SN Aboitiz Power Corp. (SNAP), the joint venture of Norwegian firm Scatec and Aboitiz Power Corp., said Friday its 24-megawatt Magat battery energy storage system project in Isabela started commercial operations after receiving a provisional authority to operate (PAO) from the Energy Regulatory Commission.
The project broke ground in April 2022, completed construction in July 2023 and concluded testing and commissioning with the grid operator in December 2023.
SNAP said it would operate the BESS project primarily for ancillary services in the Luzon grid and started its commercial operation in the reserve market on Jan. 26, 2024. It received the PAO certificate on Jan. 17, 2024.
The Magat BESS utilizes liquid-cooled lithium-ion batteries and is connected to the grid via a 230-kV power transformer. It is co-located with SNAP’s Magat hydroelectric power plant in Ramon, Isabela.
SNAP president and chief executive Joseph Yu earlier said the Magat BESS was cost around P1.2 billion.
“The rule of thumb is $800,000 to $1 million per MW, but we’re looking for ways to optimize it and reduce the cost. We have a very good team working on it and I’m very optimistic that they should be able to come up with something interesting,” Yu said.
SNAP is studying putting up three additional BESS projects with a combined capacity of 100 MW.
“We have three more projects, almost 100 MW between Magat and Benguet that we hope to bring to a final investment decision in 2024,” Yu said.
He said the BESS projects are undergoing design and feasibility study.
SNAP owns and operates the 112.5-MW Ambuklao and 140-MW Binga hydroelectric power plants in Benguet; the Magat hydroelectric power plant which has a nameplate capacity of 360 MW and maximum capacity of 388 MW on the border of Isabela and Ifugao; and the 8.5-MW Maris hydro in Isabela.
The non-power components such as dams, reservoirs and spillways are owned, managed and operated by the government.