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San José Clean Energy and Terra-Gen Ink Two Long-term Agreements for New Renewable Energy Resources

More than 162 MW of solar plus battery storage will be added to the California grid, helping San José meet its climate goals and increasing renewable energy consumption during more hours of the day 

SAN JOSE, Calif. April 30, 2020 – San José Clean Energy (SJCE) and developer Terra-Gen have signed two long-term power purchase agreements (PPAs) that will provide San José with 162 megawatts (MW) of new renewable energy. Both projects will be built in Kern County, California with union labor.

  • 15-year PPA for 100 MW of new solar energy, expected to reach commercial operation by the end of 2022.
  • 12-year PPA for 62 MW of new renewable energy that will be provided in a unique format: guaranteed delivery of 62 MW of renewable energy between 6:00 a.m. and 10:00 p.m. every day. To meet this obligation, Terra-Gen will build more than 100 MW of new solar energy and new battery storage. This project is expected to reach commercial operation by the end of 2021.

The innovative 12-year PPA will help reduce reliance on local natural gas plants by providing renewable energy in the late afternoon and evening hours, when demand for electricity is high but renewable energy availability is low. This in turn will help decrease asthma and other respiratory issues.

“SJCE’s latest investments in renewable energy will produce enough clean electricity to power nearly 79,000 homes each year—the same impact as taking 1.3 million cars off the road,” said Mayor Sam Liccardo. “Increasing the amount of renewable energy in our power supply will bring us closer to meeting our aggressive Climate Smart San José goals—providing a livable planet for future generations.”

As the city’s Community Choice Aggregator (CCA), SJCE provides electricity generation service for more than 328,000 residential and business customers, with a high participation rate of 98.2%. SJCE’s default power mix, GreenSource, is sourced 45% from renewable energy, 6% more than PG&E’s standard mix, at rates 1% lower than PG&E.

“Firm delivery of cost-effective renewable electricity is critical as we transition to a renewable energy future,” said Lori Mitchell, Director of San José’s Community Energy Department, which operates SJCE. “Innovative projects like these save our community money and get us closer to our goal of providing more renewable energy during all hours of the day to ensure reliability.”

“Terra-Gen is pleased to collaborate with SJCE to create a more flexible and reliable grid and help them meet their customers’ request for reliable, clean, and renewable electricity,” said Jim Pagano, CEO of Terra-Gen.

“The average total cost to build and operate renewables is now typically lower than fossil fuels,” said Jeanne Solé, SJCE Deputy Director of Power Resources Management. “The competitive pricing we’ve secured for our PPAs will lower operational costs and allow us to provide cost effective electricity to our customers. During this public health crisis, where residential usage has increased, it is more important than ever to lower electricity costs for customers.”

SJCE launched service to most residents and businesses in San José in February 2019. In just over a year, SJCE has made significant investments in renewable energy to serve the community. In August, SJCE signed a long-term PPA with EDP Renewables for 100 MW of new solar energy and 10 MW of battery storage. These new agreements with Terra-Gen are an important step to meeting customer demand for renewable energy.

SJCE customers can elect to receive 100% renewable energy with SJCE’s TotalGreen service. Nearly 1,400 residential and commercial customers have chosen TotalGreen, including large customers Samsung Semiconductor, eBay, and HPE and small businesses Dogtopia, Aqua Lab Aquaria, and Schnitzer Steel Industries.

Increasing the amount of renewable and carbon-free energy powering San José is a key component of Climate Smart San José, the city’s climate action plan. A central goal of the plan is to provide San José with carbon-neutral power by 2021 and 100% renewable power by 2050.

SJCE joins East Bay Community Energy (EBCE), another local CCA, in contracting for new solar energy in Kern County with Terra-Gen. Collaborating on power purchase agreements creates planning and economic efficiencies. CCAs are driving California’s clean energy future: in total, the CCAs have plans to contract for more than 10,000 MW of new renewable resources by 2030.

 

About the City of San José

With more than one million residents, San José is one of the most diverse large cities in the United States and is Northern California’s largest city and the 10th largest city in the nation. San José’s transformation into a global innovation center has resulted in one of the largest concentrations of technology companies and expertise in the world. In 2011, the City adopted Envision San José 2040, a long-term growth plan that sets forth a vision and a comprehensive road map to guide the City’s anticipated growth through the year 2040.

 

About the Community Energy Department

San José Clean Energy is the new electricity generation service provider for residents and businesses in the City of San José, operated by the City’s Community Energy Department. Governed by the City Council, it provides over 328,000 residential and commercial electricity customers with cleaner, lower carbon power options at competitive prices, from sources like solar, wind and hydropower. For more information, please visit www.SanJoseCleanEnergy.org.

