CPS Energy signs BESS capacity agreements with Eolian in ERCOT, Texas

US electric utility CPS Energy has signed two energy storage capacity agreements (SCAs) with IPP Eolian totaling 350 MW of battery energy storage in the ERCOT, Texas market. The latest agreements add to a 50 MW capacity worth agreement signed by the companies last year. 

The two battery energy storage projects 'Ferdinand' and 'Padua 2' have a storage capacity of 200 MW and 150 MW respectively. They are located in southern Bexar County, Texas, and are expected to be online in the first half of 2026. 

Having strategically located storage resources in CPS Energy's service territory contributing to overall grid reliability and customer welfare, the latest BESS capacity expansion is part of the utility's Vision 2027 generation plan. 

Together with the 10 MW battery storage capacity already in operation, the latest SCAs brings CPS Energy's total battery storage capacity under contract to a combined 400 MW. 

"I am proud of the work CPS Energy has done to secure another 350 MW of generation for our growing community," said Rudy D. Garza, President and CEO of CPS Energy. 

"This is another step in the execution of our Vision 2027 generation plan and we are excited about the benefits it will provide to our community through both reliability and economic development", added the CEO. 

Aaron Zubaty, CEO of Eolian, "Following the 50 MW Padua 1 project already under construction for CPS Energy, this additional 350 MW of four-hour-duration battery energy storage will provide new capacity to the San Antonio area by mid-2026. 

"This represents the largest deployment of standalone battery energy storage in ERCOT to date and demonstrating that deploying fast, flexible energy storage resources at critical grid locations can bridge the years needed until new transmission can be built to further support load growth and alleviate system-wide congestion". 

He further added that the locations for these projects were carefully chosen to reduce load on the transmission system and improve overall market operations by providing flexibility and reliability within load pockets and adjacent to retiring thermal generating units, while also reducing congestion on key transmission paths.