If the Los Angeles Department of Water and Power (LADWP) accepts the proposal for a solar with storage power project of 8minute Solar Energy (8minutenergy Renewables), the world may just see a record low tariff for such an arrangement with $0.01997 per kWh for solar and $0.013 per kWh for storage.
LADWP brought up the project for discussion during a June 18, 2019 meeting with the Los Angeles Board of Power and Water Commissioners.
Recently, Brazil's A-4 auction concluded in June 2019 awarded the world's lowest solar bid of BRL 64.99 ($16.9) per MWh so technically this should be the lowest but in either case, the PPA hasn't yet been formalized (see Brazil's A-4 Auction Sets Solar Tariff Record). Moreover, US PV projects are usually eligible for the attractive solar tax credit.
To LADWP, solar power project developer 8minute Solar Energy has proposed developing Eland Phase 1 and Eland Phase 2 solar projects each with 200 MW capacity along with total 800 MWh of energy storage.
Greentech Media (GTM) believes if this proposal is approved it could 'shatter US records to date, in terms of both storage capacity and low price'. Utility Dive highlighted that the price offered is even lower than $0.02376 per kWh proposed by 8minute Solar for NV Energy's 300 MW Eagle Shadow Mountain Solar Farm (see NV Energy To Build Over 1 GW Solar In Nevada).
The final proposal for the Kern County located project could be submitted latest by July 23, 2019 when the commission meets next. On getting green light, the project would need to be up and running by April 2023 under a 25-year power purchase agreement.
In September 2018, California Governor Jerry Brown signed SB 100 bill into law setting the state on path to achieve 100% clean energy by 2045 and also aim for carbon neutrality by the same year (see California Confirms 100% Clean Energy Target).
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