TECO Group won the bid for the Taipower Energy Storage Iconic Project - Longtan Energy Storage EPC Contract

2022/04/20

Taiwan Power Company announced today that TECO Group has won the bid for the Longtan ultra-high voltage (UHV) substation energy storage system at NT$2.6 billion. According to TECO Chairman Sophia Chiu, the Longtan UHV substation energy storage system is a major national construction project. TECO won the EPC contract mainly due to its capacity and experience to build large-scale energy storage systems. Besides, the team is joined by Fluence, a leading global energy storage technology and services provider, to help provide a stable power supply and sustainable services for Taiwan in the future, making Taiwan's power system more secure and reliable.

 

To meet the 2025 renewable energy goal, Taipower plans to build 160 MW of energy storage at its sites, with the Longtan UHV substation energy storage system being the largest of all. It has the largest installed capacity of 60 MW among 29 UHV substations in Taiwan, accounts for 37.5% of Taipower’s total storage capacity, and serves as an important node of the 345 kV transmission line nationwide. According to TECO, the project is expected to start in April 2022 and be completed and launched in 2023. The project includes the provision of ancillary services and stability for Taiwan's power system and will facilitate the integration and testing of the UHV substation and energy storage system interfaces, making the power system more secure and reliable. TECO Chairman Sophia Chiu pointed out that in the future when a large amount of offshore wind power is added to Taiwan's power system, energy storage systems will play an important role in grid stability. With our rich experience and expertise in the wind and storage markets, we will work with our international partners to actively participate in Taiwan's energy transformation process and strive to bring world-class energy storage system engineering technology to Taiwan.

On the other hand, TECO and Fluence have been working together in Taiwan's energy storage market since 2020. The partnership with Fluence, a global leader in the energy storage industry, is one of the advantages TECO Group has over other bidders. Jan Teichmann, president of Fluence Asia Pacific said, "It is a great honor to receive the approval of Taipower and work with our partner TECO on this key energy storage project. Thanks to the trust that Taipower and TECO have placed in Fluence's reliable products, proven technology, and track record, we are confident that we can set an example in the energy storage sector in Taiwan and make a sustainable contribution to the country's energy transformation.

Fluence has over 14 years of experience in building and operating energy storage products, and according to IHS Markit’s global market survey in 2021, it is the number one company in the international energy storage market share, with over 4.25 GW of energy storage systems built or contracted, over 150 sites in 30 markets worldwide, and over 2.9 GW of operations and maintenance services.

TECO has continued to invest in the renewable energy market in recent years. In 2015, TECO entered the energy storage field and completed several domestic and international energy storage system cases, and for three consecutive years, it has won EPC contracts for offshore wind power onshore substations, accumulating about 2 GW and reaching a 35% market share. The first phase of the 100 MW onshore substation for the Changfang & Xidao Offshore Wind Farm has been successfully integrated into Taipower's system.