the country.
"A123's SGSS provide nearly instantaneous response to grid operator requests
for power absorption or injection, making our technology an ideal energy resource
for helping utilities perform frequency regulation and other ancillary services,"
said Robert Johnson, vice president of A123's Energy Solutions Group. "A123
and AES Energy Storage have demonstrated the commercial viability of using utility-scale
lithium ion batteries for grid stabilization services, and this 44MW order highlights
the continuing mutual success of this business relationship as utilities and
grid operators increase demand for more cost-effective, energy-efficient ancillary
A123's industry-leading SGSS offer utilities a complete solution to quickly
and cost-effectively hybridize power plants to increase efficiency, improve
grid stability and facilitate the seamless integration of renewable energy sources.
The robust, highly scalable design consists of modular energy storage racks,
power electronics and communications and controls software, enabling grid operators
to implement a turnkey package for frequency regulation, synchronous reserve
and other ancillary services. To date, A123 has delivered more than 20MW of
SGSS units to customers worldwide, making the company the largest producer of
lithium ion batteries for ancillary services for the power grid.
"With this new order, AES Energy Storage continues to build on its ability
to effectively deliver energy storage services to electric grid operators around
the globe," said Chris Shelton, President of AES Energy Storage, LLC. "Our
project development and operating capabilities combined with A123's expertise
in grid-scale products provides quality reliability services for power grid
AES Energy Storage delivers the benefits of large-scale energy storage systems
to utilities, power stations, ISOs and renewable developers. AES Energy Storage
will deploy the SGSS units to deliver frequency regulation and synchronized
reserve, ancillary services that help system operators reliably maintain the
near instantaneous and continuous balance between generation and load.
A123 Systems, Inc. (Nasdaq:AONE) develops and manufactures advanced lithium
ion batteries and battery systems for the transportation, electric grid services
and commercial markets. Headquartered in Massachusetts and founded in 2001,
A123 Systems' proprietary nanoscale electrode technology is built on initial
developments from the Massachusetts Institute of Technology.