 

Follow us on FacebookTwitter and Instagram @SJCleanEnergy.

VISTRA ANNOUNCES EXPANSION OF PREVIOUSLY ANNOUNCED OAKLAND BATTERY ENERGY STORAGE FACILITY

OAKLAND, CA — April 15, 2020 — Vistra (NYSE: VST) today announced that it is increasing the size of its battery energy storage project located at the site of its Oakland Power Plant. The battery will now have a capacity of 36.25 megawatts/145 megawatt-hours instead of the previously announced capacity of 20 MW/80 MWh. Vistra anticipates the battery storage project will enter commercial operations by January 2022.

The project has received necessary approvals from East Bay Community Energy (EBCE), a Community Choice Energy provider, and from Pacific Gas and Electric (PG&E). EBCE approved an amended contract to receive the larger resource adequacy capacity from the project, while PG&E approved a new Local Area Reliability Service Agreement to ensure grid reliability as part of the Oakland Clean Energy Initiative. PG&E is awaiting approval from the California Public Utilities Commission (CPUC).

“We are excited to build on our original partnership with East Bay Community Energy and PG&E,” said Curt Morgan, president and CEO of Vistra. “We believe battery energy storage will play an increasingly key role in the reliability of the electric system, and this project represents a shining example of that view. Vistra is proud to be able to provide clean energy to the residents of Oakland while, at the same time, helping the city meet its sustainability goals.”

East Bay Community Energy CEO Nick Chaset said, “Adding an additional 16.25 MW of battery storage capacity in downtown Oakland is a win for EBCE, our customers, reliability of the electric grid, and local air quality. We’re pleased to participate in clean energy developments that help us meet our resource adequacy obligations while creating local benefits for the communities we serve.”

The battery system will be a partial replacement for the aging 165-MW jet fuel-fired plant, which is currently on a Reliability Must-Run contract with the California Independent System Operator (CAISO).

Vistra plans to eventually retire the existing units at Oakland Power Plant and develop additional energy storage projects on the site in the future.

Vistra is a market leader in utility-scale battery development: its 10-MW/42-MWh Upton 2 Battery Storage Facility came online in December 2018 and is the largest in Texas, while its 300-MW/1,200- MWh Moss Landing battery project is currently under construction in California and slated to be complete later this year. When the Moss Landing battery storage system comes online, it will be the largest battery of its kind in the world.

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About Vistra
Vistra (NYSE: VST) is a premier, integrated, Fortune 350 energy company based in Irving, Texas, providing essential resources for customers, commerce, and communities. Vistra combines an innovative, customer-centric approach to retail with safe, reliable, diverse, and efficient power generation. The company brings its products and services to market in 20 states and the District of Columbia, including six of the seven competitive markets in the U.S. and markets in Canada and Japan, as well. Serving nearly 5 million residential, commercial, and industrial retail customers with electricity and natural gas, Vistra is the largest competitive residential electricity provider in the country and offers over 40 renewable energy plans. The company is also the largest competitive power generator in the U.S. with a capacity of approximately 39,000 megawatts powered by a diverse portfolio, including natural gas, nuclear, solar, and battery energy storage facilities. In addition, the company is a large purchaser of wind power. The company is currently constructing a 300-MW/1,200- MWh battery energy storage system in Moss Landing, California, which will be the largest of its kind in the world when it comes online. Vistra is guided by four core principles: we do business the right way, we work as a team, we compete to win, and we care about our stakeholders, including our customers, our communities where we work and live, our employees, and our investors. Learn more about Vistra’s environmental, social, and governance efforts and read the company’s sustainability report at https://www.vistraenergy.com/sustainability/.

About East Bay Community Energy (EBCE)
EBCE is a not-for-profit public agency that operates a Community Choice Energy program for Alameda County and eleven incorporated cities, serving more than 550,000 residential and commercial customers throughout the county. EBCE initiated service in June 2018 and will expand to the cities of Pleasanton, Newark, and Tracy in 2021. As one of 19 community choice aggregation (CCA) programs operating in California, EBCE is part of the movement to expedite the climate action goals of their communities and those of California. EBCE is committed to providing clean power at competitive rates while reinvesting in our local communities. For more information about East Bay Community Energy, visit https://ebce.org/.

MEDIA

Meranda Cohn
Media.Relations@vistraenergy.com
214-875-8004

Dan Lieberman
dlieberman@ebce.org
925-579-1591