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What’s Next for Battery Storage in Monterey County?

Power station in Monterey County California
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The battery fire at Moss Landing in January made headlines and raised many questions regarding the history and future of battery storage in Monterey County and the State of California.

Following the January 2025 battery storage fire at the Moss Landing power plant, lawmakers, regulatory agencies, and citizens have been actively addressing the aftermath and the future of battery energy storage systems (BESS).

Why was a Battery Energy Storage Facility Built at the Moss Landing Power Plant?

In an effort to reduce emissions, California has a mandate to achieve 100 percent clean energy by the year 2045. This includes renewable energy sources, such as solar and wind power. Battery storage, while not renewable, is carbon neutral and has been key energy source to meet the state’s energy demand.

The Moss Landing power plant was constructed on a 137.5-acre parcel in 1949 and began operating in 1950. At its inception, the power plant had the capacity to generate 2,060 megawatts (MW) of power. Replacing the well-established energy utility infrastructure with a BESS presented a land use that was compatible with the existing facility situated in an industrial area. Simply put, the Vistra BESS was located at the Moss Landing power plant primarily because the site has long been approved for and used as an energy utility site. The Vistra BESS comprises a 300 MW transmission-connected, standalone lithium-ion BESS with four hours of storage and a 20-year life span.

What Land Use Permits are Required for a Battery Energy Storage System in Monterey County?

Monterey County code generally allows “public” or “quasi public” uses such as public utilities facilities in many zoning districts, subject to a use permit – a discretionary land use permit subject to discretion in the approval process and California Environmental Quality Act (CEQA) review. Like many land uses, BESSs are not explicitly listed in the zoning code as an allowable use, so the County must use judgment in determining whether they fit into other listed categories.

The Moss Landing power plant is located within a heavy industrial – Coastal Zone (HI–CZ) district. In this zoning district, a use permit is not necessarily required for the establishment of an energy facility within an existing energy facility. Uses accessory to established industrial uses can be allowed “by right,” or without a permit. However, this project required a Combined Development Permit because it required a Coastal Development Permit (the equivalent of a use permit in the Coastal Zone) in order to amend the approved Moss Landing Power Plant Master Plan as well as a Coastal Administrative Permit for development within 750 feet of a known archaeological site. These permits are decided by the Planning Commission and, because of the Coastal Zone location, appealable to the Coastal Commission.

Simply put, the Vistra BESS was

located at the Moss Landing

power plant primarily because the

site has long been approved for

and used as an energy utility site.

What Type of Environmental Review was Done for the Moss Landing Power Plant Project?

A mitigated negative declaration/initial study (MND/IS) was prepared and adopted for this project. This involved the checklist and corresponding analysis of 20 different issues, including hazardous materials. The document was circulated for public review, impacts were identified, and mitigation measures were required.

Impacts related to hazardous materials were discussed, and one of the questions was whether the project would create a significant hazard to the public or the environment through reasonably foreseeable upset and accident conditions involving the release of hazardous materials into the environment. It was discussed that hazardous materials would be utilized and stored during construction and operation. However, as with many industrial projects, appropriate management of hazardous materials was required, and it is presumed that such management should reduce potential impacts.

The CEQA review also indicated that there would be no adverse impacts associated with the provision of public services, such as acceptable service ratios, response times or other performance objectives for any of the public services, such as fire.

What is Being Done to Clean Up?

There are several agencies involved in the cleanup effort, as well as Vistra. U.S. Environmental Protection Agency (EPA), at the request of the State of California, is overseeing the battery removal and disposal and activities within the fence line of the facility, while the Monterey County Environmental Health Bureau (EHB) is overseeing environmental testing and monitoring outside of the facility fence line. EHB is also the County agency that oversees hazardous materials management. Both the EPA and EHB are coordinating their efforts with the State of California Environmental Protection Agency (CalEPA).

What is Being Proposed to Increase Safety?

AB 303: BATTERY ENERGY SAFETY & ACCOUNTABILITY ACT (ASSEMBLYMEMBER DAWN ADDIS)

Proposes to address safety concerns for new facilities, would establish local control, exclude energy storage facilities from the CEC’s Opt-In Certification Program, establish location restrictions for new facilities, and disallow construction of new facilities in high fire and high flood zones or within 3,200 feet of environmentally sensitive sites, such as homes, schools, hospitals, and prime agricultural land. Currently pending consideration by the Assembly Utilities and Energy, Natural Resources, and Local Government Committees.

ASSEMBLY BILL AB 434 (ASSEMBLYMEMBER CARL DEMAIO)

Proposes to exclude energy storage facilities from the CEC’s Opt-In Certification Program, prohibit a public agency from authorizing the construction of new energy storage facilities until January 1, 2028, require the State Fire Marshal to adopt guidelines and minimum standards for the construction of energy storage facilities by January 1, 2028, and, beginning January 1, 2028, require new facilities to meet the standards adopted by the State Fire Marshal or more stringent local guidelines. Currently pending consideration by the Assembly Utilities and Energy Committee.

SENATE BILL SB 283 (SENATOR JOHN LAIRD)

Proposes to require new energy storage facilities to meet the National Fire Protection Association (NFPA) 855 standards for battery storage safety and hazard mitigation and require project review of the proposed facility, risks, and emergency plans with local fire authorities. As of the date of this article, SB 283 has passed in the State Senate, is being considered in the Assembly, and has been heard by the Utilities and Energy, Local Government, and Appropriations committees.

Trinh Retterer assists clients with the land use permit process in various localities in California. JRG Attorneys at Law's land use department provides permit assistance and legal advice in a number of land use areas.

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