Beacon Power begins commercial operations in NY
Beacon Power Corp., an energy storage company based in Tyngsborough, said that it has energized and interconnected eight megawatts of flywheel energy storage and is now earning revenue at its frequency regulation plant in Stephentown, N.Y.
"With this live connection of our first grid-scale flywheel energy storage system, the Stephentown plant is now providing clean, long-life, fast-response frequency regulation services to the people of New York," Bill Capp, Beacon president and chief executive, said in a statement. "This is a major step in establishing our merchant plant business throughout the open-bid electricity markets in the U.S. and will accelerate our ability to market and sell turnkey facilities in vertical markets across North America and overseas."
The plant starting to generate revenue is welcome news for Beacon, which has a history of losses.
Last March, an independent auditor raised doubt about the firm's ability to remain in business unless it raises "substantial" additional capital, Beacon said in a regulatory filing.
Since that time, the company has closed on a $43 million loan guarantee from the US Department of Energy and raised $10 million in a secondary stock offering, a company spokesman said.
At full capacity, the Stephentown plant will provide 20 megawatts of regulation service to the New York power grid, or about 10 percent of the state's typical daily demand, Beacon Power said in a press release.