en.Wedoany.com Reported - Wärtsilä has signed two equipment supply contracts with Origem Energia to support new balancing power projects in Brazil. The contracts cover two batches of 18 Wärtsilä 34SG balancing engines each, totalling 36 34SG balancing engines. The first order for 18 engines was confirmed in Q1 2026, and the second batch of 18 was confirmed in Q2 2026.
This long-term collaboration stems from the 2026 Reserve Capacity Auction (LRCAP), where the Wärtsilä 34SG balancing engines will be used in the awarded projects. This is the largest contracted power capacity auction in Brazil to date. Origem Energia was one of the main winners of the auction, securing balancing power projects scheduled to enter commercial operation between 2028 and 2029.
The awarded projects include the Pilar and Pilar Nova power plants, scheduled for commissioning in October 2028, and the Manguaba I–V projects, planned for commissioning in August 2029.
Luiz Felipe Coutinho, CEO of Origem Energia, stated: "The projects awarded in the 2026 LRCAP are designed to provide balancing capacity to support the reliability of the Brazilian power system, which is being strengthened as renewable energy generation grows. Once these plants enter commercial operation, they are expected to play a key role in meeting the system's demand for flexible capacity."
The plan also reflects Origem Energia's integrated model, which leverages its onshore natural gas resources in the state of Alagoas to develop gas-to-power projects. The company also employs underground natural gas storage technology, which can enhance operational flexibility and competitiveness.
These 34SG balancing engine projects not only mark Origem's entry into the balancing power project sector but will also lay the foundation for future expansion opportunities and long-term services, consolidating a partnership that can be replicated in subsequent projects.
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