AES Andes, a subsidiary of the US multinational corporation AES Corporation, has recently completed the largest battery storage project in Latin America. Located in the Antofagasta region of Chile, the project boasts an impressive output of 112MW and incorporates 560MWh of energy storage capacity through the use of five-hour duration lithium batteries. Additionally, the project is co-located with 180MW of solar photovoltaic (PV) capacity.
Construction on the project began in October 2020, with the battery technology being provided by Fluence, a leading energy storage technology company. AES Corporation and engineering solutions company Siemens are among the major shareholders of Fluence. The completion of this project marks a significant milestone for AES Andes and supports their goal of relieving congestion problems in transmission lines and maximizing the use of renewable energy sources.
AES Andes has also announced plans to complete another solar-plus-storage project, Andes Solar IV, in the same region of Antofagasta. This project, which is currently 80% completed and expected to be finished next year, will feature a 147MW output lithium-ion battery storage system with a five-hour duration (735MWh) and 238MW of solar PV capacity.
The use of batteries in these projects is seen as a key solution to mitigate congestion issues in transmission lines and enable the efficient use of renewable energy. AES Andes has several similar projects in execution, reflecting a commitment to further growth in this area.
Chile has witnessed a significant increase in energy storage activity, particularly in the Atacama desert region, known for its high levels of solar irradiation. Following the passage of a major energy storage bill in October of the previous year, the Chilean government aims to add multi-gigawatt large-scale storage by 2026-208, with an investment of up to US$2 billion.
AES Andes is not the only company contributing to this renewable energy storage boom in Chile. Enel Green Power, a renewable energy company, is constructing a wind farm with a 34MW battery energy storage system. Utility company Colbún has inaugurated an 800MW energy storage project in Atacama, featuring a 32MWh capacity. Additionally, Fotowatio Renewable Ventures and oEnergy have made progress with two photovoltaic co-located battery storage projects in the Atacama desert, including an eight-hour lithium-ion system.
The completion of the largest battery storage project in Latin America by AES Andes demonstrates the growing focus on energy storage initiatives in Chile and the region as a whole. These projects not only support the integration of renewable energy but also address transmission line congestion issues, leading to a more efficient and reliable energy grid.
