Revenue from the battery system will be secured through contracted and merchant revenue as determined by New York State Energy Research and Development's (NYSERDA) Value of Distributed Energy Resources (VDER) program. This is the first known acquisition of standalone storage under the VDER community solar/storage model. Convergent will oversee all remaining development activities, including financing, engineering, procuring, constructing, and operating the asset.
"The complexities of developing grid-connected energy storage assets, combined with the challenges of permitting in New York City, truly make this a unique transaction," says John Switzer, Co-founder and Managing Partner of SMT. "I am extremely proud of both the SMT and Convergent Energy + Power teams for finding a way to execute this mutually advantageous transaction, while also providing substantial benefits to the community and other stakeholders."
"We are thrilled to acquire this unique development opportunity in Convergent Energy + Power's hometown of New York City, where battery storage will play an increasingly significant role in the clean energy transition," says Frank Genova, Convergent's Chief Operating and Financial Officer. "We were impressed by the hard work and dedication of SMT throughout the transaction and are looking forward to continuing to add to our portfolio of storage, solar-plus-storage, and solar assets."
"This development and partnership with Convergent Energy + Power is another important step in the acceleration of our mission to solve resource adequacy constraints within the grid," states David Spotts, Co-founder and Managing Partner of SMT. "This aligns with SMT's goal of offering solutions toward a 100% carbon-free grid and signals our rapid expansion into promising markets for BESS facilities."
About SMT Energy LLC
SMT Energy LLC is a leading renewable energy developer focused on community solar and standalone energy storage facilities throughout the United States. The company's renewable energy solutions deliver economically attractive alternatives to fossil-fuel electricity generation. For more information about SMT Energy, please visit www.smtenergy.com.
About Convergent Energy + Power
Convergent Energy + Power (Convergent) is the most dependable 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 yield seven-figure savings from day one 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. With over $350M in capital committed, Convergent is the leading independent owner and operator of energy storage and solar-plus-storage solutions. For more information, visit convergentep.com or follow us on LinkedIn or Twitter.
