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Austin Energy signs 100‑MW, 4‑hour battery contract and issues all‑resource RFP as it eyes peaker options
Summary
Austin Energy reported it has executed a contract with Jupiter Power for a 100‑megawatt, 4‑hour battery storage project and will issue an all‑resource RFP to assess whether carbon‑free local resources can meet the city’s needs; staff warned of long lead times for peaker units and asked for authority to act quickly on fleeting opportunities.
Katie Barton, Austin Energy’s newly confirmed general manager, told the Austin Energy Utility Oversight Committee on Nov. 18 that the utility has executed a contract for a 100‑megawatt, four‑hour battery storage project with Jupiter Power.
"A few weeks ago, we executed a contract for a 100 megawatt battery storage project with Jupiter Power," Barton said, describing the system as a four‑hour resource that will improve reliability and help manage evening price and reliability risks.
Barton and Deputy General Manager Lisa Martin said the contract is one piece of a broader push to shore up local capacity. Martin outlined plans to issue an all‑resource RFP this month with proposals due in January to test whether carbon‑free local resources—solar, storage, fuel cells, geothermal and others—can meet Austin’s needs.
Martin warned the committee that peaker units are in short supply and often carry long lead times. "New peakers have a very long lead time—some quoted the earliest availability in 2029," she said, adding that manufacturers are asking for milestone payments of 10 to 20 percent up front and that refurbished units, while sometimes available, are fleeting opportunities.
Committee members pressed staff on what authority they would need to reserve spots in peaker queues or place deposits on short‑notice opportunities. Martin said being "positioned for action" will likely require authorization to commit funds or place deposits so Austin Energy can seize opportunities that arise quickly.
The general manager also highlighted complementary solicitations the utility has released: a landfill solar RFP in partnership with Austin Resource Recovery and a renewable RFP seeking shovel‑ready wind projects, with offers accepted with or without on‑site storage pairings.
The committee did not take a formal vote on peaker procurement at the meeting; Chair instructed staff to return in January with site planning and a staff recommendation to enable the committee and council to consider authorization.
What’s next: Staff will issue the all‑resource RFP this month, collect proposals in January, and return to the committee with analysis and an authorization recommendation.
