Argentina launches 500 MW storage auction
From pv magazine Latam
The Argentine Energy Secretariat, which is part of the Ministry of Economy, has launched an international call for proposals seeking to add 500 MW of battery energy storage system (BESS) capacity in critical nodes in the so-called Metropolitan Area of Buenos Aires (AMBA), with an estimated investment of $500 million and an execution period of between 12 and 18 months.
The equipment must provide energy for at least four consecutive hours per full discharge cycle.
In a statement, the Argentinean authorities said that this is an initiative “unprecedented in the country but already applied worldwide,” with the aim of “guaranteeing a more reliable and efficient electricity supply, especially during peak demand.”
It is also stated that the new infrastructure is “the beginning of a series of measures aimed at guaranteeing the provision of energy in the country, starting with the AMBA”, and that “provincial jurisdictions are invited to analyze this modality and replicate similar actions in their territories.”
The Energy Secretariat also said the country's electricity system faces serious challenges in terms of infrastructure and response capacity, as a result of decades of disinvestment and decapitalization. “This tender marks a paradigm shift, prioritizing private investment and technological innovation to solve structural problems,” it added.
Wholesale electricity market management company Cammesa will act as guarantor of the storage contracts that will be made with distributors Edenor and Edesur. It will also set the date for the presentation of the offers.
The latest date for the commercial authorization of all the equipment is set for Dec. 31, 2028.
The offers must be backed by a so-called bank guarantee defined at $10,000/MW based on the maximum offered storage power.
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