Texas Microgrid to Build 50 MW with Infusion of Equity Financing

May 26, 2016
Texas Microgrid, a company operated by Enchanted Rock (ERock), today announced an equity investment from Balfour Beatty Infrastructure Partners (BBIP) to build microgrids in Texas.

Texas Microgrid, a company operated by Enchanted Rock (ERock), today announced an equity investment from Balfour Beatty Infrastructure Partners (BBIP) to build microgrids in Texas.

The financing will help fund the construction of 50 MW of microgrids already under contract with commercial and industrial (C&I) customers.

Founded in 2006, ERock is an engineering, procurement and construction company that builds and operates microgrids and helps customers manage physical and financial risk associated with electricity. The microgrids, which will use natural gas, will sell electricity and ancillary services into ERCOT, the Texas wholesale market.

ERock offers a product where customers pay only a small fraction of the installation cost of a standard reliability system. The company says that the structure shifts the performance and market risk to the operator and owner of the assets, allowing customers to focus time and capital on core business activities.

The company is responsible for the design, installation, and commissioning of projects totalling 225 MW, and field and market operations of 167 MWs for reliability sites, which ERock says represents the largest dispatchable distributed generation fleet in Texas.

Rob Gregor, BBIP managing partner, said that ERock offers a strong fit for its investment strategy.

“We were attracted by Enchanted Rock’s unique approach to providing reliable backup power while building long-term customer relationships,” he said. “We believe Texas Microgrid, with ERock’s innovative expertise in backup power and energy management, provides an attractive solution to customers who place a high value on electrical reliability.”

Texas Microgrid is BBIP’s second investment in North America, and fifth investment overall. Other investments by BBIP include Upper Peninsula Power Company in the U.S., along with McEwan Power, Wightlink Ferries and Alkane Energy in the U.K.  The infrastructure equity investment fund focuses on investments in utilities, energy and transport infrastructure in the U.S., Canada and Europe.

“The BBIP team has shown a dedication to the space and an ability to think creatively to develop long term infrastructure projects with attractive returns,” said Thomas McAndrew, founding partner and managing director of Enchanted Rock. “We are proud to have them as partners and look forward to building out Texas Microgrid together.”

Bracewell acted as BBIP’s legal advisor for this transaction and Elder Bray & Bankler acted as Enchanted Rock’s legal advisor.

Track breaking news about microgrids by following us on Twitter @MicrogridNews.

About the Author

Elisa Wood | Editor-in-Chief

Elisa Wood is an award-winning writer and editor who specializes in the energy industry. She is chief editor and co-founder of Microgrid Knowledge and serves as co-host of the publication’s popular conference series. She also co-founded RealEnergyWriters.com, where she continues to lead a team of energy writers who produce content for energy companies and advocacy organizations.

She has been writing about energy for more than two decades and is published widely. Her work can be found in prominent energy business journals as well as mainstream publications. She has been quoted by NPR, the Wall Street Journal and other notable media outlets.

“For an especially readable voice in the industry, the most consistent interpreter across these years has been the energy journalist Elisa Wood, whose Microgrid Knowledge (and conference) has aggregated more stories better than any other feed of its time,” wrote Malcolm McCullough, in the book, Downtime on the Microgrid, published by MIT Press in 2020.

Twitter: @ElisaWood

LinkedIn: Elisa Wood

Facebook:  Microgrids


Designing Microgrids: Evaluating Parameters for Reliable, Cost-Effective and Optimized Power Solutions

Dec. 7, 2023
Shawn Dalke electrical engineer at Mesa Solutions discusses load profiles and power sources for microgrids.

Get the full report.

The Lesser-Known Benefits of a Microgrid

Whether connected or disconnected to the grid, a microgrid provides more than just reliable energy. Mesa Solutions outlines some of the lesser-known benefits of a microgrid including...