Spanish green energy producer Grenergy has commenced the construction of an unprecedented energy storage facility in the heart of Chile’s Atacama Desert.
Spanish green energy producer Grenergy has commenced the construction of an unprecedented energy storage facility in the heart of Chile’s Atacama Desert. The ambitious project, named Oasis de Atacama, is set to be the world’s largest energy storage facility, boasting an impressive capacity of 4.1 gigawatt-hours (GWh), according to an announcement from the company.
Grenergy Renovables, recognized for its design, development, and implementation of large-scale renewable energy facilities, recently unveiled its comprehensive development plan during its inaugural Capital Markets Day.
As part of this plan, the company has committed to a substantial investment of EUR 2.6 billion by the year 2026. Notably, EUR 1.5 billion of this investment will be allocated to photovoltaics, while EUR 800 million will be dedicated to battery energy storage.
The strategic focus of Grenergy involves achieving 5 gigawatts (GW) in solar power capacity and an impressive 4.2 GWh in energy storage by 2026. The company emphasized the significance of Chile as a pivotal hub for its energy storage development endeavors, citing the extraordinary conditions of the Atacama Desert that make it an ideal location for harnessing solar energy.
The Oasis de Atacama project, valued at USD 1.4 billion, will unfold in five phases, incorporating a colossal 1 GW solar power plant alongside the monumental 4.1 GWh energy storage facility.
Grenergy anticipates completing the system within a three-year timeframe, with operational deployment occurring in stages. The phased approach is expected to contribute significantly to grid stability and the overarching goal of economic decarbonization, the company asserted.
David Ruiz de Andrés, CEO of Grenergy, highlighted Chile’s prominence in the energy storage sector, referring to it as a “superpower” due to the exceptional solar radiation conditions in the Atacama Desert. The company has underscored the pivotal role of Oasis de Atacama in advancing the renewables sector and expressed confidence in the project’s success.
Grenergy disclosed that it has secured a 15-year power purchase agreement (PPA) for over 8 terawatt-hours (TWh) with EMOAC, a Chilean company and subsidiary of COPEC, the country’s primary fuel distributor.
“Oasis de Atacama will be an iconic project for Grenergy and the entire renewables sector. We have the backing of five international banks mandated to finance it, the secured sale with a PPA signed with EMOAC, and the know-how and talent needed to get it off the ground,” remarked Ruiz de Andrés.
As the global community intensifies efforts to transition to clean energy sources, Grenergy’s ambitious project marks a significant stride towards achieving sustainable and scalable energy storage solutions, setting new benchmarks for the industry on a global scale.