Battery Energy Storage System Proposal:
Reliable Electricity, Building a More Sustainable Tomorrow
430 Hurley Ave., Town of Ulster, N.Y.
Terra-Gen Submits Draft Environmental Impact Statement (DEIS) to Town of Ulster. Click here and scroll down to Alcazar Energy Storage System LLC for All Project Documents.
Terra-Gen Mailer to Community Offers August 2026 Update on Terra-Gen Proposal and Submission of Draft Environmental Impact Statement. Click here.
Guest Column: California Battery Incidents Demonstrate Effective Safety Systems Under Real-World Conditions. Learn more here.
Terra-Gen is proposing to construct and operate a 250-megawatt lithium-ion battery energy storage system (BESS) facility to provide state-of-the-art renewable energy. The location is the former John A. Coleman Catholic High School, comprising 15 acres of privately owned land. The school has been closed since 2019.
This Hurley Avenue location is strategically located adjacent to Central Hudson Gas & Electric Corp.’s Hurley Substation, to the north of the property across Hurley Avenue. The substation is one of the most vital substations in Ulster County and the Hudson Valley.
(Alcazar Energy Storage System LLC, listed in the Large Scale Proposed Projects section)
This in-depth Q&A responds to numerous detailed questions regarding safety and health, including many questions posed by the community.
The BESS would power 200,000 to 250,000 households for four hours, providing reliability and resiliency for the power grid by providing up to 1,000 megawatt-hours (MWh) of stored energy.
PROJECT COMPONENTS
The BESS, project substation and controls building.
Operations and Maintenance Building.
Generation interconnect (gen-tie) line to the Central Hudson Gas & Electric Corp. substation.
Stormwater retention basin.
The blue line represents the “tie line” that would link the BESS to the Central Hudson substation.
Local Municipal Review Steps
On Aug. 6, 2026, the Town of Ulster Town Board approved a resolution acknowledging receipt of the Draft Environmental Impact Statement, which was submitted to the Town by Terra-Gen on Aug. 4, 2026. The resolution also calls for the launch of a completeness review of the DEIS. The Town of Ulster posts documents, including the DEIS, here. Scroll down to Alcazar Energy Storage System, LLC.
The Town Board is the Lead Agency for the environmental review required by New York State Environmental Quality Review Act (SEQRA). A “positive declaration” was issued by the Town Board, spurring the environmental review under SEQRA. The proposed BESS is classified as a utility company structure under the Town of Ulster Zoning Code. This interpretation is consistent with similar applications approved in the Town. Special-use permit application and site-plan review will be reviewed and completed by the Town Board and Planning Board.
State Review
- The project is subject to review by the Public Service Commission, pursuant to Public Service Law Section 68, to confirm that the project is in the public interest and that Terra-Gen is qualified to provide reliable and safe service.
- Demolition of the former high school must be approved by the New York State Historic Preservation Office.
- The State Department of Environmental Conservation also will conduct a review of the plans.
View the July 2, 2025 Community Presentation
Terra-Gen is appreciative for the active participation and substantial viewership of its July 2, 2025 Community Presentation via Zoom, a community engagement that Terra-Gen organized on its own to speak directly to the region. Terra-Gen is committed to a culture of listening and learning so we can shape a beneficial and safe project for the community. This presentation was the first of several that will be planned; the public also will have in-person opportunities to provide feedback through the municipal review process. Please watch the video here and questions are always welcome at info@ulstercleanenergy.com. Thank you.
Why New York State Seeks Battery Energy Storage Systems
Energy storage is critical to New York’s clean-energy goals. The State mandates 6 gigawatts of energy storage by 2030 to strengthen the power grid and make up for reduced fossil-fuel use. The goals:
- 3,000 megawatts of new bulk storage, enough to power approximately 3 million homes for up to four hours.
- 1,500 megawatts of new retail storage, enough to power approximately 1.5 million homes for up to four hours.
- 200 megawatts of new residential storage, enough to power 200,000 homes for up to two hours.