NRG Update on Ivanpah Solar Power Plant

At its inception more than 15 years ago, the iconic Ivanpah Solar Power Plant was envisioned as a facility that would bring advanced technology to help drive the transition to low-cost renewable energy sources. The U.S. Department of Energy (DOE) and Ivanpah’s investors joined forces to bring the world’s largest concentrating solar power (CSP) project to life in California’s Mojave Desert.

Ivanpah is a 386-megawatt solar concentrating thermal power plant consisting of three individual units. It demonstrated that CSP technology was a viable and innovative renewable energy source, selling about two-thirds of the power it generates to the Pacific Gas and Electric Company (PG&E), and the rest to Southern California Edison (SCE), under purchase power agreements (PPAs) through 2039.

Ivanpah proved to be a successful demonstration of CSP technology, however it has been surpassed by solar photovoltaics (PV) due to much lower capital and operating costs in producing clean energy.

In accordance with regulatory requirements, in 2023 PG&E sought proposals for restructuring or terminating its renewable PPAs to reduce the cost to its customers. On January 14, 2025, Ivanpah’s owners and the DOE finalized negotiations with PG&E to terminate their two long-term purchase power agreements, allowing the DOE to maximize the recovery of its loans and provide savings for California ratepayers. Unit 2, contracted to SCE, is not covered under this agreement.

Regulatory approvals before the California Public Utility Commission (CPUC) and at the federal level are underway. When a final order is received, Ivanpah will begin the process of closing its units in early 2026 after more than 10 years of providing renewable energy to two of California’s largest utilities.

Once deactivated the units will be decommissioned, providing an opportunity for the site to potentially be repurposed for renewable PV energy production.