AES Clean Energy has announced the closing of the $154.2 million in non-recourse debt financing for Luna Storage, a 400 MWh standalone battery storage project in California. The project is located in the city of Lancaster in Los Angeles County in California. The fund was raised by KeyBanc Capital Markets Inc., Credit Agricole Corporate and Investment Bank, Silicon Valley Bank, and Export Development Canada. The transaction was closed by sPower, an independent power producer, which merged in January 2021 to become a part of AES Clean Energy’s business in the United States.
Luna Storage signed an energy storage agreement for a duration of 15 years with the Clean Power Alliance (CPA) in April 2020, making this the largest deal for a Community Choice Aggregation in the state. The project is expected to be commissioned towards the end of 2021. After this point, Luna Storage will help CPA and the broader state of California achieve their progressive renewable energy commitments by improving the grid reliability in the state with fossil-free resources.
AES clean energy is a subsidiary of Fortune 500 company, AES Corporation, and it aims to provide green energy solutions across the globe. In 2019, the company signed a strategic alliance with Google to accelerate the growth and adoption of clean energy using cloud technology. It has also committed to catalysing the availability of solar power by announcing a partnership with 5B in 2020.