EPSE San Juan confirmed that it will develop its first battery system regardless of the outcome of Argentina's AlmaSADI tender , which received bids for 8335.9 MW , almost twelve times more than the 700 MW originally planned.
“We will implement the BESS system regardless of whether we win or not, because our goal is to learn how to operate these types of systems and then continue growing with our storage parks. In fact, with the current figures, it makes more sense to operate outside of the bidding process,” confirmed Lucas Estrada , president of EPSE San Juan, during the “It Had to Be Said and It Was Said” streaming event hosted by Energía Estratégica.
Furthermore, the technical need is specific. “The Rodeo node is a node with very high solar generation and low demand. And the present and future of photovoltaics lies with hybrid systems.”
The focus now is on the level of competitiveness of the financial bids. The envelopes containing the price proposals will be opened on June 24th, and the contract is scheduled to be awarded on July 8th.
“AlmaSADI’s prices will be very competitive; I think they will be around USD 10,000/MW-month. Anything below that is because they have a very good contract with the technology provider or the equipment supplier. We believe it is possible to go even a little below that,” he noted.
However, the executive believes that the profitability of battery systems does not depend exclusively on awarded contracts, and that "it should not be forgotten that the accounts arbitraging the spot market also work out well ."
Nevertheless, EPSE decided to participate because a long-term contract allows for reducing uncertainties in a context where there are still questions about the future evolution of the Argentine electricity market and its operating rules.
But when the evaluation of bids is complete, thousands of megawatts could be left out of the first round due to the record volume of projects submitted. In that scenario, the Additional Reliability Reserve Service (known as SerCA) appears as the next mechanism to release part of that pipeline and support new investments in storage, thermal generation, and hybrid systems.
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The instrument originates in article 11 of Resolution 400 of the Secretariat of Energy and is applicable to thermal, hydroelectric, nuclear generation or storage units with commercial authorization from January 1, 2025.
New projects, a panel factory and more than 300 MW in the pipeline
Beyond the AlmaSADI result, EPSE is already working on the next stage of its strategy, including a tender this year for a community solar park under the distributed generation regime.
The project will have a power output of approximately 10 MW , will have at least 30 MWh of battery capacity, and the call for tenders to select the EPC contractor could be launched in approximately two months.
In parallel, the company is moving forward with the commissioning of a photovoltaic module factory with a production capacity of 500 MW per year . The goal is to begin commercial operations between the end of this year and the beginning of 2026.
“ San Juan will never compete with Chinese products, but we should collaborate with them . For example, we can start with Chinese cells, which are very inexpensive and of very good quality. And then there's the current situation, so our project has to grow organically and competitively according to market rules,” Estrada emphasized.
The strategy aims to differentiate itself through specific market niches. One of these is the manufacture of panels with greater hail resistance, a common problem in several regions of Argentina and other markets.
The company also sees opportunities in the United States stemming from the trade restrictions and tariff barriers currently faced by some products of Chinese origin: "Our products could enter the U.S. with a minimal tariff or eventually without tariffs," the executive states.
Industrial development will be accompanied by new generation projects. EPSE owns 12,000 hectares in Tocota , where it already has its own evacuation infrastructure and a pipeline exceeding 300 MW .
The intention is for this hub to become the first major destination for the modules produced by the company once they meet the quality and bankability standards required by the market. Furthermore, the company plans to use this capacity to supply future mining projects in San Juan, one of the sectors that will require the most energy in the coming years.