Tesla locks in 90% of Arizona solar farm's output

Tesla has a long-term power purchase agreement covering about 90 percent of the expected annual output from a large solar and battery project under construction in Arizona, Electrek reports.

ContourGlobal broke ground Oct. 6 on Project Sterling in Mohave County, roughly 20 miles north of Lake Havasu City. The site spans over 2,000 acres in the Mojave Desert and is expected to start producing in 2028, according to Electrek.

The project

The build combines more than 760,000 solar panels with more than 300 battery storage containers. The panel array is rated at 509 MW DC, which converts to 450 MW AC for the grid. The batteries can deliver up to 360 MW and store about 1.4 GWh of electricity, enough to run at peak output for around four hours. ContourGlobal says the combination can supply clean power for up to 16 hours a day.

The storage units are LFP batteries with liquid cooling and built-in fire protection.

What Tesla gets

Once the plant is running, it is expected to produce more than 1.1 TWh of electricity a year. Tesla's agreement covers roughly 1 TWh each year plus the renewable energy certificates tied to that power, which works out to about 90 percent of the project's anticipated output, Electrek says.

Sterling is set to become ContourGlobal's biggest renewable energy asset anywhere.

There's also a California angle: the plant will tie into the Western Area Power Administration's grid and has secured transmission rights into the California Independent System Operator's market, so some of that power can head west.

Construction

About 400 workers are expected on the build through 2028. Civil works, roads and site logistics are going to local crews, including a 5.2-mile access road that connects the project to historic Route 66. The project is privately financed, with an equity bridge loan from international banks helping to fund construction, according to Electrek.

For EV owners, the number that matters isn't just the 450 MW capacity; it's the storage. Four hours at full output means this solar project can keep feeding the grid after sundown.

• Arizona
• ContourGlobal
• energy storage
• Project Sterling
• solar
• Tesla