Clearway Closes Financing, Starts Construction on CA Solar+Storage

Clearway Energy Group has closed on $700 million in construction financing and begun construction on two projects in Fresno and San Bernardino counties, Calif. 

Luna Valley is a 200 MW solar project in Fresno County. Daggett Storage is a 113.5 MW standalone battery energy storage system (BESS) in San Bernardino County and is the final phase of the 482 MW Daggett Solar + 394 MW Storage complex.

“Luna Valley and Daggett 1 represent two major steps forward in California’s path to a reliable, affordable and clean electric grid,” says Brooks Friedeman, VP of capital markets at Clearway. “We are grateful to our financial partners, customers and local communities for their continued support for these investments.”

San Diego Gas & Electric contracted equal amounts of solar power and energy storage from each of the Luna Valley and Daggett Storage 1 projects under 15-year PPAs. Luna Valley’s remaining solar capacity is contracted under 20-year agreements with Southern California Edison and Power & Water Resources Pooling Authority.

Clearway assembled a bank consortium consisting of Nord/LB, Societe Generale, KeyBanc Capital Markets, DNB and ANZ to provide construction financing for the two projects.

Construction is being led by Blattner. Both projects are scheduled to reach commercial operations next year.