Loudoun eyed for $750M battery energy storage facility

Omaha-based energy company Tenaska seeks approval to build a $750 million, 425-megawatt battery energy storage project in Loudoun County.

On April 17, an affiliate of Tenaska filed applications for a special exception and a commission permit to build the facility, which would be located on nearly 93 acres off Gulick Mill Road southeast of Leesburg. The filings will kick off a months-long process that will include staff analysis and public hearings before the Loudoun County Planning Commission and Board of Supervisors.

The project is expected to reach the planning commission in November, with a final decision supervisors potentially coming in March 2027.

If approved, construction would likely begin in 2028, with the facility expected to become operational by 2030.

Tenaska spokesperson Jamie Wagner said the proposal, known as the Spoonbill battery energy storage project, will bring tax revenue and jobs to the community and enhance grid reliability.

Spoonbill will be able to store 425 MW of energy while using less than half of the 93-acre project site, according to the filings. Tenaska has the site under contract to purchase, and Wagner said the land has been secured “through voluntary agreements.”

The property currently includes six single-family homes and is designated for low-density residential use under the county’s comprehensive plan.

Still, Tenaska says in its application that the site is well-suited for energy infrastructure because of its proximity to an existing high-voltage transmission line about 400 feet away. The county’s long-range plan generally encourages locating such facilities near existing grid infrastructure, while also discouraging their placement in residential areas.

“Tenaska is having promising discussions with potential customers, which typically range from utilities to corporate buyers and data centers,” Wagner said in an email.

Fluvanna County supervisors approved a natural gas power plant proposal by Tenaska in March, even though community members spoke out against it and the county’s planning commission recommended denial. The Virginia State Corporation Commission and the Virginia Department of Environmental Quality also must approve the project, which would power about 1.5 million homes, for it to move forward.

Loudoun, home to about 200 active data centers and more than 100 in the pipeline, eliminated by-right data center zoning in 2025 for future projects, and county staff are addressing energy use by data centers. Environmental groups like the Sierra Club have voiced support for battery storage to keep data centers running during grid outages, as opposed to diesel generators, which have raised concerns about air and noise pollution.