Chile opens land bidding for 13GWh of storage projects in Northern regions

May 21, 2024
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The Chilean Ministry of Energy has opened a public land bidding auction seeking 13GWh of standalone energy storage projects.

In coordination with the Ministry of National Assets, the programme aims to allocate energy storage capacity across four regions – Arica and Parinacota, Tarapaca, Antofagasta and Atacama.

During president Gabriel Boric’s administration, the country has awarded 32 licenses to renewable projects, which are expected to add 6.5GW of capacity, said the minister of National Assets, Marcela Sandoval.

“We hope to achieve an equally successful situation in the case of this application to promote energy storage in our country,” said Sandoval.

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The bidding opened on 13 May is applications are only open until Thursday 23 May, in two days’ time.

Presented in November, the ‘Promotion Plan for the Development of Storage Systems’ aims to allocate publicly owned land for projects starting operations in 2026. Projects must be operational by 30 June 2027, while the land license will last up to 40 years.

Developers will be able to apply for the direct allocation of land for storage projects in areas defined in partnership with the Coordinador Eléctrico Naciona (CEN), an independent body which helps to coordinate the electricity system in Chile.

Standalone projects have started to emerge more, as is the example of this programme, with developers and independent power producers adding capacity as Chile decommissions its remaining coal capacity. Last month, utility Engie announced it was to build a 116MW/660MWh battery energy system storage at the former site of a coal plant it operated in the northern region of Antofagasta.

Moreover, energy storage is being added to existing solar PV projects to reduce high levels of solar curtailment and negative pricing.

For more information regarding the process and how to participate, you can access Chile’s Ministry of Energy page here (in Spanish).

Energy-Storage.news’ publisher Solar Media will host the 3rd annual Energy Storage Summit Latin America in Santiago, Chile, 15-16 October 2024. This year’s events bring together Latin America’s leading investors, policymakers, developers, utilities, network operators, EPCs and more all in one place to discuss the landscape of energy storage in the region. Visit the official site for more info.

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