CIP commissions 220 MW/1.1 GWh standalone battery project in Chile

Copenhagen Infrastructure Partners, through its CI Growth Markets Fund II, has started commercial operations at the 220 MW/1.1 GWh Arena BESS in northern Chile.

The standalone battery project is one of the largest of its kind in Chile, according to CIP. It charges using low-cost solar energy during the day and discharges during periods of high demand, helping shift renewable generation to evening hours and displace more carbon-intensive thermal generation.

Arena BESS has also received authorization under Article 6 of the Paris Agreement, allowing it to generate internationally transferred mitigation outcomes (ITMOs), a form of internationally recognized carbon credit. The authorization follows an earlier announcement made in February.

The project forms part of the BESS-Standalone Programme Chile, developed by CI Growth Markets Fund II. The program includes the Arena BESS and the 300 MW/1.5 GWh Patache BESS, both standalone battery storage projects connected to the grid in northern Chile.

According to the program, the projects are designed to reduce emissions in Chile’s National Electric System by storing surplus renewable electricity, primarily solar power that might otherwise be curtailed, and delivering it during periods when thermal generation typically plays a larger role.

CIP said revenue from ITMOs could provide an additional income stream for battery storage projects, helping address financing gaps and mitigate risks associated with capital-intensive investments, long-term technology performance, and operation in Chile’s centrally dispatched electricity market.

From pv magazine LatAm