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Morro Bay asks Vistra to transfer former power plant property to City

By Sophia Villalba Apr 16, 2025 | 2:06 PM

Vistra recently withdrew its application from the City of Morro Bay for a proposed battery energy storage system (BESS) facility, but KSBY wanted to know more about a request the City had made to Vistra prior to that decision being finalized.

The letter informing the City of Vistra’s withdrawal also stated it was denying the Citys request for the company to donate the property, stating, We respectfully decline your offer to gift the City of Morro Bay our private property.

After City officials would not respond to community reporter Sophia Villalba’s requests for information about their desire to acquire the property, Sophia submitted a public records request and received the letter this week.

Dated March 12, Mayor Carla Wixom told Vistra: We would like to explore the possibility of Vistra transferring ownership of properties to the city.

The letter went on to mention four reasons why doing so would benefit Vistra, including:

Helping reinforce Vistras reputation within the community Demonstrating corporate leadership and community partnership Avoiding years of legal, environmental, and political challenges

The City did not state what it planned to do if given the property.

If constructed, the BESS facility could have powered 450,000 homes in Californias power grid.

The 107-acre property is located near the Embarcadero

Vistra did not state whether it would still seek state approval for its application, only saying it would inform the City and community when any new updates happen.