Pricing
02 Jul 2024
Avery Dekshenieks

How two ERCOT batteries earned similar revenues with different strategies

If a battery energy storage system beats Modo’s ERCOT BESS Index, it can reasonably claim to have been successful. But simply beating the Index doesn’t mean that a battery performed optimally.

Battery energy storage operations can be complex. Two systems with similar attributes (e.g. rated power and capacity) can implement entirely different strategies - and still generate almost identical revenues.

Take Sweeny (owner: ENGIE) and Faulkner (owner: Hunt Energy Network). Both are 9.9 MW, one-hour Distributed Generation Resources (DGRs).

Avery explores the operational strategies of Sweeny and Faulkner (April 2023 - March 2024).

From April 1st 2023 through March 31st 2024, both sites were available more than 99% of the time.

And both earned very similar revenues during this period - around $225,000/MW.

This meant that both systems outperformed:

  • The overall ERCOT BESS Index for this period ($195,000/MW) by 15%.
  • And the Index for DGRs ($140,000/MW) - represented by the black dotted line below - by 60%.
Modo Energy ERCOT - Sweeny (ENGIE) vs. Faulkner (Hunt Energy Network) battery energy storage system comparison chart 1

Therefore, both of these systems were extremely successful during this twelve-month period.

However, despite having very similar revenues, these two sites operated very differently.

Modo’s ERCOT subscribers can access the full article below - to compare these sites by:

  • Capacity allocation.
  • Revenue streams.
  • Cycling rates.
  • And what this all meant in terms of their preferred strategies.

With Modo Energy’s ERCOT benchmarking tools, you can carry out this type of analysis yourself.

Check out this comparative dashboard of the two sites tracked in this article (Sweeny and Faulkner) for the 2023 calendar year.

Modo Energy ERCOT - Sweeny (ENGIE) vs. Faulkner (Hunt Energy Network) battery energy storage system comparison dashboard

Compare your sites against your competitors’ - with insights into how operational decision-making is affecting performance.

If you have any questions about Modo Energy’s ERCOT benchmarking tools, send us an email at team@modo.energy - we’d love to talk.

Which markets did these battery energy storage systems allocate their capacity to?

Capacity allocation is the best indicator of a battery energy storage system’s preferred operational strategy. Revenue proportions offer some indication - but they aren’t always completely representative of where a system places most of its chips.

Sweeny allocated significant capacity to most major battery energy storage markets and services

implemented a very balanced operational strategy. It allocated significant capacity to most of the major markets and services for battery energy storage:

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