A lithium-ion battery storage project that stirred controversy among a community in North County is no longer moving forward.

The Seguro Project was first introduced in 2023, but many neighbors opposed it due to growing fire hazard concerns.

“Elated and very relieved,” Phyllis Laderman said.

Laderman is among dozens of neighbors in the Eden Valley Community overjoyed with the withdrawal of the Seguro project.

“It could not be better. It’s been years that we had to live with that threat…we can breathe,” another neighbor said.

Applied Energy Services, also known as AES, shared the update on its website stating:

“While AES is no longer moving forward with the proposed Seguro project as we prioritize other projects amid challenging market conditions, we remain committed to advancing projects that can provide the safe, reliable, and affordable power needed to strengthen the region’s electric grid and generate meaningful economic benefits locally. We thank our local and regional stakeholders who have supported this project and look forward to continued opportunities to partner to drive San Diego County and California’s energy leadership.”

The company said the project aimed to provide stored renewable energy to San Diego’s power grid, but it faced pushback from community members after neighbors learned the facility would use lithium-ion batteries in metal storage containers.

“These facilities have a tendency to catch fire and it’s not like a wildfire, these are chemical fires,” Laderman said.

She said the proposed site would have been just feet from her backyard.

“I have a horse in the backyard. His barn, his stall, would have been probably about 50 feet from the nearest battery so if there’d been any fire, his whole stable would have gone up,” Laderman said.

JP Theberge with the Elfin Forest Harmony Grove Town Council said Palomar Hospital rejected the request from the developer to build an easement through their property that would have fed into the nearby SDG&E substation.

“They were concerned that their quality of life was going to be ruined and put at risk,” Theberge said.

Joe Rowley used to oversee development projects like this one for a large energy company.

“Battery storage projects contain large quantities of toxic flammable material and that’s something you have to take into account when you’re looking at the adjacent land uses,” Rowley said.

When he learned about the Seguro Project, he did technical analysis and met with various parties of interest, including the City of Escondido, Palomar Health, and fire officials about potential risks.

“I think it’s just too bad for the developer to come to that same conclusion,” Rowley who is also an engineer said.

Theberge said two neighbors moved away due to the proposed project even though it was not a done deal, but those who stayed gathered to celebrate what they say is a huge win.

“It just shows you what you can do…It just shows you …the old American way,” Laderman said.