Offtaker discusses NextEra’s eight-hour lithium-ion California BESS project

LinkedIn
Twitter
Reddit
Facebook
Email

NextEra’s eight-hour energy storage project in California will use lithium-ion technology, but ‘battery chemistry did not play a major role in project evaluation’, offtaker Clean Power Alliance told Energy-Storage.news.

CPA, a community choice aggregator (CCA), last week secured a long-term power purchase agreement (PPA) with NextEra Energy Resources for the offtake of Desert Sands Energy Storage facility in Riverside County, as reported here yesterday.

The deal is part of CPA’s requirements under the California Public Utilities Commission’s Mid-Term Reliability order for load-bearing utilities to procure additional resources by 2026. It is the third eight-hour lithium-ion project to be procured by CCAs as part of those procurements (the first and second were announced in January and March respectively last year).

Responding to Energy-Storage.news’ request for comment after our story was published, CPA confirmed the project’s choice of lithium-ion technology and that it would be a 75MW/600MWh system. It has not yet been decided whether it will use LFP or NMC battery cells, however.

This article requires Premium SubscriptionBasic (FREE) Subscription

Try Premium for just $1

  • Full premium access for the first month at only $1
  • Converts to an annual rate after 30 days unless cancelled
  • Cancel anytime during the trial period

Premium Benefits

  • Expert industry analysis and interviews
  • Digital access to PV Tech Power journal
  • Exclusive event discounts

Or get the full Premium subscription right away

Or continue reading this article for free

They said that construction on the project is expected to start by 1 December 2025, in time for a June 2026 commercial operation date (COD).

When asked whether other battery chemistries were considered and why lithium-ion was ultimately chosen, the spokesperson said: “The Long-Duration Storage category in the 2022 Midterm Reliability RFO was technology agnostic.”

“Projects were evaluated based on a combination of quantitative and qualitative criteria. Quantitative criteria focus on project performance and economics, while qualitative criteria focus on factors related to environmental stewardship, workforce development, development risk, project location, and impact on Disadvantaged Communities.

“Additionally, commitment to CPA’s Supply Chain Code of Conduct was an important qualitative consideration. Battery chemistry did not play a major role in project evaluation.”

The spokesperson did not comment on Energy-Storage.news‘ suggestion that the long timeframe to construction – more than 2.5 years – will potentially allow for cost reductions for lithium-ion batteries. After a decade of such price falls the price increased in the past two years due to lithium carbonate price spikes.

Haresh Kamath from the Electric Power Research Institute (EPRI), a utility-owned research organisation, previously told Energy-Storage.news he expected lithium-ion to become cost-competitive at 24 hours’ duration by the end of the decade.

20 April 2027
Renaissance Dallas at Plano Legacy West Hotel, Dallas, Texas, Dallas
Policy, Procurement and Power Demand: Defining the Next Chapter for Energy Storage. Two days in Dallas where developers, IPPs, investors, utilities and the manufacturers building the technology come to close deals, not swap business cards. If you need to be in the room with the people deploying capital into US storage, this is that room.

Read Next

October 22, 2026
In recent North American sodium-ion news, Hithium is entering the Canadian market with two BESS solutions, while Peak Energy has closed a Series B financing round led by GM.
October 22, 2026
Science safety leader UL Solutions has announced a new certification pathway intended to help manufacturers of modular direct current (DC) battery energy storage systems (BESS).
October 21, 2026
Distributed energy storage company Viridi and developer and financier Good Carbon Co. have announced the deployment of a 3.75MWh energy storage project in Buffalo, New York.
October 20, 2026
Zinc hybrid cathode battery and storage system maker Eos Energy Enterprises has reported its highest quarterly revenue to date alongside a narrowing gross margin loss.
October 20, 2026
US utility Dominion Energy plans to build 3.5GW of battery energy storage systems (BESS) over the next 20 years according to its recently filed integrated resource plan (IRP).