Avista Selects Projects for New Energy and Capacity Resources along with Demand Response
Rhea-AI Summary
Avista (NYSE:AVA) selected multiple energy and capacity projects via its RFP to address needs identified in its 2025 Electric Integrated Resource Plan. Planned actions include a self-build upgrade adding 14 MW to natural gas combustion turbines in north Idaho (staged in 2027 and 2029), a 100 MW, 4-hour battery energy storage system targeted for 2028, a power purchase agreement for ~200 MW of Montana wind targeting 2029, and ~40 MW of demand response programs beginning in 2026. Avista will begin contract negotiations and provide more details as contracts are finalized.
Positive
- Adds 14 MW capacity via staged turbine upgrade (2027, 2029)
- Plans a 100 MW 4-hour BESS to be operational by 2028
- Secures ~200 MW wind PPA targeting 2029
- Adds ~40 MW of demand response starting 2026
- Diversifies portfolio across storage, wind, turbines, and DR
Negative
- Key projects pending contract finalization and negotiation
- Staged turbine upgrade may delay full capacity until 2029
- No quantified cost or financing details disclosed for projects
Key Figures
Market Reality Check
Peers on Argus
AVA fell 1.28% while most close peers also slipped (e.g., AES -2.2%, UTL -2.09%, AQN -0.62%, ALE -0.1%), with CIG an outlier at +2.34%, suggesting a largely stock- and idiosyncratic-utility backdrop rather than a clean sector-wide move.
Historical Context
| Date | Event | Sentiment | Move | Catalyst |
|---|---|---|---|---|
| Jan 21 | Earnings call notice | Neutral | +0.6% | Announcement of Q4 2025 earnings call and webcast schedule. |
| Jan 16 | Rate case filing | Neutral | -0.3% | Four-year Washington rate plan to fund reliability and compliance work. |
| Dec 29 | Community grants | Positive | +0.4% | Foundation awards over $336,000 in environmental and community grants. |
| Dec 23 | ESG report update | Neutral | -0.1% | Publication of updated corporate responsibility and sustainability disclosures. |
| Nov 12 | Dividend declaration | Positive | -0.8% | Board declares quarterly common stock dividend of $0.49 per share. |
Recent news—including rate filings, ESG reporting, and community grants—has generally seen small price moves, with most items aligning modestly with their tone and only one positive event (a dividend) showing a negative reaction.
Over the past few months, Avista has focused on regulatory planning, stakeholder engagement, and shareholder returns. A four-year Washington rate case filing on Jan 16, 2026 sought multi-year increases to fund grid upgrades and wildfire resiliency. Prior updates covered philanthropy grants totaling over $832,350, expanded corporate responsibility reporting aligned with frameworks like TCFD and SASB, and a quarterly dividend of $0.49 per share. Today’s resource-selection announcement fits into this pattern of planning for long-term reliability and clean energy goals.
Market Pulse Summary
This announcement details Avista’s next wave of resource additions, including a 14 MW gas turbine upgrade, a 100 MW battery system, about 200 MW of Montana wind, and roughly 40 MW of demand response. Together with the 2025 IRP and recent multi-year rate filing, it highlights a focus on reliability, clean energy, and customer demand. Investors may watch regulatory approvals, project timing between 2026–2029, and how these assets integrate with existing infrastructure.
Key Terms
integrated resource plan (IRP) technical
battery energy storage system (bess) technical
power purchase agreement financial
AI-generated analysis. Not financial advice.
Energy solutions selected will add needed capacity to Avista’s portfolio
SPOKANE, Wash., Jan. 26, 2026 (GLOBE NEWSWIRE) -- Avista has selected projects as part of its request for proposal (RFP) process to identify new resources to support long-term reliability and customer needs.
Avista’s 2025 Electric Integrated Resource Plan (IRP) filed on December 31, 2024, identified a need for resource additions to Avista’s portfolio to meet reliability requirements, growing customer demand for energy and Avista’s clean energy goals.
To meet these needs, Avista will begin contract negotiations for the following projects:
- A self-build upgrade of Avista’s existing Natural Gas Combustion Turbines in north Idaho to add 14 MW of capacity without increasing carbon emissions. This upgrade will occur in two stages with the first occurring in 2027 and the second in 2029.
- A project for 100 MW, 4-hour Battery Energy Storage System (BESS), to be built and transferred to Avista in eastern Washington with a target date in 2028.
- A Power Purchase Agreement for approximately 200 MW of wind power from Montana that utilizes the Avista share of the Colstrip Transmission System with a target date in 2029.
- The addition of approximately 40 MW of Demand Response Programs that will recruit residential, commercial and industrial customers within Avista’s service territory, beginning in 2026.
“We are encouraged by the projects selected as a part of this process and the value they represent. The resources that were selected will play a critical role in meeting reliability and resource adequacy goals to serve customers and the growing demand for energy,” said Scott Kinney, Avista’s Vice President of Energy Resources & Integrated Planning. “These projects reflect a diverse mix of solutions, including clean energy, capacity-enhancing technologies, customer energy management solutions, and resources designed to optimize energy use. We look forward to engaging our selected partners to deliver resilient energy solutions.”
Avista’s RFP solicited proposals from bidders across all technology types, including demand response, to secure additional energy and capacity which would support long-term resource adequacy and reliability needs identified in the 2025 IRP.
More information about the selected projects will be provided as contracts become final. Additional information related to the RFP is available on the Avista website at www.myavista.com/allsourcerfp.
About Avista Utilities
Avista Utilities is involved in the production, transmission and distribution of energy. We provide energy services and electricity to 422,000 customers and natural gas to 383,000 customers in a service territory that covers 30,000 square miles in eastern Washington, northern Idaho and parts of southern and eastern Oregon, with a population of 1.7 million. Avista Utilities is an operating division of Avista Corp. (NYSE: AVA). For more information, please visit www.myavista.com.
To unsubscribe from Avista’s news release distribution, send reply message to dalila.sheehan@avistacorp.com.
Contact:
Media: Jared Webley, jared.webley@avistacorp.com
Avista 24/7 Media Access (509) 495-4174
FAQ
What projects did Avista (AVA) select in the January 26, 2026 RFP?
When will Avista's 100 MW battery storage (AVA) target operation?
How much additional wind capacity did Avista (AVA) plan to procure and when?
What is the timeline for Avista's (AVA) demand response expansion?
Will Avista (AVA) immediately own the battery project selected in the RFP?
Does Avista (AVA) have final contracts for the selected projects?
