Calistoga Resiliency Center receives $28 million project financing

Energy Vault Holdings has secured $28 million in project financing for the Calistoga Resiliency Center (CRC) in California, according to a press release published by Energy Vault Holdings.

The financing includes the completed sale of an Investment Tax Credit (ITC) tied to the project.

This facility has been developed to support Pacific Gas and Electric Company (PG&E) through a tolling agreement.

The hybrid microgrid combines green hydrogen fuel cells with lithium-ion batteries to provide continuous energy during Public Safety Power Shutoff (PSPS) events, which are used to reduce wildfire ignition risk during extreme weather.

Energy Vault confirmed that mechanical completion has been achieved and that the system is currently in commissioning.

Full commercial operation is expected in the second quarter of 2025.

Wildfire risk drives need for grid-resilient systems in California

The CRC was designed to address wildfire-related power shutoffs, which have become more common in California due to climate-related conditions.

The system supports isolated operation during PSPS events, supplying power to the Calistoga community without emissions.

The 293 MWh facility delivers approximately 48 hours of energy supply with 8.5 MW of peak power.

When disconnected from the grid, the system uses green hydrogen for generation and battery storage for stability and response.

System integrates hydrogen and battery storage technologies

Energy Vault stated that its CRC is the first ultra-long duration hybrid microgrid combining hydrogen and battery technology for utility-scale use.

Its proprietary B-VAULT DC battery technology works alongside hydrogen fuel cells to ensure uninterrupted power and system stability.

The facility is managed by Energy Vault’s VaultOS energy management platform, which provides black-start capability and grid forming control.

This platform communicates directly with PG&E’s Distribution Control Center during operation.

Commercial operation to begin in 2025 under Energy Vault ownership model

The CRC is part of Energy Vault’s shift to owning and operating its storage assets, first detailed in May 2024.

The company aims to create recurring revenue through tolling agreements with utilities.

Robert Piconi, Energy Vault’s CEO, said: “The successful financing of the Calistoga Resiliency Center represents our team’s focus and execution in beginning 2025 by replenishing cash to our balance sheet from the prior year capex spent building the system.”

Piconi added: “As California faces increasing wildfire risks, the CRC demonstrates how advanced energy storage technology can help communities maintain critical services and safety during necessary power shutoffs.”

The company has also announced agreements to monetise tax credits and secure funding for other projects in Texas, including the Cross Trails and Customer R&D Center microgrid.

Energy Vault closes $28 million in funding for wildfire-resilient microgrid in California: Summary

Energy Vault Holdings has confirmed $28 million in financing for its Calistoga Resiliency Center, which includes the sale of an Investment Tax Credit.

The CRC is a microgrid in California that combines hydrogen fuel cells with lithium-ion batteries.

It is designed to support PG&E during Public Safety Power Shutoff events.

The system provides 293 MWh of energy and delivers 8.5 MW of peak power.

It operates without emissions and allows the Calistoga community to maintain power during wildfire-related outages.

The facility uses Energy Vault’s B-VAULT battery technology and VaultOS energy management platform.

It achieved mechanical completion and is under commissioning.

Commercial operation is planned for the second quarter of 2025.

The project aligns with California’s Renewable Portfolio Standard.

It is the first in a series of Energy Vault assets being launched under its ownership and operation model.

Additional financing and tax credit monetisation have been announced for projects in Texas.