Exelon (NYSE: EXC) announced that it is partnering with Anbaric, a leading developer of innovative energy infrastructure projects, to create a series of microgrids in the state of New York.
A microgrid is a localized power system with the ability to self-supply and operate independently of, or in concert with, the main grid to meet the energy needs of multiple entities. Microgrids offer enhanced grid resiliency and flexibility and mitigate the impact of power outages resulting from severe weather or other disruptions.
The collaboration will be dedicated to establishing microgrids ranging from 10 to 200 megawatts at strategic locations throughout the state to secure reliability, reduce costs, and improve the efficiency of the surrounding grid. The microgrids will use state-of-the-art demand efficiency and management technology that equips customers with highly reliable and efficient sources of distributed generation.
The alliance is currently identifying customers for its plans to develop five large microgrids at sites in Long Island, New York City, and upstate New York. Customers could include skyscrapers, hospitals, universities, industrial businesses or municipalities.
“New York State has made clear that it wants to be a national leader in microgrid development,” said Ed Krapels, the founder and CEO of Anbaric. “This alliance responds to that call by tailoring our efforts around Governor Cuomo’s energy plan and the state’s Reforming the Energy Vision program to create a paradigm for microgrid development that benefits New York residents and businesses.”
“Exelon’s strategy is to grow and diversify the company through targeted investments in core and adjacent markets and explore promising technologies. This partnership provides Exelon an opportunity to get an early foothold in the emerging microgrids market, building on our existing expertise in distributed generation and our wires business,” said Jeff Yuknis, vice-president of Exelon and the leader of Exelon’s New York microgrids business. “Diversification and innovation allow Exelon to take advantage of a broad range of new opportunities, and we plan to deploy our expertise, capital, and resources in New York to unlock the significant benefits that microgrid technology offers.“
Exelon is committed to growing its presence in the microgrid market. Its Constellation subsidiary has an active and growing distributed energy business, with more than 300 megawatts of assets in operation or under development. Exelon also is developing microgrid projects at its utility companies, most notably ComEd’s grant from the Department of Energy for a microgrid controller.