AGENDA NO: 8a
MEETING DATE: February 25, 2025
www.morrobayca.gov | (805) 772-6261 | www.facebook.com/CityofMorroBay Memorandum
DATE: February 25, 2025
TO: Honorable Mayor and City Council
FROM: Airlin Singewald, Community Development Director
SUBJECT: BESS Urgency Ordinance Extension (Agenda Item 8.a) – Supplemental Information
Dear Honorable Mayor and City Council,
During the January 28, 2025 City Council agenda item on an urgency ordinance prohibiting applications for grid-scale battery energy storage system (BESS) facilities, Councilmembers asked staff for case studies of other jurisdictions with BESS urgency ordinances and whether they intend to a) permanently prohibit BESS facilities; or b) allow for BESS facilities subject to new land use regulations. Councilmembers also asked questions about the State’s AB 205 opt-in certification program, since an urgency ordinance would not preclude a jurisdiction from pursuing State approval under AB 205.
The purpose of this memo is to provide the Council with supplemental information responding to these questions.
Urgency Ordinance Case Studies
Staff’s initial research has identified four jurisdictions (see Table below) that have enacted urgency ordinances prohibiting BESS facilities. All four urgency ordinances are recent (initiated in the past year) and have not yet expired. Battery storage is a new, rapidly deploying technology, and the vast majority of jurisdictions don’t have land use regulations on the books to address the unique health and safety impacts that could result from BESS projects (if not properly regulated).
This explains the recent movement of jurisdictions enacting urgency ordinances until they figure out their long-term measures for regulating BESS projects.
Of the jurisdictions considered in this case study, Solano County and the City of Vacaville adopted the earliest urgency ordinances, in January and March of 2024, respectively. Vacaville is located in Solano County, which experienced a surge of BESS proposals through the State’s CEC process.
Solano County and Vacaville are developing permanent ordinances that would allow for BESS facilities subject to appropriate standards to protect health and safety. Solano County is further along in the ordinance development process. The City of San Juan Capistrano adopted an urgency BESS Urgency Ordinance – Supplemental Memo
February 25, 2025
www.morrobayca.gov | (805) 772-6261 | www.facebook.com/CityofMorroBay ordinance in April 2024 and is still determining if they will permanently prohibit or allow for BESS projects with new regulations. Orange County adopted an urgency ordinance on January 28, 2025 (same day as Morro Bay’s), following the Moss Landing battery plant fire.
Jurisdiction Adoption Date Length Permanent
Ordinance
County of Solano January 23, 2024 2 years Regulations
Orange County January 28, 2025 45 days (may be
extended)
Regulations
City of Vacaville* March 12, 2024 2 years Unknown
City of San Juan
Capistrano
April 2, 2024 1 year (1 year extension
scheduled in April 2025)
Unknown
*Hired consultant to study safety impacts and possible regulations San Diego County
In September 2024, the San Diego County Board of Supervisors declined to adopt a BESS urgency ordinance. Instead of adopting an urgency ordinance, the Board of Supervisors directed County staff to work on a permanent ordinance to address health and safety concerns associated with BESS facilities. The County hired a consultant to prepare policy recommendations for BESS projects. The County’s consultant released the following report in November 2024.
Draft_County_of_San_Diego_BESS_Best_Practices_Guide.pdf AB 205 Opt-in Certification Program
To help the Council consider different options for a permanent ordinance, staff is providing the following information regarding the Opt-in Certification Program. It’s valuable context for the Council to understand the current landscape of BESS applications at the State level. • AB 205 was enacted in 2022 to expand the CEC’s opt-in certification program to include battery storage facilities with a capacity of 200 MW or more. • From application acceptance date, the CEC has 270 days to complete CEQA and render a decision. The CCC would then have 90 days to approve or deny a CDP. • There is currently a total of 8 energy projects under review in the opt-in certification program (Table below).
• Of these 8 applications, 7 include a BESS. Vistra has not applied to the CEC. • To date (since 2022 when opt-in opened to BESS projects), no BESS projects have been approved at the State level and only one application (Darden Clean Energy) has been accepted as complete for processing.
BESS Urgency Ordinance – Supplemental Memo
February 25, 2025
www.morrobayca.gov | (805) 772-6261 | www.facebook.com/CityofMorroBay Project Name Type Capacity Location CEC Status
Compass Energy
Storage LLC
BESS 250 MW San Juan
Capistrano
Under Review
Corby Energy BESS 300 MW Solano County Under Review
Potentia-Viridi BESS 400 MW Alameda County Under Review Viracocha Hill BESS 91 MW Alameda County Under Review
Perkins Renewable
Energy Project*
BESS + Wind 1,150 MW Imperial County Under Review
Soda Mountain Solar* BESS + PV 300 MW San Bernadino
County
Under Review
Darden Clean Energy BESS + PV 1,150 MW Fresno County Accepted *Located on BLM land