Canadian Solar Inc. announced that its subsidiary e-STORAGE has signed a supply agreement with a major U.S. utility to deliver a large-scale battery energy storage system aimed at strengthening power infrastructure for data centers.
The project will include a 500 MW / 2,493 MWh DC battery energy storage system (BESS) designed to improve grid reliability and support growing electricity demand driven by AI and hyperscale data centers. Canadian Solar Inc. said the system will play a key role in ensuring stable and resilient electricity supply for rapidly expanding digital infrastructure.
Under the agreement, e-STORAGE will supply approximately 500 SolBank 3.0 battery containers, with battery cells manufactured through the company’s global production network. Deliveries are scheduled to begin in March 2027 and are expected to be completed by July 2027.
Company executives emphasized that the project highlights the increasing role of energy storage in supporting modern power systems. As artificial intelligence, cloud computing, and large-scale data centers continue to expand, electricity demand is rising sharply across the United States, placing pressure on grid infrastructure.
“Rapid data center growth is driving new power needs,” said Colin Parkin, President of Canadian Solar Inc. and President of e-STORAGE. He noted that the company’s SolBank platform and delivery capabilities enable utilities and developers to deploy dependable energy storage solutions on schedule.
Utility-scale battery systems such as this BESS help stabilize electricity networks by storing excess energy and releasing it during peak demand periods. They also support the integration of renewable energy sources and improve overall grid flexibility.
Founded in 2001 and headquartered in Kitchener, Ontario, Canadian Solar Inc. is among the world’s largest solar and renewable energy companies. The company has delivered nearly 170 GW of solar photovoltaic modules globally and, through its storage division, has shipped over 16 GWh of battery energy storage systems to international markets.
The latest project reflects the growing importance of large-scale energy storage in meeting rising electricity demand from digital infrastructure while supporting the transition toward cleaner and more resilient power systems.
