More Smart Grid Stimulus Pitches: Tucson Electric Power and Beacon Power

The smart grid demonstration projects seeking Department of Energy funds just keep coming. The latest include flywheel maker Beacon Power Corp. and Arizona utility Tucson Electric Power.

Beacon said Tuesday it is asking DOE for $47 million to build two 20-megawatt energy storage plants using its flywheels. The money would come from DOE's $615 million smart grid demonstration grant program, the smaller of two programs that contain $3.9 billion to boost smart grid projects (see Green Light post).

The Tyngsboro, Mass.-based company already has landed a $43 million DOE loan guarantee to build one 20-megawatt storage plant at a projected cost of $69 million (see Beacon Power, Nordic Windpower Get $59M DOE Loan Guarantees).

Other utilities seeking DOE grants to build grid energy storage include Pacific Gas & Electric, which plans a compressed air energy storage project, and Southern California Edison, which wants battery maker A123 to build a 32-megawatt lithium-ion battery to help manage wind power (see PG&E Wants DOE Dollars for Underground Air Energy Storage and SoCal Edison Wants A123's Biggest Grid Battery Ever).

As for Tucson Electric Power, both compressed air and lithium-ion battery storage would play a part in its "Bright Tucson" smart grid plan, which also include 1.6 megawatts of solar panels and demand response systems to help its customers turn down their power use during peak demand times.

The utility wants $25 million from DOE's demonstration grant program to do the project, which will include demand response aggregator EnerNoc, home energy management technology provider Tendril and smart meter maker Itron, among other partners.

Kansas City-based construction and engineering firm Burns & McDonnell will build the compressed air energy system and "commission the development of the battery storage system," the utility stated in a press release. It did not say which battery company or companies might be tapped for the project.

The utility also named military contractor Raytheon as a partner to provide security for the project. It's a growing trend, as utilities turn to contractors like Lockheed Martin and Boeing to help them ensure that their smart grid systems will meet security requirements being developed by the federal government and industry bodies (see Green Light post).