LGES secures $1.6 billion US energy supply deal with DTE
The agreement will support eight projects with battery systems delivered over a two-year period. The energy storage projects will deliver 1.5 gigawatts of battery storage or 6 gigawatts hours in Michigan.
LG Energy Solution (LGES) Vertech and DTE Energy have announced a USD 1.6 billion supply agreement to develop Michigan-made battery energy storage systems (BESS) across the state. The agreement will support eight projects with battery systems delivered over a two-year period, LG Energy Solution said in a press release.
The eight energy storage projects will deliver 1.5 gigawatts of battery storage or 6 gigawatts hours.
“Michigan is a key US 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 US 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 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 press release said.
