California utility signs PPA with NextEra for eight-hour energy storage project

LinkedIn
Twitter
Reddit
Facebook
Email

After this article was published, Energy-Storage.news received additional details on the project from Clean Power Alliance, including the fact it will use lithium-ion technology. See the follow-up piece here.

California utility Clean Power Alliance has inked a 15-year PPA with NextEra Energy Resources for an eight-hour duration energy storage project.

This article requires Premium SubscriptionBasic (FREE) Subscription

Enjoy 12 months of exclusive analysis

  • Regular insight and analysis of the industry’s biggest developments
  • In-depth interviews with the industry’s leading figures
  • Annual digital subscription to the PV Tech Power journal
  • Discounts on Solar Media’s portfolio of events, in-person and virtual

Or continue reading this article for free

Clean Power Alliance (CPA) announced the long-term power purchase agreement (PPA) with energy giant NextEra Energy’s clean power arm last week (7 April). The PPA secures the offtake from NextEra’s 75MW, long-duration Desert Sands Energy Storage facility in Riverside County, California, starting in June 2026.

A media statement said that the agreement marks CPA’s “…first executed contract incorporating eight-hour storage capabilities. CPA’s many other battery storage projects incorporate four-hour battery technologies. Compared to a four-hour battery of the same size, an eight-hour battery can discharge twice as much energy.”

It did not reveal the technology used or energy storage capacity but the stated duration and power would make it a 600MWh system. The California ISO’s (CAISO) Resource Adequacy programme, through which utilities secure capacity from generating units, only requires a four-hour duration for energy storage.

Energy-Storage.news has asked CPA for more details and will update this article in due course.

CPA is one of California’s many CCAs, smaller community-owned utilities which provide local communities an alternative to the state’s big three investor-owned utilities PG&E, SDG&E and SCE. This is its fourth battery energy storage system (BESS) PPA deal.

It was in the headlines late last year when its third, a 100MW/400MWh project, Luna came online after a ‘landmark’ debt finance deal was secured.

The PPA deals are being struck after the California Public Utilities Commission (CPUC) ordered load-serving entities to procure new resources between 2023 and 2026, to address so-called mid-term reliability concerns. As part of its share, CPA needs to procure some 59MW of long-duration energy storage which this PPA satisfies entirely.

Read Next

Premium
June 11, 2025
A fire protection and emergency services provider in California, US, has introduced a mandatory risk mitigation payment system for solar PV and energy storage developers.
June 5, 2025
According to the American Clean Power Association’s (ACP’s) Q1 2025 market report, US clean power deployment totalled 7.4GW.
Premium
June 5, 2025
The California Energy Commission (CEC) held a public information meeting for Engie’s Compass project that drew huge interest.
Premium
June 3, 2025
California CCA SDCP has amended the terms of two power purchase agreements relating to the two largest solar-plus-storage projects in its portfolio.
June 2, 2025
The California Public Utilities Commission (CPUC) has launched a US$280 million initiative to help low-income residents of the state install battery storage and solar panel systems.

Most Popular

Email Newsletter