California community choice aggregator Monterey Bay Community Power (MBCP) is looking to acquire 10 megawatts to 100 MW of front of the meter battery storage capacity and discharged energy over a two-hour to eight-hour period.
MBCP noted in a Sept. 13 request for offers that the storage capacity and discharged energy is being sought in order to satisfy a projected long-term need for capacity and energy delivery beginning in 2021.
“Purchases made by MBCP pursuant to a Power Purchase Agreement (PPA) entered into as a result of this RFO would be for the benefit of MBCP and its customers,” the CCA noted
“Offers proposed will be evaluated for their ability to meet MBCP’s capacity and energy delivery portfolio targets in accordance with the terms of this RFO at the lowest reasonable cost, considering, without limitation, reliability, risk mitigation, and other relevant factors,” the CCA said in the RFO.
MBCP said that sellers can submit one or more offers and should indicate to which of the following options each offer is applicable:
- Option 1: MBCP purchases Resource Adequacy (RA) capacity only. Pricing structure should be in $ per kw-month, reflecting the value that the proposer will derive from the energy arbitrage;
- Option 2: MBCP purchases the exclusive right to charge and discharge the battery as it sees fit, retaining all energy revenues earned along with the purchase of RA capacity. Pricing structure should be in $ per kw-month;
- Option 3: MBCP purchases RA capacity, and the seller will optimize the charging and discharging of the battery but will split all energy revenues received on a 50/50 ratio. Pricing structure should be in $ per kw-month for the RA capacity plus the terms and conditions associated with the revenue sharing component.
Responses to the RFO, which is available here, are due Oct. 11, 2019.
MBCP began serving 270,000 customers in March 2018 and was formed to provide locally controlled, carbon-free electricity to residents and businesses in Monterey, San Benito, and Santa Cruz Counties through the community choice energy model.
MBCP will begin serving customers in the cities of Morro Bay and San Luis Obispo in 2020. Pending necessary approvals, MBCP anticipates expanding the program to include the Cities of Del Rey Oaks (Monterey County), Arroyo Grande, Grover Beach, Paso Robles and Pismo Beach (SLO County), Carpinteria, Goleta, Solvang, Guadalupe and Santa Maria, and Santa Barbara County in 2021.
All anticipated expansions are subject to necessary approvals of the potential member agency and the MBCP Policy Board.
Other CCAs also pursuing storage
Other CCAs in California are also pursuing storage projects.
The board of directors of California-based East Bay Community Energy, a community choice aggregator, on July 17 approved three agreements for 112 megawatts of power from a new solar facility, along with 7.5 MW of battery energy storage, to be built in Kern and Alameda Counties, Calif.
The projects build upon 213.5 MW of new renewable energy projects and 50 MW of energy storage approved by the EBCE board through four contracts in June.
San Jose Clean Energy and EDP Renewables North America in August signed a 20-year power purchase agreement for 100 megawatts of new solar energy and 10 MW of battery storage from the Sonrisa Solar Park in Fresno County, California.
Association offers new CCA program membership category
The American Public Power Association has initiated a new category of membership for community choice aggregation programs.
