Cold Storage Facility
Eliminates Peak Demand Costs.
A 180,000 sq ft refrigerated distribution center in Southern California was paying some of the highest demand charges of any commercial facility in its region. Amperage Capital deployed a 1.2 MWh battery storage system at zero cost to the operator — and transformed their energy economics.
Demand Charge Reduction
Peak demand reduced from 1.4 MW to under 400 kW
System Capacity
LFP battery storage, grid-tied behind the meter
Backup Power Coverage
Critical refrigeration loads protected during outages
Upfront Cost to Operator
Fully financed, owned, and operated by Amperage Capital
The Challenge
A load profile built to generate maximum demand charges.
Cold storage facilities face a unique combination of demand charge triggers that make them among the most exposed commercial building types to peak demand billing. This facility was no exception.
- !Refrigeration compressor startup events creating sharp 15-minute demand spikes 8–12x per day
- !Summer peak season aligning with highest utility demand rates, compounding monthly costs
- !Operator lacked capital budget for infrastructure investment despite strong ROI case
- !Tight equipment room requiring compact system footprint with fire suppression integration
The Solution
A fully financed 1.2 MWh behind-the-meter storage system.
Amperage Capital structured an Energy Services Agreement that required zero capital from the facility operator. We financed, procured, installed, and now operate a lithium iron phosphate (LFP) battery storage system integrated directly into the facility's electrical infrastructure.
The battery management system continuously monitors the facility's 15-minute interval data. When a compressor startup or combined peak load event is detected, the system pre-dispatches stored energy to prevent the demand spike from registering with the utility — suppressing the monthly billing demand.
The operator receives a guaranteed share of the verified demand charge savings from the first billing cycle, with no operational responsibility. Amperage Capital handles all monitoring, maintenance, and optimization for the full contract term.
Deployment Timeline
From Discovery to Operations in Under 4 Months.
Discovery
Interval load data analysis and utility rate schedule review. Identified demand charge exposure and sized the storage system for maximum savings.
Underwriting
AI-assisted financial modeling across multiple rate scenarios. Energy Services Agreement structured and executed with the facility operator.
Permitting & Engineering
Site assessment, single-line diagrams, utility interconnection application, and local AHJ permitting completed.
Installation
Battery storage system installed and commissioned by certified integration partner. Minimal disruption to cold storage operations.
Optimization
AI-enabled battery management software continuously monitors load profile and dispatches energy to suppress demand events in real time.
The Result
A facility that was losing six figures annually to demand charges is now sharing in the savings — without spending a dollar.
The 72% reduction in peak demand billing has materially improved the facility's operating margin. The backup power capability has also eliminated exposure to inventory loss during grid outage events — a previously unquantified but significant operational risk.
Results are specific to this project and its utility rate environment. Individual outcomes will vary based on facility load profile, utility rate schedule, and system design. This is not a representation of guaranteed results.
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