Clearway Secures Financing and Begins Construction on California Solar and Battery Projects

Clearway Energy Group announced today that it has secured over $700 million in construction financing and has commenced work on two significant energy projects located in Fresno and San Bernardino counties, California. The two projects mark a major step forward in California’s transition towards a more reliable, affordable, and clean electric grid.

The Luna Valley project is a 200 MW solar facility situated in Fresno County. Meanwhile, the Daggett Storage project, located in San Bernardino County, is a 113.5 MW standalone battery energy storage system. Daggett Storage represents the final phase of the 482 MW Daggett Solar + 394 MW Storage complex, one of the largest solar and battery storage developments in the region.

“Luna Valley and Daggett 1 represent two major steps forward in California’s path to a reliable, affordable, and clean electric grid,” stated Brooks Friedeman, VP of Capital Markets at Clearway. “We are grateful to our financial partners, customers, and local communities for their continued support for these investments.”

Clearway has partnered with San Diego Gas & Electric (SDG&E) to provide equal amounts of solar power and energy storage from the Luna Valley and Daggett Storage projects. The projects are underpinned by 15-year agreements with SDG&E, designed to achieve a virtually paired hybrid contract. In addition, Luna Valley’s remaining solar capacity is contracted under 20-year agreements with Southern California Edison and the Power & Water Resources Pooling Authority.

To facilitate the financing for these initiatives, Clearway assembled a consortium of banks, including Nord/LB, Societe Generale, KeyBanc Capital Markets Inc., DNB, and ANZ. This financial backing underscores the strong institutional confidence in the viability and impact of these projects.

In recent years, Clearway has emerged as a leading force in transforming California’s clean energy landscape, with over 2,300 MW of solar plus storage projects either under construction or operational in the state within the past five years.

The construction of both projects is being managed by Blattner Energy. Upon completion, Luna Valley Solar is expected to generate enough electricity to power over 80,000 homes annually. Both the Luna Valley and Daggett projects are slated to achieve commercial operations by 2025, further solidifying Clearway’s role in advancing renewable energy infrastructure in California.