La Plata Electric Association is one step closer to building a utility-scale battery energy storage system after the Board of County Commissioners lifted a seven-month moratorium on such facilities on Tuesday.
The newly approved land-use regulations for utility-scale battery energy storage systems – BESS – reduces several of the initial setback requirements after input from LPEA and residents.
Under the approved rules, battery storage facilities adjacent to properties with homes can now be built as close as 200 feet from the property line, down from the previously proposed 330 feet. Setbacks for vacant parcels, public rights of way and water bodies remain at 100 feet.
Additionally, reciprocal setbacks were removed from the final approved draft, meaning that only the BESS developer, not a neighboring property owner, would be limited by the code regarding the required setback.
The decision follows months of public debate about how battery storage systems should be regulated locally and what level of risk is acceptable.
“I think this is almost one of the topics – I’d have to look back a little bit – where we’ve gotten the most testimony,” Commissioner Marsha Porter-Norton said.
Battery energy storage systems function as large rechargeable batteries that store electricity generated on the grid for use during periods of high demand or low generation, and are often used as a way to increase the reliability of clean energy.
Opponents of battery storage have raised concerns about fire hazards, toxic runoff and whether local fire districts are equipped to respond to lithium-ion battery fires, particularly those involving thermal runaway – a chain reaction that can cause batteries to overheat, burn or explode.
Supporters – most prominently LPEA – have argued that modern battery technology has improved safety and that battery storage is necessary to maintain grid reliability as renewable energy sources make up a larger share of the electric system.
LPEA was awarded a $2 million grant through the Colorado Department of Local Affairs and the U.S. Department of Energy to develop a battery storage project at its Shenandoah substation southwest of Durango. LPEA has said the project would strengthen grid reliability for parts of its western service area.
The setback requirements, originally expanded out of an abundance of caution, were reduced following input from LPEA and residents on Tuesday. They still adhere to the national regulatory standards.
During the rulemaking process, LPEA and other supporters argued that larger setback requirements – including distances aligned with federal evacuation guidance – would make it difficult or impossible to site a utility-scale battery facility in the county.
“There is no viable parcel – none – that can meet this requirement while also complying with LPEA connection requirements,” said John Witchel, who spoke in a personal capacity and not on behalf of the LPEA board of directors, on which he serves.
A representative from the San Juan Citizens Alliance also spoke in support of reducing setback requirements, citing the need to balance safety concerns with the county’s clean energy and grid reliability goals.
Other community members opposed reduced setbacks, and unsuccessfully encouraged the board to approve the regulations as written.
The idea that a 330-foot setback requirement would effectively prohibit the battery systems from being installed is “smoke and mirrors” on the part of LPEA, one resident said during public comment Tuesday.
He asked commissioners to stick to the 330-foot setback rule.
Randall Stephens, whose property borders the Shenandoah substation, opposed the project and the setback reductions that would allow it to move forward. He said he would prefer commissioners delay approval of the regulations.
While Stephens did not get his desired outcome, Tuesday’s vote did not grant site approval for LPEA’s proposed facility.
Because the project would be utility-scale, it must still undergo the county’s most intensive land-use review process, which includes technical evaluation and extensive public input.
jbowman@durangoherald.com
