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Arlington, Va. – March 6, 2013 – AES Energy Storage today announced the Storage Applications Center, a grid application hub at PJM Interconnection in Audubon, Pa. The facility will be used to test and validate the next generation of storage applications in a real world environment. The center is part of AES’ ongoing commitment to grid energy storage application design, in which it has invested more than $10 million over the past six years. AES utilizes these advanced application capabilities within the AES Advancion™ solution, a complete, battery-based alternative to peaking power plants, which it now offers to utility buyers and renewable developers in select markets.

“Battery-based energy storage has proven its capabilities as a critical grid resource over the past decade,” said John Zahurancik, Vice President, AES Energy Storage. “This facility will help us build on our proven application platform so that we can continue to offer our customers the most complete solution in the market, taking the technology available and tuning it to the evolving needs of the grid.”

Through the Storage Applications Center, AES is refining commercial applications such as dynamic voltage support, peaking capacity, real-time autonomous dispatch, faster regulation and protocols for merit order dispatch to validate the implementation capabilities of battery-based energy storage technologies for these critical services. 

The Center will also expand the capabilities of the Advancion Application Agents, which are patented performance algorithms focused on market and contract requirements to automate the operation of the storage arrays, optimizing performance and efficiency for customers, and extending the life of customer storage solutions. The Application Agents manage Advancion deployments for superior performance given all market or contract-specific constraints. They have an unmatched commercial service record with five years of commercial service at the highest performance levels.

The location of the facility allows AES to integrate with and add additional demonstration services to PJM’s Innovation Showcase, which was designed to highlight emerging grid technologies. This project enables AES to validate the capabilities of the technology as it interfaces with a grid operator. 

AES and PJM have a long history of demonstrating innovation within battery-based energy storage technologies. An early demonstration project led to the first commercial validation of battery-based energy storage in a market in the U.S., as well as the pioneering of the first pay for performance market rules used to incentivize resources with advanced operational capabilities, such as energy storage. AES currently operates 100 MW of energy storage resources within PJM. 

“PJM works with innovators to assess the feasibility of new approaches to provide important grid services as well as the necessity for any wholesale market rule changes to unleash the potentials of new technologies and applications,” said Sarah Burlew, Manager – Applied Solutions, PJM Interconnection. “AES’ battery storage technology is one of the most visible examples.”

AES also announced today the AES Battery Integration Center, a technology hub that connects advanced battery and power control technologies from a range of suppliers into Advancion. AES currently has more than 200 MW of grid-scale, power plant equivalent flexibility resource in commercial operation and construction. AES resources are currently deployed in the United States and South America.  

About AES Energy Storage Solutions

AES is a leader in commercial energy storage partnerships, which enable utilities, power markets and renewable developers to manage projects from concept to operation. The company’s energy storage solutions unlock value from existing power infrastructure, liberating reserve capacity, enabling renewable facilities to generate new revenue streams, improving flexibility and reliability of the power system, and meeting peak power demand.  With 200 MW of storage-based resources in operation and construction, AES has the largest fleet of battery-based storage assets in commercial operation today. The company has over 1,000 MW in development with prospects in the US and abroad. To learn more, please visit www.aesenergystorage.com or @aes_es on Twitter.

About AES

The AES Corporation (NYSE: AES) is a Fortune 200 global power company. We provide affordable, sustainable energy to 21 countries through a diverse portfolio of distribution businesses as well as thermal and renewable generation facilities. Our workforce of 21,000 people is committed to operational excellence and meeting the world's changing power needs. Our 2013 revenues were $16 billion and we own and manage $40 billion in total assets.  To learn more, please visit www.aes.com.

Safe Harbor Disclosure

This news release contains forward-looking statements within the meaning of the Securities Act of 1933 and of the Securities Exchange Act of 1934. Forward-looking statements are not intended to be a guarantee of future results, but instead constitute AES’s current expectations based on reasonable assumptions.  Actual results could differ materially from those projected in AES’s forward-looking statements due to risks, uncertainties and other factors. Important factors that could affect actual results are discussed in the Tender Offer Materials related to the Tender Offers and AES’s filings with the SEC, including, but not limited to, the risks discussed under Item 1A “Risk Factors” and Item 7 “Management’s Discussion & Analysis of Financial Condition and Results of Operations” in AES’ 2013 Annual Report on Form 10-K and in subsequent reports filed with the SEC. Readers are encouraged to read AES’s filings to learn more about the risk factors associated with AES’s business. AES undertakes no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
Anyone who desires a copy of AES’s 2013 Annual Report on Form 10-K dated February 26, 2014 may obtain a copy (excluding Exhibits) without charge by addressing a request to the Office of the Corporate Secretary, The AES Corporation, 4300 Wilson Boulevard, Arlington, Virginia 22203. Exhibits also may be requested, but a charge equal to the reproduction cost thereof will be made. 

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