GlobalFoundries has partnered with energy storage developer Lightshift Energy to deploy a battery energy storage system (BESS) at its semiconductor manufacturing facility in Essex Junction, Vermont.

The project has a capacity of 16MW/52MWh and will be used primarily for peak shaving by storing electricity during periods of low regional demand and discharging it during peak times to alleviate grid stress.

It will be directly integrated within GF’s switchyard and operate as a behind-the-meter asset. In doing so, the companies will be able to skip the ISO high-voltage interconnection process and expedite their route to market.

The project has already completed the necessary permitting and contracting processes and is expected to commence construction this year, with an estimated completion date of early 2026.

“GF has been a great partner on this project, which will not only reduce energy costs for its Vermont campus but also support regional electric reliability and Vermont’s clean energy goals,” said Michael Herbert, Lightshift co-founder and managing partner.

“This project represents new applications for energy storage within the semiconductor industry, demonstrating how managing peak demand can improve efficiency for industrial operations, and how energy storage can be used to mitigate the impacts of large loads on the electric grid.”

GF selected Lightshift as its provider through a Request for Proposal process, with the partners working on the project for 12 months prior to the announcement. During this period, the partners refined the location of the units, developed a use case, and determined the optimal size of the BESS to ensure maximum efficiency.

“GF has consistently demonstrated its commitment to sustainable manufacturing and maintaining global competitiveness right here in Vermont, while also being a supportive corporate citizen for the community. Partnering with Lightshift aligns perfectly with these objectives and supports the sustainability goals of our customers, while propelling both GF and Vermont forward,” said Ken McAvey, general manager of GF Vermont.

The GF Essex Junction facility was among the first major semiconductor manufacturing sites in the US. It specializes in radio frequency and silicon germanium technologies, essential for wireless and 5G applications, and is one of two 200mm Trusted Foundries in the US. Last December, GF was awarded an additional $9.5 million in US federal government funding to advance the manufacturing of gallium nitride-on-silicon (GaN-on-Si) chips at the Essex Junction fab.

Several data center firms have begun to deploy BESS across their facilities in a drive to decarbonize. For example, last October, Amazon partnered with Unbound Potential, a Swiss battery startup, to trial its BESS technology in a pilot project at Amazon's European logistics centers.

Lightshift was founded in 2019 and is headquartered in Arlington, Virginia. The agreement with GF represents the largest BESS project to date in the Vermont market.