CPS Energy plans to deploy up to 20 MW of battery storage and a utility-owned microgrid to improve grid resilience and support critical infrastructure across San Antonio. Image Credit/Source: Planet Volumes/Unsplash 
Tenders

CPS Energy Issues RFP for 20 MW BESS & Microgrid

Team BESSNews

San Antonio-based CPS Energy has issued an RFP for up to 20 MW of distribution-scale battery energy storage systems and a microgrid to improve grid resilience, support critical infrastructure and target commercial operation by the second quarter of 2028.

SNAPSHOT

Company - CPS Energy
Location - San Antonio, Texas
Category - Tender
Project type - BESS, microgrid
Capacity - Up to 20 MW
Ownership - CPS Energy
Scope - Two distribution-scale battery storage sites
Purpose - Grid resilience, critical infrastructure support
Target operation - Q2 2028

A clean energy provider of US, CPS Energy has launched request for proposal (RFP) to develop up to 20 MW of distribution-scale battery energy storage systems (BESS) together with a microgrid in San Antonio, Texas. The initiative forms part of the utility's broader strategy to strengthen grid resilience, improve service reliability and support critical infrastructure as electricity demand continues to grow across the region.

The RFP seeks qualified developers and technology providers to deliver two battery energy storage installations that will be owned and operated by CPS Energy. One of these battery systems will also serve as the foundation for microgrid capable of operating independently from the wider electricity network during emergencies or prolonged grid disturbances.

The proposed battery storage systems will be installed in the eastern and southern areas of San Antonio. Microgrids play an increasingly important role in modern electricity systems by providing localized energy security. Under normal operating conditions, the microgrid will remain connected to the utility network. During major outages or extreme weather events, it can disconnect from the main grid and continue supplying electricity in "island mode," helping maintain power for essential facilities and critical community services.

The project is being developed under CPS Energy's Community Energy Resiliency Program, which also receives support from the US Department of Energy (DOE). The programme is designed to encourage grid technologies that improve reliability while preparing the electricity system for future energy demands and increasing climate resilience.

CPS Energy also intends to own and manage both battery storage sites following project completion, reflecting its long-term investment in modernising the distribution network. Following the RFP issuance, interested suppliers can submit proposals through the PowerAdvocate procurement portal.The utility will evaluate submissions after the proposal deadline and expects to select successful participants later this year.

The procurement schedule includes a deadline for vendor questions on 10 July 2026, with responses issued the same day. Final proposals must be submitted by 24 July 2026, after which technical and commercial evaluations will begin.

The new BESS and microgrid initiative is yet another example of CPS Energy’s continued investment in grid technology that works for the future. The combination of both battery storage and microgrid will enable improved resilience and improved emergency preparedness and electricity reliability across the city of San Antonio.