NEW YORK, Dec. 6, 2016 /PRNewswire/ -- The New York City Energy Efficiency Corporation has made a 10-year project loan of more than $1 million to the energy storage company Demand Energy, bringing large-scale battery storage technology to a privately owned low-income housing development in Brooklyn, NY. Demand Energy's lithium-ion battery system will be used to store power generated onsite by the Marcus Garvey housing complex's solar panels and fuel cell systems—or lower-cost off-peak Con Edison power—dramatically reducing power demand when electricity is at its highest cost. It will be the first battery storage microgrid installation at a low-income property in greater New York.
The 625-unit Marcus Garvey Apartments, located in the Brownsville section of Brooklyn, is owned by L+M Development Partners, a large owner/developer of low-income housing. L+M has already installed 400 kW of solar and committed to adding 400 kW of fuel-cell generating capacity as part of a major property renovation. The energy storage and distributed energy resources will be integrated into a microgrid managed by Demand Energy's DEN.OS™ software platform, which will optimize the value of L+M's energy generation investments. The system will cut power expenses, help keep the grid reliable and provide off-grid backup power for emergencies.
"Managing on-site generation and extracting value from the demand response market have made battery storage a smart, cost-effective choice," said Brian Asparro, chief commercial officer for Demand Energy. "This software-controlled microgrid is exactly what building owners and Con Edison are looking to implement. NYCEEC's innovative approach—non-recourse debt financing—made it possible."
"Energy storage closes the loop with energy efficiency and clean, localized generation, and helps encourage their adoption," said Posie Constable, NYCEEC's head of business development. "That's why NYCEEC has designed a loan product to encourage energy storage projects."
The installation will more than pay for itself through incentives from Con Edison's Brooklyn Queens Neighborhood Program (formerly BQDM) initiative, and from ongoing revenue generated through participation in demand response and peak shaving power programs. To avoid building new capacity at a cost of more than $1 billion, Con Edison is offering major incentives to reduce electricity demand in the fast-growing Brooklyn-Queens area.
Con Edison's efforts in New York City are in line with the state's Reforming the Energy Vision (REV) Initiative, which is aimed at creating a cleaner, more affordable, modern and efficient energy system that seamlessly includes distributed energy resources like rooftop solar, combined heat and power, energy efficiency, and energy storage.
NYCEEC is a leading non-profit finance company that provides loans and alternative financing solutions for energy efficiency and clean energy projects. NYCEEC finances projects that save money, save energy and reduce greenhouse gases. We are helping New York achieve a clean and sustainable future. Learn more at www.NYCEEC.com and follow us at Twitter, LinkedIn and Facebook.
About Demand Energy
Founded in 2008 and led by a team of seasoned entrepreneurs from the telecom, utility and renewable energy industries, Demand Energy has developed a best-in-class Distributed Energy Network Optimization System (DEN.OS™) that maximizes the economic returns of behind-the-meter storage systems alone, or in combination with distributed generation (DG). The company provides a turnkey solution (hardware, software and services) that ensures clear accountability by tying together upfront modeling, design and simulation, with the installation and operational monitoring, control, and financial optimization required to deploy storage-plus-DG solutions at speed and scale. The DEN.OS software platform was architected as an end-to-end solution that delivers differentiated value across the entire project life cycle, and can support both utility and behind-the-meter projects. http://www.demand-energy.com/