Abengoa is currently developing two concentrated solar power (CSP) plants, 110 MW each, with tower technology coupled with a thermal energy storage system based on molten salts.
Abengoa is currently developing two concentrated solar power (CSP) plants, 110 MW each, with tower technology coupled with a thermal energy storage system based on molten salts that can generate 24 hours a day. Additionally, Abengoa is also developing a 100 MW PV plant.
Abengoa will provide 950 GWh per year to the Chilean electricity grids after successful bid during theTender Process SIC 2013/03-2º Llamado, held by the National Energy Commission (CNE) of the Chilean government.
The price offered by Abengoa, $114,82 per MWh, was the second highest of all the awarded offers.
The company says the CSP plants will use a pioneering thermal storage system, designed and developed by the company, which makes this technology highly manageable, enabling it to supply electricity in a stable way during any demand period.
The plants will be subject to the ROFO agreement (Right of First Offer) that Abengoa has signed with Abengoa Yield, the sustainable total return company that owns a diversified portfolio of contracted assets in the energy and environment sectors.
Manuel Sánchez Ortega, CEO of Abengoa, pointed out that, “Winning a power supply tender with solar-thermal and photovoltaic plants, competing against conventional power generation, is an important milestone that demonstrates the success of our technology work to provide clean energy at competitive and predictable prices over decades”.
The tender is part of a wider energy agenda being promoted by the Chilean government, which sets out to increase the presence of non-conventional renewable energy in the country, among other aspects, while securing greater energy independence.
The 950 GWh awarded to Abengoa are part of a total of 13,000 GWh/year tender (between 35 and 37% of the regulated power in Chile). Production has been divided into four blocks, which would come online between 2016 and 2019 depending on the block in question, and will have a duration of 15 years each.
Abengoa will manage the CSP and PV plants under what the company calls a Smart Solar Plant design, to harness the CSP. PV and thermal storage production in an efficient and optimized way, ensuring that the power is manageable, available and produced at a competitive cost, 24 hours a day.
The Spanish company has taken part in 19 sub-blocks in Block 4 of the tender, which will begin to supply power on January 1, 2019 and will end on December 31, 2033. One of the main requirements of this block is that the power produced can be sustained 24 hours a day, without interruption.
“Abengoa intends to become a major player in the Chilean generation market, providing clean and competitive power in terms of price and characteristics, compared with traditional generators”, said Manuel Sánchez Ortega, CEO of Abengoa.