Convergent Energy and Power (Convergent), a leading provider of energy storage solutions in North America, today (Dec 18) announced that the Company has received a conditional commitment from the U.S. Department of Energy Loan Programs Office (LPO) for a loan guarantee of up to $559.4 million for its subsidiaries to build a solar photovoltaic (PV) system with an integrated battery storage system and three stand-alone battery storage systems across Puerto Rico. These systems are expected to enhance Puerto Rico's grid resilience, reduce the need for fossil fuel generation, and lower energy costs.
"Enhancing grid reliability and sustainability in Puerto Rico is critical. We applaud the Department of Energy for recognizing Convergent Energy and Power's track record of expertise in the energy storage and solar sectors through this conditional commitment from the U.S. Department of Energy Loan Programs Office," said Convergent's CFO and Co-Founder, Frank Genova. "We look forward to contributing to the modernization of Puerto Rico's electric grid and advancing its clean energy goals."
Convergent's solar-plus-storage installation in the municipality of Coamo will be a 100 MW solar PV system paired with a 55 MW/55 MWh battery storage system. Three utility scale stand-alone battery storage systems are planned for the municipalities of Caguas, Peñuelas, and Ponce. These systems would generate power directly to Puerto Rico's grid and provide energy storage benefits necessary for Puerto Rico's goal of achieving 100% clean energy resources by 2050. These systems are expected to contribute to the avoidance of nearly 2.5 million tonnes of carbon dioxide equivalent emissions on an annual basis by reducing the need to operate fossil fuel powered generation.
LPO borrowers develop and implement a Community Benefits Plan that ensures meaningful community and labor engagement, improves the well-being of residents and workers, and incorporates strong labor standards during construction, operations, and throughout the life of the loan guarantee.
Founded in 2011, Convergent has over 800 MW/1 GWh of energy storage and solar-plus-storage systems operating or under development, which is equivalent to the power consumed by approximately 750,000 homes.
Convergent has been a trailblazer in identifying new applications and industry firsts for both energy storage and solar-plus-storage, including the first non-wires alternative for utility infrastructure in the United States and the largest (at the time) behind-the-meter battery energy storage system in North America.
This conditional commitment indicates DOE's intent to finance the project, however, DOE must complete an environmental review, and the company must satisfy certain technical, legal, environmental, commercial, and financial conditions before the Department can determine whether to enter into definitive financing documents and fund the loan guarantee.
For more information, review the DOE's announcement blog.
About Convergent Energy and Power
Convergent Energy and Power (Convergent) is a leading provider of energy storage solutions in North America. Convergent has over a decade of experience financing and managing all aspects of the energy storage development cycle to help customers reduce electricity costs and increase reliability. The company's commercial, industrial, and utility-scale assets can yield seven-figure savings while advancing the clean energy transition. Convergent's proprietary asset management platform, PEAK IQ® leverages machine learning and deep market knowledge to optimize asset performance and maximize value. Convergent has over $1bn invested in or committed to assets in operation or under development across North America. For more information, visit convergentep.com or follow us on LinkedIn.
Contacts
Convergent Press
Kate Siskel
SVP, Marketing and Communications
Convergent Energy and Power
ksiskel@convergentep.com
917-508-0274
