Pacific Gas & Electric (PG&E) says it will apply for $25 million in federal economic stimulus funds to develop a compressed air energy storage (CAES) facility.

Southern California Edison (SCE) is also seeking $25m to install what would be the largest grid-connected lithium ion battery. It intends to place an order with A123 Systems, itself a recipient of $294m in federal incentives for a new lithium ion production facility, for a battery with the capacity to store 32 megawatt hours of electricity, SCE spokeswoman Vanessa McGrady tells Recharge.

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