Energy Vault Starts Construction on Largest Green Hydrogen Storage in US

Energy Vault Holdings, Inc (NYSE: NRGV), a trailblazer in sustainable grid-scale energy storage solutions, has officially commenced the construction of its groundbreaking utility-scale green hydrogen plus battery ultra-long duration energy storage system (BH-ESS). This project, featuring 293 megawatt-hours (MWh) of dispatchable carbon-free energy, signifies a significant leap towards advancing resilient and eco-friendly energy solutions.

The BH-ESS construction is underway for Pacific Gas and Electric Company (PG&E) on a compact parcel of land in Calistoga, Northern California. Anticipated to conclude by the end of Q2 2024, this BH-ESS, named the Calistoga Resiliency Center, is poised to become the largest utility-scale green hydrogen energy storage initiative in the United States. The battery component of the system will play a crucial role in supporting grid forming and black start capabilities.

The primary objective of the Calistoga Resiliency Center is to provide uninterrupted power supply to downtown Calistoga and its surrounding areas for up to 48 hours during potential Public Safety Power Shutoffs (PSPS). PSPS events are implemented as a precautionary measure, turning off powerlines in areas facing heightened wildfire risks. PG&E's proposal for this innovative system received approval from the California Public Utilities Commission (CPUC) in April 2023.

Energy Vault's BH-ESS replaces conventional mobile diesel generators that were previously utilized to power PG&E's Calistoga microgrid during PSPS events. This marks a significant advancement in community-scale microgrid development, aligning with the CPUC's vision of cleaner microgrid generation.

The BH-ESS project exemplifies the synergy between multiple technologies and a customer-centric approach in designing energy storage solutions. As a result, the City of Calistoga and PG&E have emerged as exemplary partners in this innovative venture. Mike Delaney, Vice President of Utility Partnerships and Innovation at PG&E, emphasized the importance of deploying cost-effective, next-generation energy supply and storage technologies to ensure grid reliability and achieve the company's net-zero energy system goal by 2040.

Energy Vault will take ownership of the energy storage system's operation and maintenance, providing dispatchable power through a long-term tolling agreement with PG&E. The company will leverage its advanced VaultOS™ Energy Management System to control, manage, and optimize BH-ESS operations. Developed as part of Energy Vault's H-VAULT™ suite of hybrid configurations, which combines green hydrogen and batteries, this system ensures continuity and resilience during PSPS events.

The H-VAULT™ suite integrates ultra-long duration capabilities of fuel cells using green hydrogen and the rapid response capabilities of B-VAULT™ lithium-ion batteries. This combination ensures clean, reliable, and cost-effective backup power during transmission outages, a critical factor for islanded microgrids during PSPS events. Under a 10.5-year agreement, Energy Vault will provide "Distributed Generation-Enabled Microgrid Services," enabling the islanding of the Calistoga microgrid during PSPS outages. This solution is designed to operate seamlessly, serving critical facilities such as fire and police stations, as well as shared services in downtown Calistoga and the surrounding area.