The project is the first of its kind for the utility company.
The LAWDP and China-based BYD will develop a 5-to-10 megawatt power storage unit to be housed at the utility's wind power facility in the Tehachapi mountains.
"This agreement with BYD is much more than a piece of paper, it's an investment in creating technology that doesn't even exist today," Villaraigosa said.
The project is designed to improve LADWP's power reliability and to increase the amount of green energy being used.
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