AES Corporation announced this week that it has canceled its proposed Jewelflower Battery Energy Storage System on a 128-acre site of prime farmland in North Coyote Valley near Morgan Hill. The 350-megawatt project would have placed hundreds of containerized lithium-ion battery units across roughly 40 acres of actively farmed land on San Jose’s southern edge.
The company cited a review of project economics, infrastructure needs, market conditions, community input, and long-term priorities. No permit application had been filed. Local opposition had grown steadily, with the Santa Clara Valley Open Space Authority voting unanimously in May against the plan. Authority leaders pointed to more than $160 million already invested by voters and agencies to protect wildlife corridors, groundwater recharge, climate resilience, and sustainable agriculture in the Coyote Valley Conservation Program area.
Parents at the nearby Charter School of Morgan Hill, state legislators including Senator Dave Cortese and Assemblymembers Ash Kalra and Gail Pellerin, and a petition that collected more than 2,200 signatures had also raised concerns about placing industrial-scale batteries so close to a school and inside a conserved landscape. A previous battery project known as Hummingbird had already been successfully moved to an industrial site behind the Open Space Authority’s San Jose headquarters, showing that better locations exist.
The cancellation keeps Coyote Valley’s open fields and hills available for the wildlife movement, farming, and public access that make the area a vital buffer and natural asset for San Jose and the South Bay. AES continues to pursue battery storage elsewhere in California, while this decision reinforces that energy infrastructure and protected landscapes can both advance when projects are sited with care.
Source: San Jose Inside

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