HOUSTON--(BUSINESS WIRE)--Alpha Omega Power (AOP), a utility-scale renewable energy developer, owner, and operator, announced it has acquired and raised financing for the Caballero battery energy storage project, a 100MW / 400MWh battery in Nipomo, California, in partnership with Fengate Asset Management. The Caballero project will provide enough energy to power over 100,000 homes for up to four hours daily during peak electricity demand periods, bringing clean energy and grid reliability to San Luis Obispo County and the California ISO (CAISO) market. The Caballero system will be the first project in AOP’s pipeline of utility-scale battery storage projects to come online.
AOP has brought on Gridmatic, an industry-leading power marketer, as the battery optimizer for Caballero. Gridmatic’s AI optimizes battery operations and manages risk for storage owners through resource trading and risk management; ISO market settlement; and asset performance and market update reports. Gridmatic’s AI-enabled optimization can boost revenue generation for grid-tied battery systems by as high as 32%, according to backtesting in the company’s latest energy storage report, published in May, 2024. The Caballero project contributes to Gridmatic’s contracted portfolio of 300 MW of energy storage capacity under management.
“We’re proud to establish our footprint in CAISO with our inaugural utility-scale battery storage project to serve reliable, clean energy to California’s coastal communities,” said Paul Choi, CEO of Alpha Omega Power. “We’re thrilled to find a partner in Gridmatic with the depth of energy and software experience to leverage batteries, market expertise, and Artificial Intelligence to smooth the volatility of renewable resources and better match load to generation.”
“Many of California’s electricity market rules were designed before energy storage was considered as a reliability resource. As a result, it is a challenge for battery owners to achieve the financial results necessary to sustain further investment in the state’s rapidly growing fleet of batteries,” said David Miller, Chief Commercial Officer of Gridmatic. “Our industry-leading forecasting and optimization algorithms can maximize the benefits of battery storage assets while minimizing risk of loss, delivering reliability to the California grid while helping make more assets bankable for owners. We’re excited to put these capabilities to use in supporting Alpha Omega Power as it works to build California’s clean energy future.”
About Alpha Omega Power
Alpha Omega Power supports the full spectrum of battery storage development and operations, including power market analysis, site prospecting, strategic siting and permitting, pre-construction, EPC, and commercial operations. AOP is committed to deployment and oversight throughout the project life, from inception to operations and eventual decommissioning. Its solutions enhance grid reliability, support renewable energy integration, and contribute to a cleaner, sustainable energy future. Alpha Omega Power is comprised of a team of skilled professionals and industry experts with decades of experience in the power and battery industry and uniquely understands the problems facing our evolving power grid. Alpha Omega Power is backed by Fengate and commenced operations in March 2023. Fengate is a leading alternative investment manager focused on infrastructure, private equity and real estate strategies, with more than US$7 billion of capital commitments under management. Learn more at www.aoprenewables.com.
About Gridmatic
Gridmatic is a next generation power marketer using AI to forecast supply, demand, and prices in wholesale electricity markets, helping energy market participants navigate a grid that is increasingly renewable and variable. For grid-scale storage, Gridmatic optimizes and automates the scheduling and dispatch of physical assets. With Gridmatic Retail, the company offers standard and advanced solutions for businesses including carbon-free energy products and day-ahead market participation for flexible loads. Thanks to its industry-leading forecasting and risk management, Gridmatic is the most profitable trader to date in the ERCOT Day Ahead Market, according to public disclosure data. Gridmatic is working to accelerate the transition to net zero and balance the renewable-powered grid. For more, visit https://www.gridmatic.com.