The Eastern Texas BESS is a 150 MW / 300 MWh ERCOT-interconnected battery energy-storage facility designed for fast grid response, enhanced availability, and a revenue strategy that combines an early contracted floor with long-term merchant participation.
This Eastern Texas BESS is a two-hour, 150 MW / 300 MWh battery-storage project interconnected to the ERCOT market. Its revenue design provides a contracted early-life revenue floor through an auto-settled BESS revenue-swap structure, followed by fully merchant operations. The project retains market participation and dispatch rights, allowing it to earn ERCOT energy and ancillary-service revenues while preserving long-term merchant value.
A seven-year auto-settled revenue swap is designed to provide early operating-period cash-flow stability.
The project earns ERCOT merchant revenues and transitions to fully merchant operations after the swap period.
The BESS is designed to deliver rapid response for energy and ancillary-service opportunities.
A super-capacitor power layer is proposed to improve availability and reduce lithium-ion stress.
Charge during favorable energy-market conditions.
Battery modules retain energy for scheduled or market-responsive dispatch.
Super-capacitors support fast, high-frequency response and buffer step changes.
Deliver rapid, market-responsive power while supporting availability performance.
The proposed facility combines lithium-ion storage with a super-capacitor power layer to strengthen availability, manage rapid dispatch transitions, and support a more stable cash-flow profile during the contracted revenue-swap period.
The proposed revenue structure is financial rather than a physical power-purchase agreement. During the revenue-swap period, the project earns 100% of ERCOT merchant revenue, with financial settlement against the contracted structure. At the end of the seven-year swap period, the fixed and floating settlement obligations terminate automatically and the asset continues as a fully merchant ERCOT resource.
A fixed price of $7.00 per kW-month applies to a 120 MW revenue-swap quantity, subject to contractual availability adjustments.
Higher availability can reduce floating settlement exposure and support more predictable net cash flow during the swap period.
After the revenue-swap term ends, the BESS continues without a renewal, extension, or tail obligation under the swap.
The intended design combines contracted stability, availability enhancement, and retention of long-term merchant value.
Sub-second response capability for short-duration, high-frequency operating events.
Designed to improve measured availability and reduce performance-related settlement exposure.
Reduce lithium-ion cycling intensity and thermal/power stress during rapid transitions.
Support more consistent participation in regulation and reserve-service opportunities.
Planning model estimates $6–$8 million of swap-period cash-flow protection over seven years.*
Planning model estimates $16–$23 million of lifetime value from protection, merchant uplift, and avoided degradation risk.*
Interested in performance-enhanced
BESS development?
Contact Modern Thermal Design.
Modern Thermal Design
is a recognized leader in renewable energy and large complex commercial and industrial applications. With combined experience of over 100 years, our design-build expertise makes for efficient, cost-effective, and – most importantly successful energy saving projects.
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