The Hermosa Battery Energy Storage System (BESS) will have a storage capacity of 60 megawatt-hours (MWh), allowing it to store electricity when supply is available and discharge power when needed.
Shell Energy said the project is intended to improve grid flexibility and reliability as the Philippine power system accommodates a more diverse mix of energy sources.
Key agreements
Under an engineering, procurement and construction contract, Power Dimension Inc. will handle the engineering, procurement, construction and commissioning of the battery storage facility.
The project will use the PowerTitan 3.0 battery energy storage system and include the associated electrical and balance-of-plant infrastructure.
SEPH has also signed separate long-term service and operations and maintenance agreements with Sungrow Power Technology Solutions Philippines Inc.
Sungrow will provide technical support, maintenance and operational services for the facility over the long term.
"The execution of the EPC, LTSA and O&M agreements represents a significant step forward for the Hermosa Battery Energy Storage System project," SEPH president and CEO Bernd Krukenberg said in a statement.
Krukenberg said battery storage could play an important role in supporting the flexibility and reliability of the country's power system.
The agreements, he added, establish the foundations needed to bring the project into operation "safely and efficiently."
Grid flexibility
Battery storage facilities can absorb electricity during periods of ample supply and dispatch it when the grid requires additional power, helping manage fluctuations in electricity supply and demand.
The technology is also becoming increasingly important as power systems integrate more variable energy sources, including solar and wind.
Once operational, the Hermosa facility will be owned and operated by SEPH and will form part of the company's expanding energy infrastructure portfolio in the Philippines.
SEPH said the project is expected to contribute to a more flexible and resilient power system as the country's energy requirements evolve.
Energy portfolio
SEPH is a wholly owned Shell company engaged in power marketing and trading in the Philippines.
The company is a direct member of the Wholesale Electricity Spot Market and supplies power and energy solutions to commercial and industrial customers in sectors such as manufacturing, real estate, education and retail.
SEPH is also expanding its local energy infrastructure and solutions portfolio as it seeks to support customers and improve power system flexibility and reliability. —Ed: Corrie S Narisma
