New Leaf Energy Inc. submitted plans for a lithium battery storage facility at 90 Minto Road near Watsonville in December 2024. (Nik Altenberg — Santa Cruz Local file)

SANTA CRUZ >> Santa Cruz County supervisors are fine tuning guidelines for battery storage facilities in an effort to keep control over a proposed development near Watsonville.

New Leaf Energy Inc. submitted plans for a $200 million lithium battery storage facility at 90 Minto Road near Pinto Lake outside Watsonville in December of last year. The company could pursue state approval for the project, but a representative at Tuesday’s Board of Supervisors meeting said they would seek local approval if rules are adopted soon enough.

The county’s Board of Supervisors reviewed the draft ordinance to govern these facilities Tuesday, but sent it back to staff for revisions and is scheduled to revisit it at the board’s Jan. 13 meeting. Supervisors raised concerns about rezoning agricultural land, fire safety and plans for when the site’s batteries expire, and made several suggestions to tighten the ordinance’s specificity. 

Safety concerns have been heightened after a fire at a Moss Landing battery storage facility in January that released a cloud of toxins and heavy metals into the Central Coast.

Battery storage is a technology that “we really need to maintain control of to ensure that when it’s implemented, it’s going to be at the highest safety standards, that it’s going to meet the needs of our community and it’s going to reflect the values of our community,” said Supervisor Justin Cummings.

John Swift, a New Leaf Energy representative, said at the meeting the company had wanted to decide by the end of the year whether to seek approval from the state or the county, but that they may delay the decision if the county continues moving the ordinance forward. 

County spokesperson Jason Hoppin said the revisions won’t take much time and the county was aiming to finalize the ordinance by the end of 2026. Hoppin said many concerns raised at the meeting were specific to the Minto Road proposal and would be addressed in the project permitting process rather than with specific language in the county ordinance.

Dozens of residents spoke about the ordinance, some rejecting the ordinance and any battery storage facilities, while others said the technology was important for meeting the region’s clean energy goals. Supporters said the ordinance would be vital for maintaining local control of the development of these facilities. 

“We desperately need renewable energy storage in order to implement the Climate Action Adaptation Plan,” said Kris Damhorst, chair of the county’s Commission on the Environment.

Opponents echoed concerns for public safety arising from the Moss Landing fire, as well as issues with New Leaf Energy’s proposed development. Many wanted more details on any proposed site’s safety standards, such as the design of the facility’s entrance and access for emergency vehicles. 

“I don’t know why we’re moving so fast on this ordinance,” said Watsonville resident Diane Dutton-Jones at the meeting. “Today we’re not arguing about battery energy storage being necessary for our county, we see that, but we’re arguing about lithium. Why are they still using in the industry a toxic, flammable, battery energy technology that we know is dangerous?”

To comment on the proposed ordinance, email [email protected].

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