Cox, a water and energy utility, has been awarded a new battery energy storage and generation (BESS) project in Guatemala, reinforcing its presence in one of the markets with the greatest potential for the development of sustainable energy infrastructure in Central America.
The project will have a generation capacity of 76 MW and an awarded power of 27 MW, obtained through a long-term public tender for electricity supply in Guatemala. The contract will have a duration of 15 years and an awarded price of $88.66 per MW.
The contract represents $126.5 million in contracted revenue over the first 15 years of operation. In addition, there is the potential to sell surplus energy on the wholesale market, estimated at 42.6 GWh annually, which could generate approximately $70 million more over the project's lifespan.
The facility will produce approximately 113.3 GWh of energy per year and, once the contractual period is over, will have an estimated lifespan of another 15 years, extending its long-term value generation capacity.
A strategic project for the Guatemalan electrical system
The project will contribute to strengthening the flexibility and reliability of Guatemala's electrical system by storing energy for delivery during peak demand. This capacity will optimize the integration of renewable generation, improve grid stability, and promote more efficient use of the country's electrical infrastructure.
The award is part of the long-term procurement processes undertaken by Guatemalan distributors to guarantee electricity supply for millions of users in the coming years. These processes aim to incorporate new generation and storage capacity to diversify the energy mix, strengthen security of supply, and offer competitive prices for consumers.
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Martín Sucre, Regional Manager – Central Arc —Central America, Caribbean, Colombia and Ecuador— at Cox, explains that “the awarding of this project reinforces our growth strategy in Latin America, a key region for Cox. Energy storage plays a fundamental role in ensuring the stability and flexibility of electrical systems, and we will continue to promote projects that contribute to a safe, efficient, and sustainable energy transition.”
Two solar plants under construction reinforce Cox's presence in Guatemala
This new award adds to the project that Cox previously obtained in the PEG4 tender, consisting of two solar plants that Cox is currently developing in the Zacapa and Chiquimulilla region, whose construction has already begun and for which the company has secured financing through CIFI, a leading investment platform for sustainable and high-impact infrastructure projects in Latin America and the Caribbean.
The project has an installed capacity of 130 MW and is scheduled to begin operations in the first quarter of 2027, consolidating the company's portfolio of energy assets in Guatemala.
Latin America, a core geography for Cox
Latin America is one of Cox's strategic geographic areas and a key driver of the company's growth. In the region, the company is developing an integrated model that combines water and energy infrastructure to address some of the major challenges associated with the energy transition, water security, and sustainable development. Through this approach, Cox is driving projects in renewable energy generation, energy storage, electricity transmission, desalination, water reuse, and water treatment, contributing to increased resilience of critical infrastructure and accelerating the decarbonization of the economies where it operates.
The awarding of this new project in Guatemala reinforces the company's strategy of investing in long-term assets that provide stability to the electrical system, promote greater penetration of renewable energies, and generate sustainable value for the communities and territories where it operates.