The Canada Infrastructure Bank (CIB) and Oneida Energy Storage LP—a joint venture between NRStor and Six Nations of the Grand River Development Corporation—announced on January 12 that they have signed a memorandum of understanding (MOU) for a massive energy-storage project in Ontario.

The proposed Oneida Energy Storage project includes development of a 250 megawatt/1,000 megawatt-hour energy storage facility near London. If built, it would be the largest project of its kind in the country, and one of the largest battery energy storage facilities in the world.

The facility would provide clean, reliable power capacity. It would draw and store existing surplus baseload and renewable energy during off peak periods. Power would be released to the Ontario grid when energy demand is at its peak. In addition, the energy storage facility would help stabilize Ontario's electricity sector by providing important grid balancing services.

The project is expected to yield up to $760 million in net savings to ratepayers, a 4.1 million-tonne reduction in CO2, and more than 900,000 hours of local employment.

“Energy storage is a game-changer that can help to enable Canada's transition to a low-carbon economy and make Ontario a global leader in cleantech innovation,” said NRStor CEO and founder Annette Verschuren. “We are excited to work with industry-leading partners on the Oneida project to deliver grid efficiencies at scale resulting in meaningful savings for rate payers. We believe Oneida will be just the first of many exciting storage projects on our country's horizon.”

The MOU confirms the CIB's collaboration with Oneida Energy Storage LP to support the project. The CIB and Oneida Energy Storage LP have an agreement on the parameters around a CIB investment in the project, which will be confirmed by further due diligence and a final investment decision this spring. The bank is mandated to invest $35 billion and attract private sector investment into new revenue-generating infrastructure projects.

“The CIB is excited to be part of this project as it has the potential to deliver sustainable, reliable and affordable energy for customers in Ontario,” said CEO Ehren Cory. “The project is founded on a strong partnership between an innovative Canadian energy company and a First Nation community. The CIB is proud to support this partnership. As part of the Growth Plan, the CIB has a goal of investing $2.5 billion in clean energy projects across Canada within three years. The CIB will continue to encourage projects which include meaningful Indigenous community participation.”