IRENA, working with the government, has developed Republic of Palau:
The project will install a total of 15 megawatt hour battery energy storage system (BESS), which will enable the grid to increase the utilization of outputs from the solar photovoltaic power plant and provide grid services to Koror-Babeldaob grid to equip Palau Public Utilities Corporation (PPUC) with tools to optimize the use of renewable energy. Protection systems will also be upgraded to reduce the frequent blackouts of the grid system, especially with the expected increase of outputs from the solar photovoltaic power plant. The project also includes a pilot vehicle-to-grid project, as a future option for further optimization of renewable energy generation.
Energy / Energy utility services
PPUC plans to install a BESS in its grid system to achieve this goal. Reducing curtailment is critical to optimizing PPUC''s operational efficiency because of the take-or-pay arrangements in the power purchase agreement. In addition to BESS, the government plans to make better use of IPP-1 generation capacity with an introduction of vehicle-to-grid (V2G) solutions. As a small island nation with limited demand for equipment necessary for V2G, a public sector pilot initiative is needed to test and showcase the effectiveness of V2G solutions.
Greenhouse gas emission from Palau''s energy sector is reduced.
Renewable energy utilization increased.
Battery energy storage systems and energy management system installed.
Grid protection system upgraded.
Vehicle-to-grid concept piloted.
Capacity building support provided.
The Asian Development Bank (ADB) is committed to achieving a prosperous, inclusive, resilient, and sustainable Asia and the Pacific, while sustaining its efforts to eradicate extreme poverty. It assists its members and partners by providing loans, technical assistance, grants, and equity investments to promote social and economic development.
Photo Credit: Palau Ministry of Education
Like many Small Island Developing States (SIDS), Palau is highly dependent on imported fossil fuels. Renewable energy generation is only 4.03 percent of the total share of its power sector. The country, however, is striving to increase this share. A new report by the International Renewable Energy Agency (IRENA) explains how the country can achieve its target of 100 percent renewables by 2050 through increased deployment of renewables.
IRENA, working with the government, has developed Republic of Palau: Renewable Energy Roadmap 2022-2050 outlining an ambitious, yet achievable scenario enabling the country’s share of renewable energy to significantly increase, up to 92.1 percent. The study also shows that Palau can achieve 100 percent renewables by exploring green hydrogen production from solar photovoltaics (PV) and wind.
Palau has a promising potential for solar and wind energy deployment. The IRENA roadmap recommends the deployment of an additional 190 MW of solar energy and 20 MW of wind energy to achieve the country’s renewables goals. An estimated 412 megawatt-hour of battery storage and 41 megawatt of battery inverters would be needed to support the transformed power system.
An energy system based on renewable energy is not just helping Palau meet its climate goals, but also improving the lives of local communities. Those who embraced renewable energy can already testify to its positive impact.
Kyle Ongesii, a proud owner of an off-grid solar system in Aimeliik State shared that the solar-powered system has significantly reduced his household’s expenses. “With the solar energy, I no longer have to worry about electricity bills. Also, whenever a power outage turns the village dark, my house is the only one that stays bright,” he says.
Photo Credit: Kyle Ongesii
“The 10-kilowatt system more than meets my household’s needs. The excess electricity kept powering my house during a typhoon last year when there was no sunlight for four days. I cannot recommend this system enough, so my neighbours can also benefit from it.”
In other parts of Palau, three remote island schools are also enjoying the benefits of renewable energy. With the support of the United Nations Development Programme Pacific Office in Fiji, and the Japan funded Enhancing Disaster and Climate Resilience project, a number of 5-kiloWatt solar power systems were installed in the schools last year.
The students and teachers of the elementary schools in the remote southwestern islands of Hatohobei, Pulo Anna and Sonsorol immediately saw the positive change after the installation of the solar systems.
Delphina Sumor, the head teacher at Pulo Anna elementary school, said, “Both students and teachers are very happy with the long-running electricity, thanks to the solar power; we can turn on electric fans when the days are hot, and turn on the lights in the classroom when it is dark outside because of the rain.”
“We have also enhanced our learning experience. With the stable electricity, students can use digital devices to perform classroom activities, while teachers can use their laptops and projectors to support instructional delivery. But the most exciting of all for the students and the wider community, is the electricity allows us to have movie nights on weekends,” she added.
