sPower's Solverde 1 solar farm in California. (Photo: Business Wire)
Southern California electricity provider Clean Power Alliance (CPA) has contracted the capacity of a 100-MW/400-MWh battery storage facility that sPower will build in the state.
The duo has signed a 15-year agreement last week, marking the first energy storage deal for CPA -- California's largest community choice aggregator (CCA). Under its terms, independent power producer sPower will own and operate the Luna lithium-ion battery facility in the City of Lancaster, Los Angeles County, which is slated to begin operations by August next year.
The overall investment in the project is estimated at more than USD 100 million (EUR 91.4m), CPA said in a press release.
The deal is the largest energy storage contract on the California CCA market. Its signing occurred following a competition held in response to a requirement by the California Public Utilities Commission (CPUC) for CPA to procure at least 98.4 MW of battery storage capacity by 2021.
CPA says on its website it services around three million customers across 32 communities. The power it purchases is being delivered by utility Southern California Edison (SCE).
Veselina Petrova is one of Renewables Now's most experienced green energy writers. For several years she has been keeping track of game-changing events both large and small projects and across the globe.