# Bayonne Energy Center

NYISO battery_storage · https://askthegrid.com/nyiso/assets/plant/bayonne-energy-center

Bayonne Energy Center is a natural-gas-fired, dual-fuel peaking generation facility located in Bayonne, Hudson County, New Jersey. The facility serves NYISO Zone J (New York City) exclusively through a dedicated 6.75-mile submarine and underground 345 kV cable system connecting to Consolidated Edison's Gowanus substation in Brooklyn. The plant provides energy, capacity, and ancillary services and is capable of rapid startup and dispatch, supporting grid reliability during peak demand periods.

## Key facts

- Technology: Natural Gas Fired Combustion Turbine
- Power capacity: 644 MW

## Grid and market context

- ISO/RTO: NYISO
- Balancing authority: NYISO

## Source-backed facts

- Technical.power mw: 644 MW — dep.nj.gov · confidence: review_required
- Technical.unit count: 10 units — dep.nj.gov · confidence: review_required
- Operations.grid role: Dispatchable peaking resource serving NYISO Zone J/New York City and supporting grid reliability through energy, capacity, and ancillary-services supply. — morganstanley.com · confidence: review_required
- Operations.substation: Gowanus Substation, Brooklyn, NY (345 kV) — tigergenco.com · confidence: review_required
- Identity.owner name: Thermal Bayonne Holdings, LLC (owned by Morgan Stanley Infrastructure Partners as of 2026-07-25; announced sale to Jupiter Energy Investor, LLC pending closing) — morganstanley.com · confidence: review_required

## Timeline

- 2010 — Construction Financing from Siemens
  Siemens Financial Services Division provided a $50 million holding company loan to the prior owner to support project construction.
  Source: powermag.com (https://www.powermag.com/press-releases/98976/)
- 2014-06 — Project Loan from Siemens
  Siemens Financial Services contributed $58 million towards a project loan, making Siemens the largest single lender in that financing structure.
  Source: powermag.com (https://www.powermag.com/press-releases/98976/)
- 2015 — Macquarie Acquisition
  Macquarie Infrastructure Corporation acquired Bayonne Energy Center from ArcLight Energy Partners.
  Source: power-eng.com (https://www.power-eng.com/gas/turbines/macquarie-selling-644-mw-bayonne-gas-fired-plant-in-new-jersey/)
- 2015-06 — Refinancing from Siemens
  Siemens Financial Services funded $60 million of a new $275 million project loan, making SFS the largest lender in that capital structure.
  Source: powermag.com (https://www.powermag.com/press-releases/98976/)
- 2018-10 — Macquarie Sale to Morgan Stanley
  Macquarie completed the sale of Bayonne Energy Center to a Morgan Stanley-managed investment fund for approximately $900 million in cash and assumed debt. Cash proceeds to Macquarie were approximately $649 million after transaction fees and adjustments.
  Source: finance.yahoo.com (https://finance.yahoo.com/news/macquarie-completes-bayonne-energy-spin-132501519.html)
- 2026-03-17 — Announced Sale to Jupiter Energy Investor
  Morgan Stanley Infrastructure Partners announced an agreement to sell its ownership stake in Thermal Bayonne Holdings, LLC (Bayonne Energy Center) to Jupiter Energy Investor, LLC. Closing expected in Q3 2026 subject to customary conditions and regulatory approvals.
  Source: morganstanley.com (https://www.morganstanley.com/press-releases/msip-agrees-to-sell-bayonne-energy-center)
- 2026-03-20 — BEC III Battery Storage Financing
  KeyBanc Capital Markets closed $146 million of senior secured facilities for Bayonne Energy Center III battery project: $48.5 million construction-to-term loan, $82.7 million tax credit bridge loan, and $14.8 million letters of credit.
  Source: key.com (https://www.key.com/businesses-institutions/our-transactions/deals.tigergenco-bayonne-energy-center-iii.html)

## Sources

- [dep.nj.gov](https://dep.nj.gov/wp-content/uploads/boss/public-notices/12863-bop220002-statementofbasis.pdf) — dep.nj.gov · tier authoritative
- [finance.yahoo.com](https://finance.yahoo.com/news/macquarie-completes-bayonne-energy-spin-132501519.html) — finance.yahoo.com · tier public_source
- [key.com](https://www.key.com/businesses-institutions/our-transactions/deals.tigergenco-bayonne-energy-center-iii.html) — key.com · tier public_source
- [morganstanley.com](https://www.morganstanley.com/press-releases/msip-agrees-to-sell-bayonne-energy-center) — morganstanley.com · tier public_source
- [power-eng.com](https://www.power-eng.com/gas/turbines/macquarie-selling-644-mw-bayonne-gas-fired-plant-in-new-jersey/) — power-eng.com · tier public_source
- [power-technology.com](https://www.power-technology.com/marketdata/power-plant-profile-bayonne-energy-center-us/) — power-technology.com · tier public_source
- [powermag.com](https://www.powermag.com/press-releases/98976/) — powermag.com · tier public_source
- [tigergenco.com](https://www.tigergenco.com/work) — tigergenco.com · tier public_source

## Data quality

- The asset identity is confirmed via EIA plant ID 56964, FERC docket ER17-1652-000, and NYISO queue position 39048. Capacity is reported as 644 MW per NJDEP permit (11/16/2022), consistent with EIA data. Some owner statements report 660 MW; this may reflect net vs. nameplate conventions or post-permit technical adjustments. Both figures are supported by reputable sources and no material conflict blocks publication. The turbine model is identified as Industrial Trent 60 WLE (Siemens/Rolls-Royce) in Siemens and project materials, and as Siemens SGT-A65 in recent S&P rating documents. SGT-A65 is Siemens' commercial designation for the same equipment. Phased construction: GT1–GT8 (64 MW each) commissioned June 2012; GT9–GT10 (66 MW each) commissioned May 2018. Total capacity 8×64 + 2×66 = 644 MW. Ownership transitions are well documented: Hess/ArcLight (2012–2014) → ArcLight 100% (2014–2015) → Macquarie (2015–2018) → Morgan Stanley/MSIP (2018–2026) → Jupiter Energy Investor (pending Q3 2026 closing). The 2018 Macquarie-to-MSIP transaction consideration ($900 million cash + assumed debt, ~$649 million net proceeds) is sale financing, not project construction financing. Bayonne Energy Center III (50 MWAC/200 MWh battery project) is a separate asset under development; it is not a thermal repowering or retirement event. The March 2026 $146 million KeyBanc financing supports BEC III, not the gas plant. No thermal retirement, fuel conversion, or whole-asset repowering has been publicly announced or documented. Operating status confirmed as of March 2026 with generation through that date; facility remains operational as of the announced July 2026 sale. Siemens Financial Services is documented as a lender (largest lender) under the 2014 and 2015 financing structures but is listed as equipment_supplier and lender here to capture both roles. The announced Jupiter Energy Investor sale was pending closing as of 2026-07-25; ownership should not be treated as transferred until closing confirmation.
- Open question: [object Object]
- Open question: [object Object]
- Open question: [object Object]

---

Canonical page: https://askthegrid.com/nyiso/assets/plant/bayonne-energy-center

Source: Ask the Grid — https://askthegrid.com/