Wells Fargo backs Quail Ranch hybrid with $150m tax equity

• Enlight’s U.S. arm Clēnera secured $150 million in tax equity from Wells Fargo for the Quail Ranch solar-plus-storage project in New Mexico.

Clēnera, the U.S. subsidiary of Israel’s Enlight Renewable Energy, has closed $150 million in tax equity financing from Wells Fargo to advance the Quail Ranch solar-plus-storage project in New Mexico. The commitment underscores deepening investor appetite for hybrid assets that can deliver clean energy when it’s most valuable—during the evening peak and grid contingencies.

Quail Ranch pairs utility-scale photovoltaics with a multi-hour battery system designed to soak up low-priced daytime generation and discharge after sunset. Beyond simple shifting, the battery will provide fast frequency response and voltage support, improving local grid stability as inverter-based resources grow. Expect a bankable configuration: high-efficiency modules on single-axis trackers, DC/AC ratios tuned for annual yield, string-level monitoring, and plant controllers aligned to Western grid codes for reactive power and fault ride-through.

Tax equity remains the keystone of U.S. renewable finance. It monetizes federal incentives and, when combined with construction debt or transferability provisions, accelerates procurement of long-lead equipment—transformers, switchgear, and protection gear—that often set project schedules. For lenders and sponsors, a marquee counterparty like Wells Fargo reduces execution risk; for offtakers, it translates into sharper pricing on long-term contracts.

New Mexico’s fundamentals are compelling: strong irradiance, transmission corridors serving load centers, and expanding demand from electrification and data infrastructure. By co-locating storage, Quail Ranch can curb curtailment on bright days, improve capture rates, and hedge price volatility across day-ahead and real-time markets.

Community and environmental measures are embedded: construction traffic and dust controls, drainage sized for monsoon events, glare assessments, and wildlife-friendly fencing. End-of-life plans outline recycling pathways for modules and batteries, increasingly important to permitting authorities and investors alike.

With tax equity secured, Clēnera can move from paperwork to procurement and staged energization—turning policy support and a strong solar resource into dispatchable clean capacity on a timeline that matches the region’s rising evening demand.