Clean energy group OCI Energy and Texas-based power company CPS Energy announced they’ve broken ground for construction of the Alamo City Battery Energy Storage System near San Antonio, Texas.
The companies and their project teams celebrated the groundbreaking on May 19 at the site in southeastern Bexar County. The ceremony commemorated the transition from development to the build phase of what the companies said is one of the largest standalone battery energy storage system (BESS) projects in the region.
Alamo City is designed to strengthen how the San Antonio community is served during periods of highest electricity use. Once completed, the 120-MW/480-MWh facility will be capable of supplying power for up to four hours during peak demand.
‘Significant Step Forward’
“This project represents a significant step forward toward realizing a more resilient, reliable energy system that San Antonians can be truly proud of,” said Sabah Bayatli, president of OCI Energy. “This groundbreaking reflects years of thoughtful coordination, planning, and hard work—and once completed, it will help the electric system better manage peak demand events.” Alamo City BESS is expected to enter commercial operation in 2027.
OCI Energy developed and financed the Alamo City BESS and will retain ownership under a long‑term storage capacity agreement with CPS Energy, which will have operational control of the facility.
“Energy storage is a critical component of how we prepare for the future,” said Rudy D. Garza, president and CEO of CPS Energy. “Projects like Alamo City BESS give us the flexibility to meet growing demand, integrate more diverse energy resources, and ensure our community has reliable power when it matters most.”
Participating Groups
Organizations with deep experience across the energy sector are supporting the delivery of this project. ING Capital is providing construction financing, LG Energy Solution Vertech is supplying the battery energy storage technology, and Elgin Power Solutions is serving as the engineering, procurement, and construction contractor.
The companies on Tuesday said the collaboration “represents a significant investment in the region and a shared commitment to building durable infrastructure that supports Texas’ energy system during periods of high demand.”
“Breaking ground on Alamo City BESS marks an important milestone in turning plans into real, resilient infrastructure for the San Antonio region,” said Sven Wellock, head of Renewables and Power Americas at ING Capital. “Battery storage plays a critical role in strengthening grid reliability during periods of peak demand, and we are pleased to support OCI Energy and CPS Energy in delivering a project that combines scale, flexibility, and long-term value for the community.”
Jaehong Park, CEO and president of LG Energy Solution Vertech, said, “We’re proud to support the Alamo City energy storage project and to see construction begin. This project adds further resiliency and stability to the grid, leveraging energy storage to ease demand constraints and improve energy availability.”
“Alamo City BESS represents the kind of forward-looking infrastructure investment needed to support a more reliable and flexible electric grid,” said Austin Hall, president of Elgin Power Solutions. “Our team is excited to help deliver a project that will provide long-term value to the San Antonio region and support energy resilience for years to come.”
—Darrell Proctor is a senior editor for POWER.