Metlen Energy & Metals has secured EPC contracts for over 2.5GWh of battery energy storage and solar capacity in Chile. Scheduled for completion by Q1 2026, these projects include the Mesembria initiative, aimed at addressing curtailment issues. A report forecasts significant growth in solar PV in South America by 2034, yet financial and regulatory uncertainties pose challenges for BESS expansion.
Metlen Energy & Metals, a Greek renewables developer, has secured three engineering, procurement, and construction (EPC) contracts in Chile, encompassing over 2.5GWh of battery energy storage systems (BESS) and 190.5MWp of solar photovoltaic capacity. These projects are scheduled for completion by the first quarter of 2026. In parallel to these contracts, Metlen is advancing its own project, the Mesembria initiative, which will feature a BESS capacity of 1,607MWh with an anticipated completion date of Q4 2025.
A recent report by Wood Mackenzie has underscored the expanding solar-plus-storage projects in Brazil and Chile, primarily driven by curtailment and transmission challenges in these regions. The report projects that South America may witness 160GW of solar PV installations by the year 2034. The integration of BESS with solar PV in Chile has been emphasized as vital for both current operations and future developments.
Alejandro McDonough, business development manager at Wärtsilä ES&O, has described the co-location of BESS with solar PV as an “absolute necessity,” highlighting concerns regarding curtailment in ongoing discussions about Chile’s energy solutions. At the recent Energy Storage Summit Latin America event, it was noted that in 2024, Chile experienced record curtailment levels of 6TWh in solar PV and wind capacity, which more than doubled from the previous year.
Despite the progress, obstacles remain, particularly concerning financial frameworks needed for BESS to thrive in Chile and throughout Latin America. A lack of regulatory support hinders the potential expansion of BESS technologies within the region, thereby posing challenges to the overall growth of the sector.
In summary, Metlen Energy & Metals has secured significant EPC contracts for battery energy storage systems and solar capacity in Chile, contributing to the region’s renewable energy goals. The growing trend of combining solar PV with BESS is crucial to address curtailment issues, as outlined by industry experts. However, financial uncertainties and regulatory challenges must be overcome for the full potential of BESS technologies to be realized in Chile and Latin America.
Original Source: www.energy-storage.news
