Ørsted Brings 500 MWh Tesla Battery Project Online in ERCOT
Ørsted has reached commercial operations at its 500-MWh Old 300 Storage project in Needville, Texas, adding a 250-MW battery energy storage system to the ERCOT grid, Solar Power World reports.
Market Impact
The battery system is co-located with, but operated independently from, Ørsted’s 430-MW Old 300 Solar project, which has supplied power to roughly 80,000 Texas homes and businesses since 2024. Combined, the solar and storage assets are expected to generate approximately $110 million in property tax revenue supporting local infrastructure, schools, and emergency services in the area.
“Battery energy storage has played a large role in providing much needed power to ERCOT in times of tight supply and demand margins,” said Melissa Peterson, president of Ørsted Americas Onshore. She added that the Old 300 Storage project will strengthen grid reliability by giving Texas grid operators additional resources and more localized energy options as electricity demand keeps climbing.
Ørsted sourced the battery system from Tesla, with the Megapack units manufactured in Lathrop, California. Ahead of startup, Ørsted and Tesla worked with the Needville Fire Department on training covering the technology and safety response protocols specific to the installation.
What It Means for Subcontractors
- Battery storage projects paired with existing solar sites, like the Old 300 Storage addition to Old 300 Solar, signal ongoing demand for civil and electrical subcontractors on co-located BESS builds across ERCOT territory.
- The $110 million in projected property tax revenue tied to this Needville, Texas project points to continued local infrastructure spending that could open work for civil contractors in Fort Bend County and surrounding areas.
- Fire departments and local emergency responders are being brought into BESS safety training before commercial operations begin, a pattern subcontractors bidding on storage projects should expect and budget for when scoping site safety plans.
- With ERCOT continuing to lean on battery storage during tight supply periods, electrical subcontractors with Megapack or similar utility-scale BESS installation experience should position for additional bid opportunities as Ørsted and other developers expand storage capacity in Texas.
