January 28, 2026
Power Bank Corp. will complete final commissioning of its SFF-06 battery energy storage system (BESS) project in Ontario, Canada. The project had previously been announced in August 2025 and will include 4.99 MW of energy storage.
The SFF-06 project is in the final phase of “hot” commissioning with EVLO. The project commissioning includes several milestones with technical partners to ensure safe installation, interconnection and commissioning with the hydropower grid for the nine EVLO battery containers. PowerBank expects the commercial operation date for the SFF-06 project to occur in January, subject to receipt of all necessary approvals for commissioning. This project will be PowerBank’s first operational battery energy storage project.
SFF-06 is owned by 1000234763 Ontario Inc. (ProjectCo), in which PowerBank has a 50% interest, with the remaining 50% owned by a partnership of First Nations communities in Ontario.
Acquisition to respond to the growing market
This project, which was acquired through PowerBank’s acquisition of Solar Flow-Through Funds Ltd. worth $45 million by July 2024, positions the company in a battery storage market expected to rise to $31.2 billion by 2029, with a CAGR of 16.3%, according to Fortune Business Insights.
The project is eligible for the 2024 Clean Technology Investment Tax Credit, which provides up to 30% reimbursement of eligible capital costs. This repayable credit enhances SFF-06’s financial performance while aligning with PowerBank’s mission to accelerate renewable energy adoption through strategic government incentives.
In July 2023, SFF-06 secured a 22-year contract through the Expedited Long-Term RFP (E-LT1 RFP) from the Independent Electricity System Operator (IESO). With a fixed capacity payment of $1,221/MW per working day – well above the average of $876/MW for storage projects – this contract provides a strong financial return.
PowerBank’s proven expertise, with more than 100 MW of completed projects and a development pipeline of more than 1 GW, will support the project’s execution. Strategic partnerships and institutional-level development capabilities position PowerBank to deliver reliable, high-impact sustainable energy solutions.
Project risks
There are several risks associated with the development of the project. Commercial operation of the project is subject to receipt of final technical and regulatory approvals, and battery storage capacity degradation may occur over time based on the number of discharge cycles. In addition, governments may revise, reduce, or eliminate incentives and policy support programs for battery energy storage, which could result in future projects no longer being economical.
Other BESS project update
As previously announced, the PowerBank is also developing two other battery energy storage projects in Ontario, known as the 903 project and the OZ-1 project. Due to delays in permitting, the company and its battery storage systems supplier were in discussions to terminate contracts for OZ-1 on mutually agreeable terms.
Once licensing certainty for OZ-1 is achieved, PowerBank will either re-enter agreements with the supplier or pursue an alternative source. A termination arrangement has now been reached on the basis of which the parties have agreed to terminate the OZ-1 equipment supply and long-term service agreements, whereby PowerBank waives all rights and obligations.
Supplier will retain possession and ownership of the systems originally assigned to OZ-1, and PowerBank will pay Supplier a termination fee of $475,000, together with a reimbursement of certain retrofit costs in the amount of $100,000, in addition to any amounts due for services performed to date. The final delivery times for the remaining projects will also be adjusted. Finally, PowerBank will pay $512,000 for an extended warranty for the SFF-06 and 903 projects.
Tags: BESS, Canada, energy storage
