MOSS LANDING, Calif (KION) PG&E and Tesla have started construction on a lithium-ion battery storage system at PG&E's electric substation in Moss Landing, according to the utility.
PG&E expects construction to continue into early 2021, and it plans to have the system energized in early 2021 and fully operational soon after.
Crews will install 256 Tesla Megapack battery units on 33 concrete labs, and each unit includes batteries and power conversion equipment. It is expected to be able to store and dispatch up to 730 megawatt hours of energy to the electrical grid at a maximum rate of 182.5 MW for up to four hours during periods of high demand, according to PG&E.
When it is operational, PG&E said the system will be one of the largest utility-owned, lithium-ion battery energy storage systems in the world.
“Battery energy storage plays an integral role in enhancing overall electric grid efficiency and reliability, integrating renewable resources while reducing reliance on fossil fuel generation. It can serve as an alternative to more expensive, traditional wires solutions, resulting in lower overall costs for our customers,” said Fong Wan, senior vice president of Energy Policy and Procurement for PG&E. “The scale, purpose and flexibility of the Moss Landing Megapack system make it a landmark in the development and deployment of utility-scale batteries.”
PG&E expects that the system will save more than $100 million in 20 years.
The Monterey County Planning Commission approved the project in February. The project did not qualify for an exemption under the California Environmental Quality Act because an Initial Study/Mitigated Negative Declaration found potential impacts to air quality, cultural resources, geology/soils, greenhouse gas emissions, hazard/hazardous materials, hydrology and water quality, land use/planning, transportation/traffic and tribal cultural resources.
The planning commission said the potential impacts were found to bee less than significant or less than significant with mitigation measures, so it said mitigations have been incorporated to reduce potential impacts to a level of insignificance.