The Government, through the Ministry for Ecological Transition, has granted administrative authorization to Engie for the execution of the ST Palmosilla project in the municipality of Tarifa, Cádiz. This facility will become Spain's largest energy storage plant in batteries, marking a milestone in the development of renewable energy infrastructure in the country.
The initiative, which involved Engie's acquisition of the project from the company Rolwind Renovables last April, concludes a process of over two years since the initial administrative authorization request. The plant will have an estimated investment of 100 million euros for its construction and commissioning, and will be located in Puerto de la Cruz, near the Santuario de Nuestra Señora de la Luz and adjacent to an existing electrical substation of Red Eléctrica de España.
The ST Palmosilla plant will have a storage capacity of 200 megawatts (MW) and will be able to store up to 885,000 kilowatt-hours (kWh), enough energy to supply a population of 100,000 inhabitants. This capacity will allow for continuous energy injection into the general grid for four hours. The energy will be stored in 63 electrochemical lithium battery units, distributed in energy islands, with a lifespan of 20 years and occupying a total area of just over five hectares.
This pioneering project will utilize 'stand-alone' batteries and will feature a synchronous compensator to stabilize the grid against overloads, a crucial component in systems with high reliance on renewable energy. Rolwind's director, Beatriz Teijeiro, explained that the intention is for construction to begin in 2026, with the plant operational by early 2027.
The Tarifa plant, along with the Cerrillo facility in Álora (Málaga), also sold to Engie by Rolwind Renovables, represents a combined investment exceeding 240 million euros and has received a 70 million euro subsidy from the European Regional Development Fund (ERDF). Rolwind Renovables managed the processing of both infrastructures, with advisory support from investment bank Alantra.
