Ormat Technologies Inc. has announced that its Shirk Energy Storage Facility, located in Visalia, California, has officially begun commercial operations. The project is an 80 MW / 320 MWh Battery Energy Storage System (BESS), marking another important step in the company’s expansion in the energy storage sector.
The Shirk facility is backed by a 15-year Resource Adequacy Purchase and Sale Agreement with the City of Riverside. This agreement ensures a stable revenue stream while also supporting grid reliability in California, where demand for flexible and dependable energy resources continues to grow.
The project also benefits from a 40% Investment Tax Credit (ITC). Ormat plans to take advantage of these tax benefits through its previously announced hybrid tax equity partnership with Morgan Stanley Renewables, Inc.. This partnership, introduced in May 2025, is designed to help fund and optimize the company’s expanding portfolio of energy storage projects.
Doron Blachar, CEO of Ormat Technologies, said the launch of the Shirk facility is another key milestone in strengthening the company’s energy storage platform. He highlighted that the project reflects Ormat’s ability to develop and deliver large-scale storage solutions that improve grid reliability while supporting California’s transition to cleaner energy.
He also noted that the combination of long-term contracted revenues and the ability to monetize tax benefits enhances the profitability and long-term stability of the company’s energy storage business. Overall, the Shirk project supports Ormat’s broader strategy of building a diversified portfolio of contracted energy storage assets while contributing to a more reliable and sustainable energy system.
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