Singapore’s Sunseap Group and Badan Pengusahaan Batam (BP Batam) have signed a Memorandum of Understanding (MOU) for the building of a floating photovoltaic system (FPV) and energy storage system (ESS) on a reservoir in Indonesia’s Batam Island. The project is estimated to be around US$2 billion.
Under the MOU, Sunseap will develop a FPV and ESS on Duriangkang Reservoir in the south of Batam Island. The FPV is projected to have a capacity of 2.2 GWp and span around 1600 hectares, making it the largest FPV in the world to-date. The ESS is also slated to be the largest ESS with a storage capacity of larger than 4000 MWhr.
Duriangkang Reservoir is the largest reservoir in Batam and was originally a saltwater bay. With a volume of 101.2 million m3, the Duriangkang Reservoir supports more than 50% of fresh water supply to Batam Island. The floating solar panels will be beneficial to reducing the evaporation, thereby retaining more water within the reservoir. Simultaneously, the water will also keep the solar panel cool allowing the panel to generate more clean energy, creating a synergistic relationship.
Sunseap expects the solar farm to generate more than 2,600 GWh of electricity per annum, potentially offsetting more than 1.8 million metric tons of carbon per year. This is equivalent to taking more than 400,000 cars off the road each year.
Sunseap is also planning to setup a Sunseap Academy in Batam, which will see to the hiring and skills sets transfer to more than 3000 locals who will be involved in building the world largest FPV and ESS.
Sunseap said the energy generated and stored will supply non-intermittent solar energy 24/7. A portion of the green energy will be consumed within Batam while the balance can potentially be exported to Singapore approximately 50km away via a subsea cable.
Muhammad Rudi, Chairman of BP Batam, said: “This investment by Sunseap will be a timely boost for Batam’s industries as they seek to reduce the carbon footprint of their operations. At the same time, it will create jobs and transfer skills to Batam’s clean energy sector.”
The project will be financed through a mixture of bank borrowings and internal resources. Construction is slated to begin in 2022 and to be completed in 2024.
