Arizona Powers Ahead With 200 MW Tesla Battery Storage Project

Arizona is taking a significant step toward a sustainable energy future with the development of a 200 megawatt (MW) Tesla Battery Energy Storage System (BESS). Spearheaded by Salt River Project (SRP) and Flatland Storage, the Flatland Energy Storage Project will address the state’s surging energy demands and further the transition to renewable energy.

Located in south-central Arizona near Coolidge, the project will utilize Tesla’s Megapack 2XL batteries. With a storage capacity of 200 MW/800 MWh, the system will provide enough energy to power approximately 45,000 homes for four hours during periods of peak electricity demand. By absorbing surplus energy during low-demand periods and discharging it when demand spikes, the Flatland system is set to enhance grid reliability and efficiency. The project is scheduled to become operational in 2025.

“We’re excited to be partnering with SRP on the largest utility-scale storage project in the EDP Group’s global portfolio to date. Storage is key to modernizing the US power grid and is a requisite in accelerating the adoption of renewable energy, while boosting grid reliability and resiliency,” said Sandhya Ganapathy, CEO of EDP Renewables North America.

The environmental and economic benefits of the Flatland project are substantial. By using battery storage instead of traditional energy generation, the project is expected to save more than 169 million gallons of water annually—a critical consideration in Arizona’s climate.

Additionally, the initiative represents a $271 million capital investment, projected to generate $7 million in tax revenue for local governments and provide a boost to small businesses throughout its lifespan.

This project marks the second collaboration between SRP and EDP Renewables North America. The Flatland project will be situated within the Brittlebush Solar Park, a 200 MW solar facility that already delivers renewable energy to SRP customers. This co-location allows the battery system to store power directly from the solar park as well as from the grid, optimizing energy delivery during peak hours.

The Flatland project also aligns with SRP’s decarbonization goals. The utility plans to reduce carbon emissions by 82% from 2005 levels by 2035 and achieve net-zero emissions by 2050. SRP is on track to retire 1,300 MW of coal resources and currently boasts nearly 1,300 MW of energy storage and 3,000 MW of carbon-free resources in its portfolio. The utility aims to reach 50% net-zero energy by 2028, and battery storage systems such as Flatland are a cornerstone of its renewable energy strategy.

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