Chile’s Largest Energy Storage Project Dune Plus Breaks Ground with Sungrow as EPC and System Supplier

Project Overview: 2GWh+ Storage System Leading Chile’s Energy Transition

In November 2025, Generadora Metropolitana, a joint venture between AME and EDF Power Solutions Chile, officially announced the commencement of construction on the Dune Plus energy storage project in María Elena, Antofagasta Region, Chile. With a total investment of US$629 million, the project will add 509MW/2,036MWh of storage capacity, making it one of Chile’s largest energy storage projects.

The Dune Plus project consists of two distinct yet interconnected components:

  • Dune BESS Storage System: With a capacity of 333MW/1,334MWh and 4-hour duration, operating as a standalone storage system in coordination with the existing CEME1 photovoltaic plant
  • La Pampina Hybrid Facility: Combining a 186MW solar PV plant with a 175MW/702MWh battery system, also featuring 4-hour duration

Sungrow’s Deep Involvement: From EPC to Long-term O&M

According to exclusive information revealed by ESS News, Chinese energy storage system supplier Sungrow is not only the project’s EPC contractor but will also provide battery energy storage systems and a long-term service agreement (LTSA). The project will deploy 406 container storage units, expected to use Sungrow’s PowerTitan BESS system, likely the liquid-cooled variant. This choice is no coincidence—Sungrow has extensive experience in Chile’s large-scale storage projects, having already signed contracts for over 8GWh of BESS in the country.

Notably, Sungrow’s PowerTitan liquid-cooling system and control technology also played a crucial role in another significant Chilean storage project—the 800MWh BESS del Desierto project—further demonstrating the company’s technical prowess and market position in Latin America’s energy storage sector.

Serving Clean Energy Needs of Chile’s Largest Copper Miner Codelco

The Dune Plus project will supply 1TWh of renewable energy annually to Codelco, the world’s largest copper producer, through a 15-year Power Purchase Agreement (PPA). This partnership holds strategic significance for both parties:

For Codelco, this collaboration directly supports its ambitious decarbonization goals. As Chile’s largest state-owned enterprise and biggest electricity consumer, Codelco has committed to sourcing 85% of its energy from renewable resources by 2026, reaching 100% by 2030, and achieving net-zero emissions by 2050. The company plans to reduce greenhouse gas emissions by 70% through implementing a 100% clean energy matrix.

Synergies with CEME1 Solar Plant

A key highlight of the Dune Plus project is its deep integration with the CEME1 solar plant. CEME1 is currently Chile’s largest solar plant with 480MW installed capacity, which began commercial operation in 2024. The plant features 882,000 high-tech solar panels covering 435 hectares, with annual generation capacity sufficient to power 500,000 households.

Based on preliminary estimates, CEME1 generates approximately 1,450GWh annually, while the Codelco supply contract is for 1TWh/year, meaning about 450GWh of surplus energy can be stored. The project will construct a 33kV electrical room to interconnect the new storage infrastructure with CEME1 plant, enabling integrated operation. This “solar-plus-storage” model not only improves renewable energy utilization but also effectively alleviates the growing curtailment issues in northern Chile.

Strong Support from International Financial Institutions

The project secured non-recourse project financing from international financial institutions, with a lending consortium including BNP Paribas, Crédit Agricole CIB, MUFG Bank, Société Générale, and Sumitomo Mitsui Banking Corporation. Additionally, Banco de Crédito e Inversiones (BCI) provided a VAT credit facility. This robust international financial backing reflects global investor confidence in Chile’s renewable energy and storage markets.

Driving Rapid Growth in Chile’s Storage Market

The launch of Dune Plus marks a new development phase for Chile’s energy storage market. According to Wood Mackenzie’s analysis, solar-plus-storage projects in Brazil and Chile are growing rapidly due to increasing curtailment and transmission issues. In 2024, Chile’s solar and wind curtailment reached a record 6TWh, more than double the previous year.

Chile currently curtails nearly 3TWh of electricity annually, with approximately 1.4TWh from solar generation. Large-scale deployment of storage systems is expected to significantly improve this situation, enhancing renewable energy utilization efficiency.

Technical Details and Construction Scale

The entire project will deploy 406 battery containers, over 297,000 solar panels, and more than 150 transformers across 186 hectares. Such large-scale construction requires strong technical capabilities and project management expertise, key reasons why Sungrow secured the EPC contract.

Industry Significance and Outlook

Generadora Metropolitana CEO Diego Hollweck stated, “Dune Plus marks a milestone for Generadora Metropolitana. Its international financial backing will allow us to consolidate our growth, storage capacity, and leadership in Chile’s energy transition.”

AME President Cesar Norton emphasized, “Dune Plus proves Chile’s capability to execute complex, innovative projects that enhance energy security and competitiveness.”

EDF Power Solutions Chile CEO Joan Leal added that the project reflects EDF’s industrial expertise and commitment to supporting strategic clients like Codelco in their decarbonization strategies.

Conclusion

The groundbreaking of Dune Plus is not only a major milestone for Chile’s energy storage industry but also provides important lessons for global energy transition. By deeply integrating large-scale storage systems with existing solar plants, ensuring project economics through long-term PPAs, and securing strong support from international financial institutions, this project demonstrates a viable pathway for developing countries to advance clean energy transition.

As the project progresses, it is expected to bring more stable clean power supply to northern Chile, support sustainable mining development, and contribute significantly to decarbonizing the global copper supply chain. Meanwhile, the deep involvement of Chinese storage company Sungrow highlights the crucial role of Chinese clean energy technology in global energy transition.

Key Project Data:

  • Total Investment: US$629 million
  • Total Storage Capacity: 509MW/2,036MWh
  • Annual Energy Supply: 1TWh
  • Contract Duration: 15 years
  • Battery Containers: 406 units
  • Solar Panels: Over 297,000
  • Site Area: 186 hectares
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