A major battery energy storage project planned for Norfolk County has taken another significant step toward becoming a reality, with project partners securing a long-term agreement with Ontario’s electricity system operator.
Aecon Group Inc. announced that Simcoe Battery Project General Partnership Inc. has signed an Energy Storage Facility Agreement with Ontario’s Independent Electricity System Operator (IESO), paving the way for the construction, ownership and operation of the proposed Simcoe Battery Energy Storage System near Simcoe.
The project will have a planned capacity of 150 megawatts and 1,200 megawatt-hours, making it one of Ontario’s larger battery energy storage facilities.
Once operational, it will store electricity when demand is low and release it back to the grid during periods of higher demand, helping improve reliability while supporting the province’s growing electricity needs.
Commercial operations are currently targeted to begin in 2030.
The ownership group behind the project includes Aecon Concessions, NRStor, Six Nations of the Grand River Development Corporation, the Mississaugas of the Credit Business Corporation and Sitka Power Inc.
Under the newly signed 20-year agreement, the partnership will provide electricity storage services to the IESO.
Revenue will come through capacity payments as well as electricity sold back into Ontario’s power grid and ancillary grid services.
Aecon will also serve as the project’s exclusive engineering, procurement and construction provider for the balance-of-plant work, with a final EPC agreement expected to be completed in the future.
The company is already involved in approximately one gigawatt of battery energy storage projects that have either been completed or are currently under development across the province.
While construction timelines will depend on future approvals and project milestones, the newly signed agreement with the IESO represents one of the largest steps forward for the project to date as Ontario continues expanding its energy storage capacity to support a growing and increasingly renewable electricity grid.
