Vistra seeks state approval, bypassing Morro Bay City Council

November 5, 2024

By KAREN VELIE

With many Morro Bay residents and some public officials opposed to a proposed battery storage facility near the coastline, Vistra Energy has decided to seek state approval while bypassing the city’s consideration.

Vistra, a Texas-based energy company, has plans to construct and operate a 600-megawatt battery storage facility on approximately 24 acres of a roughly 70-acre site. However, residents concerned the facility will endanger the public while negatively impacting tourism and the fishing industry pushed a local ballot initiative that could stop Morro Bay from permitting the project.

AB 205 allows battery storage facilities to garner approval through the California Energy Commission and override local governments. So, even if the local measure succeeds, the company could move forward with state approval.

On Oct. 28, Vistra asked the city to pause its municipal consideration while the company seeks approval from the state through the opt-in certification process.

However AB 205, the new legislation which allows applicants to skip local approvals, requires approvals from both the California Energy Commission and the Coastal Commission. So, even if the California Energy Commission green-lights the project, it would still need approval from the California Coastal Commission, which has criticized the project.

In regards to constructing the proposed battery storage facility near the ocean in Morro Bay, the Coastal Commission found “significant development constraints,” including issues with habitat that supports special status species, the degradation of habitats, and the need for a prohibited sea wall.

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