Energy Storage

Offtake Agreement Announced for 1,000-MWh Storage Project in California

Arevon Energy, a Scottsdale, Arizona-based renewable energy developer, owner, and operator, announced it has signed a long-term tolling agreement with electricity provider MCE for 188 MW of the Cormorant Energy Storage Project in Daly City, California.

Cormorant Energy Storage is a 250-MW/1,000-MWh standalone battery energy storage system that will be built in two phases. The first 188-MW phase is scheduled to begin construction in the first quarter of 2025, with commercial operation expected in the second quarter of 2026.

Cormorant Energy Storage will feature state-of-the-art battery technology that will store energy during non-peak hours and discharge energy to provide power when it is needed during peak demand periods. The project once complete will facilitate the addition of more renewable energy resources into the region, which is south of San Francisco.

Construction Jobs

In addition to enhancing grid reliability and reducing the potential for blackouts, Cormorant Energy Storage is expected to support approximately 75 union construction jobs. The project is estimated to provide more than $27 million in property tax payments over its lifespan, which will support city and county government activities as well as the local school district.

Cormorant Energy Storage is a 250-MW/1,000 MWh standalone battery energy storage system located near Daly City, California, south of San Francisco. The project will be constructed in two phases. The first 188-MW phase is scheduled to begin construction in 1Q2025, and expected to be operational in 2Q2026. Source: Arevon Energy

“This agreement showcases the strength of collaboration with MCE and also supports Arevon and MCE’s joint commitment to bring clean, reliable energy to local communities,” said Kevin Smith, Arevon’s CEO. “Arevon will continue to expand its energy storage portfolio in order to improve grid stability and resiliency in California, enabling the state to further its decarbonization goals.”

This agreement is the first commercial contract for Arevon and MCE. MCE is a community choice energy provider that supplies clean electricity and local clean energy programs to 1.5 million residents and businesses across Contra Costa, Marin, Napa, and Solano counties in California.

“Battery storage is critical to fast-tracking the clean energy transition. Through our partnership with Arevon, we are bringing online our largest battery storage project yet to support clean, reliable, and affordable electricity service for the Bay Area residents and businesses we serve,” said Dawn Weisz, CEO of MCE.

POWER edited this content, which was contributed by Arevon’s public relations agency.

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