Clearway Energy Group announced it has closed more than $700 million in construction financing and has begun construction on two major energy projects in Fresno and San Bernardino counties, California. Luna Valley is a 200 MW solar project in Fresno County. Daggett Storage is a 113.5 MW standalone battery energy storage project 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 important steps forward on California’s path to a reliable, affordable and clean electric grid,” said Brooks Friedeman, VP of Capital Markets at Clearway. “We are grateful to our financial partners, customers and local communities for their continued support of these investments.”
San Diego Gas & Electric (SDG&E) has contracted equal amounts of solar and energy storage for each of the Luna Valley and Daggett Storage 1 projects under 15-year agreements to achieve a virtually coupled hybrid contract. Luna Valley’s remaining solar capacity is contracted under 20-year agreements with Southern California Edison and Power & Water Resources Pooling Authority.
Clearway has put together a banking consortium consisting of Nord/LB, Societe Generale, KeyBanc Capital Markets Inc., DNB and ANZ to provide construction financing for the two projects.
Construction is led by Blattner. Once completed, Luna Valley Solar will generate enough reliable electricity to power more than 80,000 homes annually. The intention is that both projects will be commercially operational in 2025.
News item from Clearway Energy Group
