SN Aboitiz Power (SNAP), Aboitiz Renewables, Inc. and Norwegian firm Scatec ASA is set to begin construction of an 80-megawatt (MW) battery energy storage system (BESS) in Benguet.
In a statement on Wednesday, Aboitiz Power Corporation (AboitizPower) said it has reached financial closing for two BESS projects: a 40-MW system at the Binga Hydroelectric Power Plant and a 40-MW system at the Ambuklao Hydroelectric Power Plant.
Co-located with SNAP's existing hydropower facilities, both projects are designed to provide power reserves to the Luzon grid through the reserve market.
These facilities are targeted to begin commercial operations later this year.
Once completed, SNAP's total BESS capacity in operation and under construction will increase to 160 MW.
The new capacity adds to SNAP's growing energy storage portfolio, which also includes a 24-MW BESS at the Magat Hydroelectric Power Plant, which is providing auxiliary services through 2024.
BESS stores electricity from the grid and releases it when needed to increase supply or improve power quality, helping to stabilize the grid and manage fluctuations in renewable energy production.
“As the Philippines continues to increase renewable energy as part of its energy transition goals, the need for flexible and reliable support services is expected to increase,” the company said.
AboitizPower's renewable energy arm, Aboitiz Renewables, said it aims to help the group reach its renewable energy target of 4,600 MW by 2030.
“Through continued investments in hydropower, battery energy storage and other renewable technologies, Aboitiz Renewables and SNAP are advancing a more flexible and resilient portfolio that supports long-term energy security and sustainability,” the company said. — Sheldin Joy Talavera