Commodities 2024: Battery storage expected to make up 21% of U.S. capacity additions

S&P Global – December 29

U.S. battery storage capacity is poised for a record year in 2024 with Texas and California continuing to lead the country in new additions, after installations reached a new record last quarter. S&P Global Commodity Insights expects a combined 40.6 GW of capacity additions in 2024 from wind, solar, and battery, with batteries making up 8.6 GW, said Shayne Willette, S&P Global senior research analyst.

News

The solar battle continues: Opponents of California’s new rules seek a rehearing

The San Diego Union-Tribune – January 4

Two weeks after suffering a legal setback, opponents of recently adopted rules that affect rooftop solar customers across California filed a petition last Thursday asking a state appeals court to rehear their case. The legal debate centers on a controversial decision made by the California Public Utilities Commission when it passed the third iteration of Net Energy Metering rules that determine how rooftop solar customers are compensated when their systems generate more energy than they consume. Colloquially called NEM 3, the revised tariff no longer credits new customers at the retail rate of electricity when their systems generate excess energy. Instead, they get paid at the “actual avoided cost,” which is lower.

Divided Ninth Circuit panel refuses rehearing on blocked Berkeley gas ban

Courthouse News Service – January 2

A Ninth Circuit panel ruled on Tuesday that it would not reconsider a ruling that prevents the City of Berkeley from enforcing its first-in-the-nation ban on installing natural gas appliances in new buildings. The California Restaurant Association argued in its lawsuit the city's ordinance would affect chefs' ability to prepare food the way they are typically trained to do so — on natural gas stoves — and added that the Energy Policy Conservation Act preempts the San Francisco Bay Area city's ban.

NYPA explores partnering with private sector to develop, own renewables and batteries

Utility Dive – January 3

The New York Power Authority (NYPA) on Tuesday issued a request for information on the development of renewables and battery storage necessary to help meet the state’s climate goals. The RFI follows a 2023 decision by state lawmakers giving NYPA broad authority to build and own renewable energy projects. New York law requires the state to get 70% of its electricity from renewable energy sources by 2030 and achieve a zero-emission power sector by 2040.

Treasury proposes rules to qualify for IRA clean hydrogen tax credits

Solar Power World – December 26

The U.S. Department of the Treasury proposed guidance on December 22 for claiming the 45V Clean Hydrogen Production Tax Credit established within the Inflation Reduction Act. The 45V tax credit provides up to $3 per kilogram of hydrogen to projects with low lifecycle greenhouse gas emissions, and accompanies other hydrogen programs such as the Dept. of Energy’s Regional Clean Hydrogen Hubs Program, which is investing $7 billion to catalyze nearly $50 billion in hydrogen investments across seven selected hubs.

Projects

Pattern Energy secures $11B clean energy financing for SunZia project

Power Technology – December 28

Pattern Energy has secured an $11 billion non-recourse financing deal for the SunZia clean energy project, which includes SunZia Wind and SunZia Transmission. The SunZia Wind facility, with 3.5 GW of power generating capacity, is being built across Torrance, Lincoln, and San Miguel Counties in New Mexico. Once built, the project will generate enough clean energy to be delivered to about three million Americans.

Avangrid, CIP announce first power from Vineyard Wind 1

North American Windpower – January 3

Avangrid and Copenhagen Infrastructure Partners (CIP) have announced that power from Vineyard Wind was delivered to the New England grid for the first time. As part of the initial commissioning process on January 2, one turbine delivered approximately 5 MW, with additional testing expected to happen both on and offshore in the coming weeks.

$40M in financing secured for new 80 MWh Texas battery storage portfolio

Power Engineering – December 27

On.Energy, an end-to-end integrator of battery energy storage and Independent Power Producer (IPP), announced it has closed both a construction facility totaling more than $40 million and permanent debt facilities for an 80 MWh portfolio in Texas, the Palo Verde Projects, with financing provided by Live Oak Bank. The projects, set to come online in Q3 of 2024, include both greenfield development sites as well as projects acquired through mergers and acquisitions in mid-2023.