LG Energy Solution Vertech has announced a supply agreement with DTE Energy to deploy Michigan-made battery energy storage systems across the state. Under the partnership, the companies will support eight energy storage projects, with battery systems scheduled for delivery over the next two years.
The eight energy storage projects will deliver 1.5 gigawatts of battery storage or 6 gigawatts hours, a critical technology that enhances grid reliability. The battery energy storage systems will store electricity during times of excess generation and distribute the power to customers as needed to meet peak periods of customer demand. This will reduce strain on the grid and decrease the need to start and stop generation as demand fluctuates.
“Michigan is a key U.S. manufacturing region for our company, where many of our colleagues live and work,” said Jaehong Park, chief executive officer and president, LG Energy Solution Vertech, the U.S. energy storage division of LG Energy Solution. “We’re thrilled to work with DTE to bring Michigan-made energy storage to our communities. As more US-made energy storage projects are added to the energy grid, we’re building opportunities for advanced roles in the state that support our national energy needs.”
LG Energy Solution will provide battery cells made in Michigan and other US and Canadian facilities to support this portfolio of projects.
“DTE is committed to building a bright future for Michigan,” said Joi Harris, president and chief executive officer, DTE Energy. “By working with LG Energy Solution Vertech to bring more battery storage online through LG Energy Solution’s Michigan manufacturing facility, we’re keeping Michigan at the forefront of technology and economic opportunity – creating good-paying jobs in communities while driving responsible growth, improving reliability for our customers and investing in clean energy solutions.”
DTE’s commitment to responsible data center development is providing a significant boost to battery energy storage in the state, making the electric grid cleaner, more reliable and more resilient. DTE has identified the resources needed to reliably serve its new data center customers without compromising service for existing customers, while remaining in compliance with Michigan’s Renewable Portfolio Standard (RPS) and Clean Energy Standard (CES). In the case of DTE’s approved contract for the Oracle data center in Saline Township, the battery energy storage systems that Oracle is funding are, by themselves, sufficient to meet DTE’s portion of the state’s 2030 clean energy standard for battery storage.
The agreement between DTE and LG Energy Solution Vertech marks a major milestone in advancing a more resilient, sustainable, and economically stronger Michigan.
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