The answer to the question, "how much energy will it store," is that the question has no answer. The flywheel won't store the energy like a battery. According to the Beacon Power website, the flywheel will be used for "frequency regulation."
The Stephentown plant is the first of its kind in the world. Its flywheel systems will provide frequency regulation services to help stabilize and enhance the performance of the New York power grid and enable greater use of renewable energy sources like wind and solar. The flywheel plant's emissions-free operation will also significantly reduce CO2 levels compared to fossil fuel-based regulation methods used today. At 20 MW, the facility will provide approximately 10% of New York's total frequency regulation capacity on a typical day. As more intermittent renewable energy resources are added to the grid, the regulation market is expected to grow.
The $43 million loan is funded by the U.S. Treasury's Federal Financing Bank, and covers 62.5% of the plant's estimated $69 million cost.
http://phx.corporate-ir.net/phoenix.zhtml?c=123367&p=irol-newsArticle&ID=1457909&highlight=What in the world is frequency regulation good for?
Flywheel Energy Storage and Frequency RegulationFrequency regulation is an essential grid service that is performed by maintaining a tight balance between electricity supply and demand. Beacon's 20 MW plant has been designed to provide frequency regulation services by absorbing electricity from the grid when there is too much, and storing it as kinetic energy in a matrix of flywheel systems. When there is not enough power to meet demand and frequency falls below desired limits, the flywheels inject energy back into the grid, thus helping to maintain proper electricity frequency (60 cycles/second).
http://phx.corporate-ir.net/phoenix.zhtml?c=123367&p=irol-newsArticle&ID=1457909&highlight= Well that still didn't explain it well enough for me. So, back to Beacon Power's website:
Frequency RegulationTo ensure a functional and reliable grid, the Independent System Operators (ISOs) that operate the various regional grids must maintain their electric frequency very close to 60 hertz (Hz), or cycles per second (50 Hz in Europe and elsewhere). When the supply of electricity exactly matches the demand (or "load"), grid frequency is held at a stable level. Grid operators, therefore, seek to continuously balance electricity supply with load to maintain the proper frequency. They do this by directing about one percent of total generation capacity to increase or decrease its power output in response to frequency deviations.
What is frequency regulation?
Not all generators can operate reliably in such a variable way. Changing power output causes greater wear and tear on equipment, and fossil generators that perform frequency regulation incur higher operating costs due to increased fuel consumption and maintenance costs. They also suffer a significant loss in "heat rate" efficiency and produce greater quantities of CO2 and other unwanted emissions when throttling up and down to perform frequency regulation services.
http://www.beaconpower.com/solutions/frequency-regulation.asp There's a video at that link that seems to explain it quite well.