Timor-Leste solar and battery storage development
Client: Asian Development Bank / Eletricidade de Timor-Leste (EDTL)
Location: Timor-Leste
Date: 2022 - 2025
Supporting the first major solar generation and battery energy storage system in Timor-Leste
Background
Timor-Leste is a nation of 1.4 million people in South-East Asia. The nation’s electricity has until now been generated almost entirely from fossil fuel sources, mainly diesel. However, the Government of Timor-Leste has established a clean energy target of 50% by 2030.
With abundant sunshine, there is significant potential for cost-effective, sustainable solar energy generation. Small community-level renewable energy projects have been underway in rural areas, but this project is the nation’s first major utility-scale solar and storage development – with 72 MW of solar PV and a 36 MW / 1-hour battery energy storage system (BESS).
The project is being procured by EDTL under a power purchase agreement (PPA), supported by the Asian Development Bank in partnership with the Government of Timor-Leste.
Solution
Entura was engaged by the EDTL to provide specialist technical advisory services on the project.
Our team travelled to Timor-Leste in 2022 and 2023 to carry out early investigations at three potential sites for the solar-battery development, as well as inspecting three substations, the national dispatch centre and the main power station.
They considered a range of factors in the site selection, including the solar resource and grid connection opportunities at each site, the challenging local topography and geology, the potential impacts of extreme weather or earthquakes, and accessibility for construction.
Entura then supported a full feasibility study, with detailed investigations of optimal energy generation and storage options, which required techno-commercial modelling, power systems modelling, and investigation of grid connection requirements, geotechnical conditions and flood impacts.
Because flooding risks were identified as a concern for the project, our client engaged us to analyse these risks and provide recommendations for mitigating flooding at the proposed site. This included conducting preliminary hydrological study and hydraulic modelling for various rainfall scenarios, including the catchment runoff and flow characteristics through the solar farm site.
We worked closely with transaction advisors to shape the structure of the PPA and supported the tendering process by preparing detailed technical specifications, technical limits, guarantees and warranties, and test specifications for the project. We have also supported the PPA negotiations through to signing of the contract.
Outcome
Entura’s renewable energy and storage experts are proud to see the impacts of their advisory services, with Timor-Leste reaching commercial closure of the solar and battery project in 2025. A long-term power purchase agreement (PPA) has been made between the state utility Eletricidade de Timor-Leste (EDTL) and the EDF Renewables-ITOCHU Corporation consortium. This paves the way towards financial close and the start of construction.
Our expertise in renewable energy and storage is supporting Timor-Leste’s journey towards 100% electrification, powered by cleaner, more cost-effective renewable energy generation and less reliance on carbon-intensive diesel fuel. Renewable energy and storage systems such as this project are likely to make a very meaningful contribution to achieving clean energy targets and a more sustainable future.