Avista Selects Projects for New Energy and Capacity Resources along with Demand Response

Avista (NYSE:AVA) selected multiple energy and capacity projects via its RFP to address needs identified in its 2025 Electric Integrated Resource Plan.

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

Argus Jan 27 session

+1.79% close to close Open Argus

Details

News Market Reaction – AVA

On Jan 27, the first trading day after this news, AVA closed 1.79% above the previous close.

Data tracked by StockTitan Argus for the Jan 27 session.

Key Figures

Current share price: $40.04 52-week range: $35.475–$43.09 Gas turbine upgrade: 14 MW +5 more

Current share price

$40.04

Pre-news market context

52-week range

$35.475–$43.09

Pre-news trading range

Gas turbine upgrade

14 MW

Capacity added via self-build upgrade in north Idaho

Battery storage size

100 MW (4-hour BESS)

Battery Energy Storage System in eastern Washington

Wind power PPA

≈200 MW

Power Purchase Agreement using Colstrip Transmission System

Demand response programs

≈40 MW

Demand response across residential, commercial, industrial customers

IRP year

2025 IRP

Electric Integrated Resource Plan filed Dec 31, 2024

Targeted in-service dates

2026–2029

Staged timing for DR, gas upgrade, storage, wind projects

Historical Context

5 past events · Latest: Jan 21

5 events

1. Jan 21

   Earnings call notice

   24h Move

   +0.6%

   Announcement of Q4 2025 earnings call and webcast schedule.

2. Jan 16

   Rate case filing

   24h Move

   -0.3%

   Four-year Washington rate plan to fund reliability and compliance work.

3. Dec 29

   Community grants

   24h Move

   +0.4%

   Foundation awards over $336,000 in environmental and community grants.

4. Dec 23

   ESG report update

   24h Move

   -0.1%

   Publication of updated corporate responsibility and sustainability disclosures.

5. Nov 12

   Dividend declaration

   24h Move

   -0.8%

   Board declares quarterly common stock dividend of $0.49 per share.

24h Move is the share-price change in the day after each event; other market factors may also have contributed.

Key Terms

integrated resource plan (IRP), natural gas combustion turbines, battery energy storage system (bess), power purchase agreement, +1 more

5 terms

integrated resource plan (IRP) technical

"Avista’s 2025 Electric Integrated Resource Plan (IRP) filed on December 31, 2024..."

An integrated resource plan (IRP) is a long-range strategy used by utilities and regulators to decide how to meet future electricity demand through a mix of power plants, grid upgrades, energy purchases, efficiency programs and demand-reduction measures. It matters to investors because the IRP sets expected capital spending, operating costs, and regulatory approvals that shape a utility’s future revenue, risk profile and rate changes — like a household budget that plans major purchases and monthly bills years ahead.

natural gas combustion turbines technical

"A self-build upgrade of Avista’s existing Natural Gas Combustion Turbines in north Idaho..."

Natural gas combustion turbines are machines that burn natural gas to spin a shaft—much like a jet engine turned sideways—to drive a generator and produce electricity. Investors care because these turbines determine how much it costs to make power, how quickly a plant can respond to demand swings, and how exposed a business is to fuel prices, air‑pollution rules and efficiency changes, all of which affect revenue, operating costs and long‑term value.

battery energy storage system (bess) technical

"A project for 100 MW, 4-hour Battery Energy Storage System (BESS), to be built..."

A battery energy storage system (BESS) is a large-scale setup that stores electricity in rechargeable batteries and releases it when needed, like a giant rechargeable battery for the power grid. It matters to investors because it helps smooth out supply and demand, capture surplus renewable power, provide backup and short-term grid services that can earn recurring revenue, and can boost the value of generation and transmission assets as demand for flexible energy grows.

power purchase agreement financial

"A Power Purchase Agreement for approximately 200 MW of wind power from Montana..."

A power purchase agreement (PPA) is a long-term contract in which a buyer agrees to purchase electricity from a generator at an agreed price and schedule, similar to a multi-year subscription for power or a long-term lease of an energy source. Investors care because PPAs provide predictable revenue and cash flow for the generator, reduce market-price exposure, and shift credit and performance risk to the buyer, all of which affect valuation, financing and perceived investment stability.

demand response programs technical

"The addition of approximately 40 MW of Demand Response Programs that will recruit..."

Demand response programs pay electricity users or adjust their consumption automatically to reduce power use during peak periods, helping balance supply and demand and avoid blackouts. For investors, these programs can lower operating costs for large users, create revenue streams for technology and service providers, and change utilities’ capital needs—think of it like traffic control that eases rush-hour congestion to keep the system running smoothly.

AI-generated analysis. How Rhea-AI works. Not financial advice.

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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

AI-generated questions and answers. How Rhea-AI works. Not financial advice.

What projects did Avista (AVA) select in the January 26, 2026 RFP?

Avista selected a 14 MW turbine upgrade, a 100 MW 4-hour BESS, ~200 MW Montana wind PPA, and ~40 MW of demand response.

When will Avista's 100 MW battery storage (AVA) target operation?

The 100 MW, 4-hour BESS is targeted for 2028.

How much additional wind capacity did Avista (AVA) plan to procure and when?

Avista planned a power purchase agreement for approximately 200 MW of wind with a target date in 2029.

What is the timeline for Avista's (AVA) demand response expansion?

Avista plans to add approximately 40 MW of demand response programs beginning in 2026.

Will Avista (AVA) immediately own the battery project selected in the RFP?

The battery is planned to be built and transferred to Avista, indicating eventual ownership upon completion.

Does Avista (AVA) have final contracts for the selected projects?

No; Avista will begin contract negotiations and will provide more details as contracts become final.