Kosovo launches 360 MWh battery storage auctions

Kosovo has launched two auctions for BESS projects with a cumulative capacity of 170 MW/340 MWh.

The 45 MW/90 MWh and 125 MW/250 MWh battery storage procurement exercises are initiated by the United States acting through Millennium Challenge Corp. (MCC) and Kosovo authorities. In 2022, MMC approved a $202 million grant for these projects. An additional $34.7 million was allocated by Kosovo.

Kosovo intends to apply a portion of the MCC funding to eligible payments under one or two contracts for BESS. The primary role of the project will be to deliver frequency response.

The successful bidders will be reponsible for the design and construction of the utlity-scale BESS and transmission connection infrastructure.

A pre-qualification webinar will be held on December 23, 2024, at 14:00, according latest announcement. Bids can be submitted by February 14, 2025 at 14:00.

Earlier this year, shortly after announcing the shortlisted bidders in the nation’s first solar auction, Kosovo revealed plans to auction off 950 MW of renewables over the next two years, to the tune of €1.2 billion ($1.29 billion).

Kosovo aims to source 35% of its electricity from renewables by 2031, up from 6% in 2021, according to the government’s draft strategy. It is looking to add at least 1.2 GW of utility-scale wind and solar projects, alongside 100 MW of rooftop PV capacity.

Today, most of Kosovo’s electricity is supplied as imports or from two lignite-fired thermal power plants, the 40-year-old Kosovo A Power Station (with a 345 MW generation capacity) near Pristina, and the upgraded, 27-year-old, Kosovo B Power Station (540 MW) in Obilić.

According to the International Renewable Energy Agency (IRENA), Kosovo had 10 MW of installed PV capacity at the end of 2022.