December 3, 2024

Streamlined Permitting is Critical for California’s Renewable Energy Future

By Bob Marra

NextEra Energy's Desert Peak Energy Center near Palm Springs

According to some members of the California Assembly, the state’s ambitious goal of achieving net-zero carbon emissions by 2045 faces a formidable barrier: outdated permitting processes that delay the construction of renewable energy infrastructure.

The Assembly Select Committee on Permitting Reform, chaired by Assemblymember Buffy Wicks (D-Oakland), convened a public hearing and renewable energy facility tour in Greater Palm Springs to address these challenges head-on. Featuring in-depth discussions with legislators, energy experts, and industry leaders, the event underscored the urgent need for permitting reform to accelerate the clean energy transition.

Select Committees are small bodies created within the State Assembly that provide legislators with a platform to solicit testimony and generate policy recommendations focused on a specific topic. In this case, the Select Committee was created to “give the Assembly a meaningful opportunity” to convene interested stakeholders and the public to understand how the permitting processes can better serve California’s climate and housing goals.

Assemblymember Buffy Wicks, District 14

The Assembly Select Committee on Permitting Reform held its first hearing on June 18, 2024, commencing its efforts to address California’s climate and housing crises by reforming its land use permitting regime. According to Assemblymember Wicks, infrastructure and housing projects “often face years of review, at multiple levels of government, in arcane and oblique processes.” Wicks stated that the Select Committee was formed to “systematically examine existing permitting processes and seek out meaningful solutions.” The Select Committee has held a series of hearings this year and plans to release a white paper in early 2025 that will include findings and recommendations for subsequent legislative action.

The Case for Permitting Reform

During the Palm Desert hearing, Assemblymember Wicks and other speakers highlighted the obstacles posed by California’s outdated permitting system. “California cannot achieve its clean energy targets with the status quo. Outdated permitting processes are stalling the very projects we need to meet our climate goals,” Wicks stated.

The hearing revealed a range of barriers, including lengthy approval timelines, overlapping regulatory requirements, and moratoriums on battery energy storage systems (BESS) in several jurisdictions. According to industry advocates and some elected officials, these delays hinder progress in the sector and risk deterring investment in clean energy infrastructure.

Scott Murtishaw, Executive Director of the California Energy Storage Alliance, warned of the consequences. “The proliferation of moratoriums threatens our ability to deploy enough energy storage to continue progress on our greenhouse gas reduction goals while maintaining reliable service,” he said.

The Select Committee on Permitting Reform is working to address these challenges by advocating for streamlined processes and reliable timelines. The goal is to create a system that balances community input with the need for expedited project approvals.

Before the hearing, a tour of a major battery storage project, the Desert Peak Energy Center in Palm Springs, highlighted battery storage’s critical role in stabilizing the grid, particularly as California expands its reliance on solar and wind energy.

Desert Peak Energy Center: A Milestone in Energy Storage

Officials gather at Desert Peak Energy Center near Palm Springs

The Desert Peak Energy Center is a state-of-the-art facility that has redefined battery energy storage in the U.S. Developed by NextEra Energy Resources, this massive installation spans 78 acres near Palm Springs. It is among the largest battery storage sites globally. With a total capacity of 700 megawatts (MW), the center can power approximately 140,000 homes.

The project was completed in two phases. The first phase, which became operational in 2023, added 300 MW of capacity. The second phase, finalized in 2024, added another 400 MW. This vast storage capability allows Desert Peak to capture renewable energy during periods of low demand and discharge it during peak hours, addressing the challenge of intermittent energy production from solar and wind sources.

Each of the center’s 728 battery containers is equipped with advanced cooling systems, ensuring optimal performance and longevity. Additionally, the facility features an on-site substation, inverters, and a supervisory control and data acquisition (SCADA) system, enabling efficient energy management and distribution. A 230-kilovolt (kV) overhead generation tie line connects the facility to the Southern California Edison Devers substation, facilitating seamless integration with the broader grid.

Pedro Villegas, Executive Director of Regulatory and Political Affairs for NextEra Energy Resources, emphasized the facility’s importance. “The Desert Peak Energy Center is not just a milestone for our company but for California’s clean energy future. It demonstrates what is possible when innovation meets commitment,” he said during the tour.

Battery Storage Facilities Embraced in Greater Palm Springs

Complementing Desert Peak’s achievements, a new battery storage facility operating near Palm Springs International Airport represents another critical component of the region’s renewable energy infrastructure. While smaller in scale, the facility is vital for addressing localized grid stability issues.

The facility, owned and operated by Hecate Grid based in Chicago, has a compact footprint and houses 13 battery units, each approximately the size of a shipping container. With a combined capacity of 20 MW, these batteries are designed to store surplus energy generated during the day and discharge it during peak demand periods. This flexibility is crucial for maintaining grid reliability as the region experiences increasing energy demands driven by population growth and the electrification of transportation and buildings.

The city of Palm Springs anticipates additional battery storage projects in the coming years, reflecting the broader trend of battery expansion across California. The Imperial Irrigation District, which serves the eastern portion of Greater Palm Springs, has also embraced this technology, with four battery storage systems currently operational and 26 more in development.

The Broader Role of Battery Storage in California

California leads the nation in battery storage deployment, with more than 9,325 MW of capacity operational as of mid-2024. However, the state’s renewable energy ambitions require a dramatic scale-up to reach the 50 GW target by 2045. This expansion is essential for integrating intermittent renewable energy sources into the grid, ensuring a steady power supply during peak demand periods.

Battery storage is particularly crucial for addressing the “duck curve” problem, where solar energy production declines in the late afternoon just as demand peaks. Facilities like Desert Peak and the storage installation in Palm Springs near the airport are designed to bridge this gap, enhancing grid stability and reducing the risk of blackouts.

Safety and Environmental Justice Concerns

Despite the benefits, large-scale battery storage projects face scrutiny over safety and environmental impacts. Incidents like the 2023 fire at an Escondido battery storage facility have heightened public concerns. However, advancements in technology have significantly improved safety standards. Experts note that failures of grid-scale batteries have decreased by 97% since 2018, thanks to modern safety features.

The issue of environmental justice also loomed large during the hearing. Critics argue that industrial projects often disproportionately impact disadvantaged communities. Advocacy groups emphasized the importance of equitable access to clean energy benefits and ensuring community voices are integral to the development process.

Pedro Villegas of NextEra Energy acknowledged these challenges. “It’s crucial to ensure equitable access to the benefits of clean energy while respecting community needs,” he said.

Local Economic Benefits

Beyond environmental gains, battery storage projects benefit local communities significantly economically. The Desert Peak Energy Center is expected to generate $50 million in additional revenue for Riverside County over its first 20 years. These funds can support infrastructure improvements, public services, and community programs.

Additionally, the project created hundreds of construction jobs, many of which were filled by unionized workers. The International Brotherhood of Electrical Workers (IBEW) Local 440 played a key role, with over 135 members contributing to the facility’s construction.

A Call to Action

The Greater Palm Springs tour and Select Committee hearing in Palm Desert underscored a clear message: permitting reform is essential for California to achieve its clean energy goals. By modernizing its regulatory framework, the state can remove unnecessary roadblocks, attract investment, and accelerate the deployment of renewable energy solutions.

Assemblymember Wicks summed up the stakes. “The message today was clear: permitting reform is essential to delivering the clean energy infrastructure Californians need and deserve. We cannot afford to let unnecessary delays stand in the way of a sustainable future. The time to act is now.”

 

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