20-MEGAWATT ENERGY STORAGE PROJECT TO DELIVER FOR CONSUMERS AND THE ENVIRONMENT

OfReg has today announced that it has approved a 20-Megawatt (MW) utility-scale battery energy storage project for CUC, paving the way for annual consumer savings of approximately CI$5 million.

The Office authorised CUC to issue a solicitation for the energy storage project to be implemented in 2020/21. The project will deliver benefits for consumers, and helps the Cayman Islands to meet its clean energy goals. Notable benefits include the following:

• Provision of more economic and reliable spinning reserves;

• Reduction of Grand Cayman’s diesel fuel consumption by approximately 5% - 6% per annum (more than 2 million imperial gallons per year);

• Provision of annual fuel savings of approximately CI$5M per year which accrue to consumers;

• Creation of operating reserves, for an additional 12MW of Distributed Renewable Energy Resources, to be interconnected to the CUC grid;

• The additional 12MW capacity will allow OfReg to review and approve new Distributable Renewable Energy programmes;

• Increases the current renewable energy infusion quota to 29MW, which is approximately 25% of Grand Cayman’s peak electricity load;

• Reduction of the average cost of solar on Grand Cayman, in line with the National Energy Policy (NEP) goal of reducing future costs of energy in the Cayman Islands;

• Provision of net combined reductions in CO2 emissions of approximately 8% on Grand Cayman;

• Additional contribution to meeting the CUC Integrated Resource Plan; and

• Provision of more certainty to the distributed renewable energy sector, on Grand Cayman.

Commenting on the announcement, Gregg Anderson, Executive Director of Energy and Utilities, said: “The 20MW of energy storage will help improve grid reliability and integrate more renewables; creating a cleaner, healthier, and more sustainable future. Energy storage is expected to play a key role in OfReg’s commitment, to ensure utilities’ deliver clean, safe, reliable and cost-effective energy in keeping with the goals of the National Energy Policy.”