Illinois secures 600 MW of battery storage in inaugural auction despite falling short of target

Illinois lands 600 MW of new battery storage

Illinois is taking a major step toward a stronger grid. Its first state required battery auction secured 600 megawatts of storage. The projects are expected online by 2030. That gives the state more flexible power when demand changes.

Batteries can hold electricity for later use. They can release power when renewable output falls. Illinois currently has 141 megawatts of utility scale battery storage. The auction starts a larger planned expansion.

The auction fell short of its target

Regulators wanted the auction to secure 1,038 megawatts. The final awards reached about 600 megawatts in total. That left a sizable gap below the original target. Still, supporters called the first round encouraging.

Illinois now has a base for future storage growth. More procurement rounds are planned for coming years. Later rounds can help close the remaining capacity gap. The auction also exposed project timing challenges in northern Illinois.

Enough storage to serve 500,000 homes

The awarded projects could serve 500,000 homes. They are expected to join the Illinois power system by 2030. Utility batteries can store electricity when supply is available. They can release it later when that power is needed.

Storage can smooth changes in renewable generation. It can provide flexible power during busy demand periods. Its value depends on when power is stored. It also adds capacity without requiring constant generation.

Central and southern Illinois beat expectations

Central and southern Illinois produced a strong auction result. Four projects won 520 megawatts in the MISO region. That exceeded expectations for the area. MISO operates a large regional power market in the Midwest.

The projects will add utility scale batteries there. Stored electricity can be dispatched when needed by the grid. The regional result drove most of the auction’s awarded capacity. It showed stronger project participation across Illinois overall.

Northern Illinois had a smaller result

Northern Illinois received a smaller award in the auction. The PJM region got one 80 megawatt project. That was far below its procurement goal. The gap lowered the state’s overall auction total.

Developers face delays connecting projects to the grid. Those delays can make scheduled operation dates harder to meet. Project timing was cited as a factor in the PJM result. Future rounds may give projects more time to advance.

Fun fact: Illinois’ first utility-scale storage procurement awarded 520 MW in the MISO region.

Why batteries matter for renewable power

Solar and wind do not produce power every hour. Batteries can store electricity when renewable generation is available. They can release it when production drops later. That helps balance supply as renewable energy grows.

Storage can shift power into periods of higher demand. It may reduce some fossil fuel generation needs during peaks. Batteries can respond without building entirely new plants. Their role grows as Illinois adds more renewable generation.

Grid delays affected the PJM result

James Gignac cited project timing as one factor. He works with the Union of Concerned Scientists. He said procurement timing missed projects in PJM queues. Interconnection delays can push planned operation dates later.

PJM manages power markets across a large eastern region. Projects may need approvals and grid upgrades before connecting. Those steps can take longer than procurement schedules allow. Illinois expects later auctions to offer developers more flexibility overall.

Future auctions may offer more flexibility

Illinois plans procurement rounds in 2027 and 2028. Those rounds should give the Illinois Power Agency more flexibility. Future rules may allow solar or wind projects paired with batteries. That could create more choices for developers.

Paired projects can produce renewable electricity and store some of it. Batteries can release stored power when renewable generation falls. The approach may allow projects to serve several grid needs together. Later auctions will add more capacity toward the goal.

Illinois still needs much more storage

The first auction is only the beginning of Illinois storage expansion. State law establishes a 3,000-megawatt storage target for projects committed to reaching commercial operation by the end of 2030. The first 600 megawatts covers part of that goal, so more projects will be needed in later procurement rounds.

Future additions depend on project development and grid connections. Procurement schedules will also shape when projects can operate. The state has several years to build toward its 2030 target, and these awards establish an early foundation for that effort.

Fun fact: Illinois law allows future storage procurements to include projects paired with solar through the state’s planned Storage for All program.

Home batteries are part of the plan

The law supports programs linking home energy systems directly to the grid. Virtual power plants can combine rooftop solar and home batteries. Households may send stored electricity back during periods of high demand. That creates a flexible resource from many smaller systems.

Solrite Energy has launched a rooftop solar and battery program. Homeowners can store electricity for later use. Programs can coordinate household batteries with broader grid needs. Savings and participation details can vary by household and system.

Solar and storage can work together

Rooftop solar produces electricity during sunny hours. Batteries can save energy for later use. A home can use stored power after sunlight fades. That changes when the home draws electricity from the grid.

Home batteries may provide backup power during outages. Backup performance depends on battery size and system setup. Energy savings vary with electricity rates and household use. Homeowners can compare solar and battery systems before choosing one.

Projects are moving from plans to action

Supporters say the first auction shows Illinois storage policy moving forward statewide. Andrew Linhares called paired solar and storage promising. Gignac noted projects and programs being implemented statewide. The awards create concrete projects tied directly to state plans.

Implementation requires planning, development, and grid connections. Those steps can affect project schedules and costs. Later auctions are expected to build on the first round. The process will shape future storage growth.

Curious about what’s happening with battery technology beyond Illinois? Discover how Colorado is tackling EV battery recycling.

Illinois storage push enters its next phase

Illinois now has a clearer path toward battery storage statewide. The first auction awarded 600 megawatts of storage capacity. Later rounds must add much more to reach the 2030 goal. Developers need projects that can operate on schedule.

Grid connections remain central to successful project development. Paired renewable projects may expand future storage options, while home energy programs add another pathway for flexible power. The first auction begins a much larger Illinois buildout.

Want to see another way Illinois is combining solar and energy storage? Check out how solar arrays are being added to storage roofs while preserving farmland.

Could more solar-and-storage projects change how Illinois powers its communities? Share your thoughts in the comments.

This slideshow was made with AI assistance and human editing.

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