Battery energy storage project planned for Tillsonburg

Jeff Helsdon, Local Journalism Initiative Reporter

A battery energy storage facility is in the early planning stages for the Town of Tillsonburg.

Matt Kennedy, a director with Skyline Energy, told council about the initiative at the Oct. 14 meeting, describing battery energy storage projects as a shock absorber for the grid, able to store excess energy at off-peak times and release it when needed.

Planned for 500 Highway 3, at the back of the E & E McLaughlin facility and directly across the road from the town’s waste depot, the 2.5-acre facility will consist of 45 to 40 shipping containers. Each will contain lithium-iron phosphate batteries and rooftop solar panels.

Kennedy said the proposed site is more than 200 meters from the nearest home. The project will likely be undertaken with an Indigenous partner. As part of any potential agreement, the municipality could receive up to $30,000 per year in direct funding, plus jobs would be created, and grid reliability would be improved.

Kennedy said the technology used has been proven to be safer than the batteries in cell phones.

“They are proven to have 200 times less chance of catching fire than your local gas station, over a million operating hours,” he said.

The shipping containers will be spaced appropriately so that if one catches fire, it won’t spread to others. Each container would include a fire suppression system and thermal monitors. Kennedy said if a fire were to start, no harmful fumes would be released.

The provincial drive to expand battery energy storage is currently in the application stage. Kennedy said applicants are expected to hear in the second quarter of 2026 on success, and if successful, construction could start in 2027 for a 2028 operational date.

Deputy Mayor Dave Beres questioned why an urban centre was chosen as a host rather than a rural area.

Kennedy answered there is capacity in the local feeder lines, adding, “There is a big push not to have these systems on farm land, prime ag land.”

Beres said he is also concerned about the long-term future of battery storage amid so much change in the energy sector.

“There could be a brand-new invention, hydrogen whatever, that takes over batter power,” he said. “Not saying it will, but if it does, this community could be stuck.

Kennedy assured him the provincial agency that oversees power has announced more battery storage opportunities.

“This opportunity isn’t going away anytime soon,” he said.

Coun. Chris Parker raised concerns about whether any additional training was needed for the town’s firefighters, or if any extra equipment or material is required that the town’s fire department doesn’t have.

Kennedy answered that no special equipment is needed.

“You just let it burn down with its fire suppression system,” he explained.

Mayor Deb Gilvesy asked for particulars about the source of the hydro that is stored, to which Kennedy explained it’s pulled off the grid when there is excess supply. He further explained that excess power is currently sold to the United States, and this is an alternative.

The report was received as information by council.