The Termoguajira Power Plant in the northern region of La Guajira will be among the country’s first to transition towards 100% decarbonised energy, the announcement from the Ministry of Mines and Energy said last week (1 July).
It is currently mainly powered by coal with natural gas as a second support fuel for starting up the units, but it will be transitioned to a plant using solar panels and battery-based energy storage systems.
The Ministry’s announcement did not reveal the planned capacity of the respective renewable energy plants but said that a balance was being established to “…make the most of the connection point and establish the proportion of panels and batteries necessary for the transition.”
With grid presenting the challenge that it does, large existing connections make legacy power plants ideal sites for large renewable energy and energy storage projects, as Energy-Storage.news has written extensively.
Colombia has been relatively quiet for large energy storage project announcements, similar to most of Latin America for reasons which were recently discussed in an interview with pan-American energy storage solutions firm On.Energy, which is also active in the country, the region’s fourth-largest economy.
In 2021, Energy-Storage.news reported on Colombia’s first ever battery storage tender, from the Ministry, which was won by solar PV and battery storage firm Canadian Solar. The project at a mine was said to be coming online in June 2023, although no announcement has since been made.
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The ministry’s Energy Mining Planning Unit (UPME) launched the tender earlier this year, calling for proposals for deploying grid-scale battery energy storage system (BESS) technology to help alleviate system constraints and boost reliability of the grid in Barranquilla, in the Department of Atlantico area of northern Colombia. It will also aid addition of greater shares of renewable energy onto the network.
UPME sought suppliers, construction and operations and maintenance (O&M) partners, and said designs could involve either a single system or distributed systems connected to strategically located substations. Energy-Storage.news reported in late June that of eight bid submissions considered “serious” by UPME, subsidiaries of Canadian Solar and Engie were among international players taking part, along with locally-headquartered companies.
Canadian Solar announced its award yesterday. It said the Latin American nation’s government has granted a 15-year revenue structure, indexed to Colombia’s inflation or producer price index. The project is expected to reach commercial operation by June of 2023.
“We are very proud to have won this project in the first pure storage tender in Colombia. This is also our first energy storage project in the country and the Latin America region,” Canadian Solar CEO and chairman Dr Shawn Qu said.
Canadian Solar has been angling to gain a greater market share of the growing energy storage industry for some time, with standalone batteryand solar-plus-storage new build and retrofit projects underway in key markets like the US state of California. Qu said that the company will continue to execute on its “global energy storage growth strategy”. Canadian Solar recently said that its US-based development subsidiary Recurrent Energy has 2.3GWh of US battery storage projects either contracted or already in construction.
Battery storage has been gradually gaining a foothold in the wider Latin America region, with potential for greater renewables integration and also adding reliability to often very fragmented electricity transmission networks. This includes behind-the-meter commercial and industrial (C&I) storage in places like Mexico and Puerto Rico, as well as some large-scale front-of-meter projects in Chile.
The project was awarded in the public tender launched by Colombia’s Ministry of Energy and Mines, via its affiliate UPME, the Mining and Energy Planning Unit. Located in the city of Barranquilla in northern Colombia, this project will consist of a 45 MWh lithium-ion battery energy storage system and is expected to reach commercial operation by June 2023. The project is granted with a 15-year revenue structure with the Colombian government and is indexed to the country’s inflation or producer price index.
The Barranquilla project will strengthen the electricity transmission network in the Atlántico Department in northern Colombia and support the government’s efforts to prevent future supply deficits. It will also support a greater penetration of renewable energy in the Colombian electricity system by improving the reliability of intermittent sources of energy.
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