Illinois Approves 600 MW of New Energy Storage in First CRGA Procurement

The initial procurement marks an important step toward strengthening reliability and managing electricity costs, while underscoring the need to improve future procurement rounds in PJM 

SPRINGFIELD, IL—On Tuesday, Sept. 1, the Illinois Commerce Commission approved the results of the state’s first utility-scale energy storage procurement under the Clean and Reliable Grid Affordability Act (CRGA), awarding contracts to support the development of 600 MW of new storage projects in Illinois.

Projects totaling 520 MW were procured in MISO Zone 4, exceeding the region’s 450 MW target. The procurement secured an additional 80 MW in PJM, falling short of the region’s 588 MW target. The results mark an important first step while underscoring the need to improve future procurement rounds–particularly in PJM–to achieve Illinois’ goal of bringing 3,000 MW of storage capacity online by 2030.

“These storage projects can help Illinois meet peak demand and strengthen reliability in the coming years. The results will also provide valuable lessons for improving future procurement rounds–especially in PJM–and reaching Illinois’ 3,000 MW storage goal. Approval of this procurement marks an important step toward addressing rising electricity costs and tightening power supplies,” said Brett Sproul, Principal at Advanced Energy United.  

Energy storage can charge when electricity is abundant and less expensive and discharge during periods of peak demand, helping to manage system costs and strengthen reliability. The projects selected through this procurement will add flexible capacity to the grid as Illinois’ electricity needs grow. 

This initial procurement was limited to standalone storage resources capable of operating for four hours. Requirements for future procurements have not yet been finalized. Future rounds should consider a broader range of storage configurations, including storage paired with existing solar, which could extend the availability of low-cost solar electricity into evening hours. Attracting stronger participation will be especially important in PJM, which serves Chicago and much of northern Illinois. 

CRGA establishes a target of 3,000 MW of cumulative energy storage capacity committed to reaching commercial operation by December 31, 2030. Additional procurements are planned for 2027 and potentially 2028. The Illinois Power Agency also plans to seek stakeholder feedback this fall to identify barriers to participation and strengthen future procurement events. 

CRGA is a landmark energy package that will expand energy storage, wind, solar, energy efficiency and virtual power plants while strengthening Illinois’ long-term energy planning. Together, these resources can help the state meet growing electricity demand and address the resource-adequacy pressures contributing to rising customer bills in both PJM and MISO.