These benefits are evident in addition to the pollution and greenhouse gas emissions reduction, as well as lower electricity costs. Further deployment of renewables can aid Palau in meeting its climate goals. The country has developed an energy action plan to achieve the energy goals set forth in its climate policy. However, owing to its low per-capita income, the country needs financial and technical assistance from the international community to fully implement renewable projects.
The Roadmap indicates an initial investment of approximately USD 126 million to support the scaling up of solar PV, wind and battery capacity necessary to reach a 92 percent share for renewables. It also identifies a suitable mix of financing mechanisms including grants, soft loans, and de-risked investments by independent power producers to help Palau decarbonise its power sector and lessen the negative impacts of climate change.
Read the Republic of Palau: Renewable Energy Roadmap 2022-2050 here.
Philippines-based power producer Solar Pacific Energy Corporation (SPEC), the solar developer of listed Alternergy Holdings Corporation, appointed DNV as Owner''s Engineer for the 15.3 MWp solar power and associated 13.2 MWh battery energy storage system (BESS) in Ngatpang state on Babeldoab, the largest island in the Palau archipelago. The USD 29 million project, jointly owned by SPEC and its listed parent Alternergy will meet more than 20% of Palau''s energy needs. SPEC was awarded a long-term power supply agreement by the Palau Public Utilities Corporation (PPUC) to feed power to the central grid in Badelboab. The power plant was inaugurated last June 2.
DNV''s work scope for the solar + BESS hybrid system, SPEC''s first venture into overseas markets, spanned four phases across the design, pre-construction, construction, and project completion stages. DNV assessed if the design would meet two main purposes: grid smoothing and energy generation. It advised on project scheduling and progress tracking, and checked the engineering, procurement and construction (EPC) contract on SPEC''s behalf.
"Solar Pacific is grateful to DNV for its excellent technical and project management support throughout the pre-construction and implementation stages of this exciting project. DNV provided valuable expertise to ensure the delivery of a rather complex project that involved a PV and battery storage hybrid solution on a challenging project site located in a remote location. We look forward to expanding our working relationship with DNV throughout the Asia Pacific region," said Mike Lichtenfeld, Chief Executive Officer, SPEC.
"Alternergy is delighted to conclude another successful renewable project with DNV," added Gerry Magbanua, president of Alternergy, "since 2014, we have collaborated with DNV in developing our pioneering wind and solar projects in the Philippines."
Project construction management was conducted remotely from DNV''s Singapore office, with DNV''s partner providing onsite construction personnel supervised and managed by DNV and owner''s site representatives (OSRs) for both the civil and electrical engineering aspects. The OSRs monitored construction and with input from DNV specialist engineers, delivered several monitoring, inspection, verification, witnessing and testing activities during construction, commissioning, testing and energization of the system.
DNV inspections post-commissioning ensured that non-conformance with contract specifications was sufficiently rectified before certifying the project as ready for handover and issuing the Final Completion Certification.
According to DNV''s latest Energy Transition Outlookreport, Southeast Asia will see solar PV and solar coupled with storage play a significant role in the region''s electricity generation share, rising sharply from the late 2030s to generating 74% of the electricity by 2050.
"We are delighted to have provided value to SPEC, complemented the developers'' plan, minimized the customer''s risks and helped to ensure the project''s success," saidBrice Le Gallo, Vice President and Regional Director APAC, Energy Systems at DNV. "This largest solar + BESS project in the Western Pacific illustrates how we leverage our expertise and experience in handling utility-scale solar and BESS projects to provide best-quality work."
He continued: "With a proven project track record in Australia, China, India, Japan, Malaysia, the Philippines, Singapore and Thailand, DNV''s solar expert team in Asia Pacific has extensive knowledge on local challenges faced by developers. Coupling these with global best practices from our offices worldwide, I believe we have exceptional global experience in utility-scale solar power plants and BESS systems."
Michael Niu, Project Manager at Energy Systems at DNVsaid "With a project in a location as unique as the Republic of Palau, the jurisdiction itself is challenging as the project engineering codes and local requirements are very specific. As such, it was critical that a multi-disciplinary engineering team well-versed in international codes, standards and best practices was assembled."
About Palau renewable energy storage
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