en.Wedoany.com Reported - Copenhagen Infrastructure Partners (CIP), through its Growth Markets Fund II, has achieved commercial operations for the Arena BESS battery energy storage system in northern Chile, which has begun transmitting electricity to the grid.

The project, with a capacity of 220 MW / 1,100 MWh, is described by the company as one of the largest independent battery energy storage systems in Chile. Its primary function is to charge during the day when low-cost solar power is abundant and emissions are low, and discharge at night or during periods of high demand, replacing thermal power generation with higher carbon emission intensity.

Arena BESS has received authorization under Article 6 of the Paris Agreement, enabling it to generate internationally recognized carbon credits, known as Internationally Transferred Mitigation Outcomes (ITMOs). This authorization was announced in February of this year.

The mitigation activity is part of the BESS-Standalone Programme Chile, promoted by the CI Growth Markets Fund II, an investment vehicle managed by CIP. The program includes the Arena BESS and Patache BESS projects, both of which are grid-connected independent storage systems in northern Chile.

The program aims to reduce emissions from the national electricity system by utilizing surplus electricity from renewable energy sources (primarily solar) that would otherwise be curtailed, and delivering it during periods when thermal power generation typically increases. The basis for Article 6 authorization lies in the potential for such projects to generate additional emission reductions beyond Chile's national climate targets. According to program documents, the Chilean government has identified BESS technology as a priority activity for promotion through the Article 6 mechanism.

CIP believes that revenue associated with ITMOs can provide an additional income stream for battery projects, helping to bridge funding gaps and mitigate risks related to capital-intensive investments, long-term technical performance, and operations in centrally dispatched electricity markets.

In addition to Arena BESS, the program includes the Patache BESS project, with a capacity of 300 MW / 1,500 MWh, another independent storage system developed by CIP in northern Chile.

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