Aypa Power, a Blackstone portfolio company specializing in energy storage and hybrid renewable energy projects in North America, announces $323 million in financing for its Kuna energy storage project.
Located near Boise, this 150 megawatt (MW) / 600 megawatt-hour (MWh) project will become Idaho’s largest battery facility when it becomes operational in 2025.
Financing Details
The financing consists of a $233 million green loan, including a construction and term loan, a tax bridge loan, and a letter of credit facility.
In addition, $90 million in tax equity has been secured, bringing the total to $323 million.
The debt financing is led by ING Capital LLC, Société Générale, and ICBC – New York Branch, with Deutsche Bank Trust Company Americas as administrative agent and U.S. Bank as custodian and collateral agent.
The tax equity investment is led by U.S. Bancorp Impact Finance, a subsidiary of U.S. Bank.
Project impact and prospects
This project represents a significant step forward for Idaho’s energy sector.
Moe Hajabed, CEO of Aypa Power, emphasizes that “it’s investments like this that enable the large-scale deployment of battery storage technology and facilitate the energy transition”.
By providing a reliable and sustainable storage solution, the Kuna project supports economic and social development. meets the growing energy demands of the state’s data centers and other industrial users.
Economic Agreements and Benefits
In April 2023, Aypa Power, via Kuna BESS LLC, enters into a long-term energy storage agreement with Idaho Power.
The project, ready to meet Idaho’s capacity needs in 2025, is expected to create over 150 well-paying jobs during the construction phase and generate approximately $30 million in local economic development over the life of the project.
The Kuna project also contributes to the resilience of Idaho’s energy grid by integrating advanced storage technologies, enabling better management of demand fluctuations and the challenges associated with integrating renewable energies.
