The project is expected to help improve the reliability of the electric grid in Northern Chile and uses A123 Systems’ Hybrid Ancillary Power Units (Hybrid-APU), a lithium-ion battery system.
The project is also expected to help the system operator manage fluctuations in demand, delivering frequency regulation in a less expensive manner than traditional methods. In addition, because the project replaces unpaid reserve from the power plant, AES Gener will receive payment for its full output capacity by selling directly to the electric grid.
Andres Gluski, executive vice president and chief operating officer of AES, said: “This project establishes AES Gener’s leadership in this new technology in Latin America. In addition, it demonstrates how AES can leverage its global platform to develop new approaches that increase the efficiency of power generation and distribution.”
Chris Shelton, president of AES Energy Storage, said: “This approach to providing ancillary services and grid reserves lowers the cost and improves the performance of power systems. The project in Chile builds on the progress of our demonstration projects in the US and in the longer-term, we believe that battery systems have the potential to support greater integration of renewable energy sources.”
AES Energy Storage and A123 Systems developed the project at AES Gener with Parker Hannifin and ABB. This is AES Energy Storage’s first project outside the US and is also said to be the first lithium-ion battery system to be deployed to the electric grid in Chile.