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EPA and Texas Railroad Commission Sign Memorandum of Agreement for Permitting Geologic Storage of Carbon Dioxide

LCG, April 29, 2025--Officials from the U.S. Environmental Protection Agency (EPA) and Texas Railroad Commission (RRC) signed a memorandum of agreement (MOA) today outlining the state’s plans to administer programs related to carbon storage wells, known as Class VI wells. The MOA signing is a required step in the RRC’s application to be granted authority to permit Class VI wells in the state of Texas. EPA is currently preparing a proposed approval of RRC’s primacy application.

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Calpine and ExxonMobil Sign CO2 Transportation and Storage Agreement for CCS Project in Texas

LCG, April 24, 2025--Exxon Mobil Corporation (ExxonMobil) announced yesterday an agreement with Calpine Corporation (Calpine) to transport and permanently store up to 2 million metric tons per annum (MTA) of CO2 from Calpine’s Baytown Energy Center, a natural gas-fired facility located near Houston, Texas. This is part of Calpine’s Baytown Carbon Capture and Storage (CCS) Project that is designed to add CCS for the facility’s CO2 emissions. The Calpine facility could then provide a 24/7 supply of low-carbon electricity to the Texas grid plus steam to nearby industrial facilities.

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Industry News

AES Announces New Battery Storage Project for PJM

LCG, June 19, 2013--AES Energy Storage, a subsidiary of AES Corporation, yesterday announced plans to deliver 40 MW of new, advanced energy storage resources to the PJM Interconnection. The new storage capacity will be located at Dayton Power and Light's (DP&L) Tait Generating Station, south of Dayton, Ohio. The storage resource can displace power generation from aging, inefficient power plants and potentially reduce overall system emissions. The project is expected to be operational in September 2013.

The AES storage resource is a battery array designed to provide frequency regulation service to the PJM market and deliver a new energy technology to Ohio. The 40 MW storage resource will consist of 24 MW from AES inventory plus 16 MW from an existing AES facility that will be relocated to Ohio.

The President of AES Energy Storage stated, "We've designed our business model in a way that allows us to quickly evaluate and respond to changing market needs. We can make decisions on where we locate battery storage to optimize service across markets. Physically moving an asset to where it?s needed most hasn't been possible with traditional power generation and load resources, so it's exciting to be able to do this with energy storage assets."

DP&L's Tait Station is a peaking facility. The storage project will connect through the station and will utilize an independent agreement with PJM.

AES recently surpassed 400,000 MWH of service within PJM at its Laurel Mountain facility, which also utilizes AES' patented control system designed to most efficiently control the battery array consistent with the local market dispatch rules.
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