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Construction begins on $600-million Nighthawk Energy storage project in California

Design and Construction Report staff writer

Construction is underway on the 300-megawatt/1,200-megawatt-hour Nighthawk Energy Storage Project north of San Diego, a major new battery storage facility being developed by renewable energy company Arevon Energy.

The $600 million project, owned and operated by Arevon, is expected to generate over $30 million in payments to local governments over its lifespan, including approximately $12 million to the City of Poway.

Electrical contractor Rosendin, based in California, is leading construction on the site. At peak activity, more than 130 workers will be employed.

The Nighthawk project is part of a broader effort by the California Public Utilities Commission (CPUC) to increase grid reliability through new energy resources. Arevon secured a long-term agreement in 2021 to provide energy and resource adequacy to Pacific Gas and Electric (PG&E), with the system interconnecting at the Sycamore Canyon Substation on Marine Corps Air Station Miramar, serving the greater San Diego area.

The battery energy storage system uses Tesla Megapack technology, which Arevon says incorporates additional safety features.

In addition to the infrastructure investment, Arevon has committed to a range of community initiatives in Poway, including a $2 million community fund and support for local organizations such as the Rancho Family YMCA. The company also joined the Poway Chamber of Commerce as part of its local engagement strategy.

“Our philosophy is to go in, Day One, with our community relations team and look at how we can help the community,” said Arevon CEO Kevin Smith in a recent interview. “At some point, we’ll hit a bump along the road and will need some help from community leaders. If we haven’t been a participant, it’s too late.”

The Nighthawk project follows the recent completion of Arevon’s 200MW/400MWh Peregrine Energy Storage Project in San Diego, which came online in July. That project received $258 million in financing earlier this year and was marked by a ribbon-cutting ceremony attended by San Diego Mayor Todd Gloria.

In early July, Arevon closed a $600 million credit facility to support its growing U.S. solar and storage portfolio.

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