In an effort to meet California initiatives to combat global warming, the Irvine Company has decided to fit more than a dozen office buildings with battery-powered energy systems. The new energy saving systems will use batteries purchased from Tesla, and they will primarily be used during the peak summer months when tenants turn up their air conditioners. One of if not the main selling points of the new energy saving system is that they charge up during periods of lower use when electricity is fairly inexpensive. Tesla plans on teaming up with San Francisco-based Advanced Microgrid Solutions (AMS) to install and operate the energy storage systems. Each office building will be fitted with an “energy farm” of batteries roughly the size of 5 parking spaces.
One company that looks to benefit greatly from this new deal is electricity supply company Southern California Edison (SCE). The initial batch of office building battery farms will provide SCE with enough reserve capacity to power 10,000 homes. This additional capacity is crucial for SCE as it looks to meet green state initiatives as well as offset the capacity lost from the San Onofre Nuclear plant shutting down. Edison has already acknowledged that energy saving storage systems such as Tesla’s will be essential for the future of California’s energy grid.
The Irvine Company is more willing to pursue new energy saving technologies when compared to other landlords because it is privately owned and holds on to property for the long term. Although the battery systems will only be applied to 15 buildings initially, The Irvine Company is looking to expand the peak-reducing technology to other markets such as San Diego and Northern California in the future. With the impending success of this project, Tesla is hoping to become a major player in the race to develop a smarter and more efficient grid throughout California.
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