Bulgaria’s energy ministry said that it signed a memorandum of understanding with AES Bulgaria, a unit of U.S.-based energy corporation AES, which will see the company play a role in the country’s efforts to decarbonise and achieve ambitious 2030 and 2050 targets under the European Green Deal.
The agreement will allow AES Bulgaria to explore options for the development of a 100-MW solar-plus-storage facility and an 80-MWh standalone battery energy storage system (BESS) in the region of Sofia, the ministry said in a press release on Wednesday.
The MoU also stipulates that the power purchase agreement (PPA) between AES Bulgaria and the National Electricity Company (NEK) will not be extended beyond its agreed expiry date in May 2026, in line with Bulgaria’s national recovery and resilience plan which was approved by the European Council on Tuesday.
AES Bulgaria will also explore options for switching fully or partially to natural gas or hydrogen, biomass or solid waste fuel at its AES Galabovo coal-fired thermal power plant (TPP) after the PPA’s expiry.