Global leader in clean energy storage Redflow (ASX:RFX) has been approved by the California Energy Commission (CEC) to use its Paskenta Racheria Microgrid Project.
The project is a 20MWh long-duration energy storage, plus a 5MW solar installation, which will provide power for the Paskenta Band of Nomlaki Indians, a U.S. federally recognised sovereign Native American nation, located in Northern California.
Faraday Microgrids has signed a definitive supply agreement with Redflow to purchase the required batteries and technical support for the project. Additionally, the company says it expects these project agreements to be formalised around the end of July 20233.
“The market for long-duration energy storage solutions is rapidly accelerating”
The battery supply under the agreement will begin when Faraday formalises definitive legal project agreements for the CEC funding and the use of Federal Investment Tax Credits and power offtake with the Paskenta Band of Nomlaki Indians.
Commenting on the transformative project, Redflow Chief Executive Officer (CEO) and Managing Director Tim Harris said: “The market for long-duration energy storage solutions is rapidly accelerating, and this project will firmly establish Redflow’s presence in California, which is leading the development and support of non-lithium technologies to achieve its net-zero goals.
For this project, Redflow’s battery system is designed to charge from solar and discharge throughout the remainder of the day, reducing grid demand and boosting the energy security and sovereignty of the Paskenta Racheria.”
Under the project, Redflow will be supplying and supervising installation and assisting with the commissioning and maintenance of 2,000 ZBM3 batteries in its 200 kWh modular energy pods.
The approved 20MWh system will be 1 of the ‘largest’ zinc-based battery projects in the world and will represent the company’s ‘largest’ single sale and deployment of batteries globally to date.
Redflow expects to receive US$12 million for the 20MWh, which will be paid progressively on beginning, delivery of batteries and completion milestones.
Additionally, the project is being funded by the CEC’s US$140 million long-duration energy storage grant program. If approved, Redflow will join a small number of proven non-lithium storage providers for whom the CEC is financing reference projects to support commercialisation and ‘large-scale’ validation.
Redflow is an ASX-listed company with offices in Australia and the U.S. Redflow batteries are modular, scalable, fire-safe, and capable of 100% depth of discharge.