The DEBA Program announces up to $150 million in grant funds is available for the purchase and installation of efficiency upgrades and capacity additions to existing bulk grid power generators in California that serve as emergency supply for the state’s grid during extreme events (as defined in Public Resources Code [PRC] section 25790.5[b]).
Grant funding under this solicitation is intended to accelerate project timelines and help fill gaps in the market that are preventing implementation of eligible projects.
Projects for zero- or low-emission technologies (including, but not limited to, fuel cells or energy storage) at existing facilities may be awarded up to 70% of the total eligible project costs. Other projects may be awarded up to 50% of the total eligible project costs. Up to $37.5 million of this amount is available only to projects located in local publicly owned electric utility service territories.
Match Funding
Applicants for projects for zero- or low-emission technologies must include at least a 30% match of the total project cost net of applicable tax credits. Applicants for other projects must include at least a 50% match of the total project cost net of applicable tax credits.
Eligible Applicants and Projects
This solicitation is open to all public and private entities. Applicants must intend to own or operate the eligible project.
Eligible bulk grid projects must increase the nameplate capacity of an existing power generator or the power output of an existing facility that is interconnected in California to the bulk transmission grid. Examples of eligible bulk grid asset project types include:
1) Efficiency upgrades at existing power generators, such as:
- Catalysts.
- Inlet gas compressors.
- Inlet air chillers.
- Intercoolers.
- Gas path upgrades.
- Waste heat to power installations integrated into the facility.
2) Energy storage, fuel cells, or linear generators sited at existing power generators.
Eligible projects cannot extend the estimated useful life of the power generator in contravention of the state’s climate and air quality requirements, such as “The 100 Percent Clean Energy Act of 2018”
(SB 100, De León, Chapter 312, Statutes of 2018).
Unallowable Costs
The following are examples of unallowable costs under an agreement resulting from this solicitation:
- Discounted or Refunded Equipment Costs
- Photovoltaic Panels and Wind Turbine Costs
- Permitting Costs
This list is not comprehensive and additional items of cost may be unallowable in accordance with the agreement terms and conditions.
Application Deadline
The deadline to submit applications is Tuesday, February 20, 2024, 11:59 p.m.
Background
Assembly Bill (AB) 205 (Ting, Chapter 61, Statutes of 2022) created the Strategic Reliability Reserve to support the state’s electric grid reliability during extreme events. As part of the Strategic Reliability Reserve, the DEBA Program provides incentives for constructing cleaner and more efficient distributed energy assets. These distributed energy assets will serve as on-call emergency supply or load reduction for the state’s electrical grid during extreme events, such as heat waves. The DEBA Program also supports efficiency upgrades and capacity additions to existing bulk grid power generators in California that will support the state’s electrical grid during extreme events.
For more information about the DEBA Program, visit the program webpage: https://www.energy.ca.gov/programs-and-topics/programs/distributed-electricity-backup-assets-program
There will be a Pre-Application Workshop on December 18, 2023 at 10 AM. Participation in this meeting is optional, but encouraged. The Pre-Application Workshop will be held remotely through Zoom - link is below.
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