Saudi launches qualification process for 8 GWh of BESS projects

The four projects will be developed under a BOO model.

The Saudi Power Procurement Company (SPPC) has commenced the qualification process for the first group of battery energy storage system (BESS) projects, consisting of four projects that have a total capacity of 2000 megawatts (MW) / 4 hours (Hrs).

According to an SPPC statement, the first batch of BESS projects are the 500MW/4Hrs Al-Muwyah BESS ISPSite in Makkah province; the 500MW/4Hrs Haden BESS ISPSite also in Makkah province; the 500MW/4Hrs Al-Khushaybi BESS ISPSite in Qassim province; and the 500MW/4Hrs Al-Kahafa BESS ISPSite in Hail province.

Each will be developed under a build-own-operate model, with the successful bidder holding 100% equity in the special purpose vehicle (SPV) set up to develop and operate the independent storage provider project.

The SPVs will enter into a 15-year storage services agreement with SPPC.

The new energy storage programme is seen to accelerate the Kingdom of Saudi Arabia's renewable energy goals, aiming for 50% by 2030, and enhance the power system's reliability and resilience.