Sierra Southwest Cooperative, Inc. (Sierra Southwest) successfully deploys a battery energy storage system to aid reliability for Sulphur Springs Valley Electric Cooperative, Inc.

COCHISE COUNTY, ARIZONA – June 10, 2024 – Sierra Southwest, a not-for-profit G&T in collaboration with Arizona Electric Power Cooperative, Inc. (AEPCO), Prometheus Power (Prometheus), a national renewable energy provider, and Stem, a leader in AI-driven clean energy solutions and services, today announced the successful deployment of a battery energy storage system located in Cochise, Arizona to help provide clean, reliable power to its member co-op Sulphur Springs Valley Electric Cooperative, Inc. (SSVEC).

The project includes a 40-megawatt hour (MWh) energy storage system and a 10-megawatt (MW) photovoltaic system that utilizes Stem’s AI software to continuously monitor and operate the system to maximize performance. This project will benefit SSVEC by offering reduced energy costs, improved reliability, reduced emissions, reduced system losses, increased transmission capacity availability, and other ancillary services. This is the first of three battery storage systems currently being developed in Arizona as part of AEPCO’s Reliable Energy Plan.

“As demand for power soars and the western energy market becomes more volatile, the importance of our Reliable Energy Plan becomes even more apparent,” says AEPCO Chief Executive Officer Patrick Ledger. “As the reliability of the grid is called into question, AEPCO remains focused on making strategic investments to strengthen and diversify our portfolio and secure a stable and reliable energy future for our members. Developing these battery storage systems allows our members to experience the benefits of flexible, renewable energy.”

“As the largest co-op in Arizona, SSVEC has worked diligently to diversify our energy portfolio from having over 80% coal-generated energy in 2016 to just 25% in 2023 with an estimated 18% generated from renewable sources. These efforts help ensure greater energy independence, reliability, and price stability for SSVEC members, with an overriding benefit of a cleaner environment,” said Jason Bowling, Chief Executive Officer of SSVEC. “Working with Sierra Southwest and Stem to ensure the successful deployment and optimization of our renewable energy assets will help SSVEC continue to honor our commitments of delivering affordable, reliable energy to our 53,000 members.”

“More than 900 electric co-ops across 48 states make up the largest electric utility network in the U.S. The segment is forecasted to be one of the fastest growing segments of the front-of-the-meter (FTM) market through the end of this decade and is projected to represent over 20% of all future storage deployments,” said John Carrington, Chief Executive Officer of Stem. “Stem’s unique combination of AI-driven software, hardware, and services is enabling enhanced value and project returns at scale for co-ops and their members. We are excited to bring our proven capabilities and market experience to AEPCO and their members.”

Rohit Garg, Prometheus manager, says, “We are honored to have played a pivotal role in the construction of this monumental facility. With our expertise in battery technology, we are confident that this project will set a new standard for energy storage solutions, driving forward the adoption of sustainable practices in the energy sector.”

About AEPCO

AEPCO is the generation, transmission, and energy services provider for electric distribution cooperatives and public utilities in Arizona, California, and Nevada. Headquartered in Benson, Arizona, AEPCO operates with its sister organization, Sierra Southwest Cooperative Services, Inc. (Sierra) under the umbrella of Arizona G&T Cooperatives. AEPCO owns and operates Apache Generating Station in Cochise County, which has been under AEPCO's operation since 1961 and is equipped with existing natural gas and electric transmission infrastructure.

For more information about AEPCO and its future projects, please visit www.azgt.coop.

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Contacts

AEPCO
Mandi Greenmyer
pr@azgt.coop

SSVEC
Marcus Harston
mharston@ssvec.com

Stem
Suraya Akbarzad, Stem
press@stem.com

Prometheus
Rohit Garg
rohit@prometheuspowergroup.com