The European Investment Bank (EIB) has approved a €300 million loan to fund the construction of the Salto de Chira pumped-storage hydroelectric power plant on Gran Canaria. This significant project, developed by Red Eléctrica, a subsidiary of Redeia, aims to strengthen the island's energy security and support renewable energy integration by using two water reservoirs at different elevations to store and release energy as needed.

With an installed power capacity of 200 MW and energy storage of 3.5 GWh, Salto de Chira is expected to optimize renewable energy usage, reducing energy waste from surplus generation and bolstering the island's power grid. The project includes a desalination plant to aid water storage, benefiting local agricultural communities by providing access to irrigation resources.

Jean-Christophe Laloux, Director General of Operations in the EU at the EIB, emphasized the project’s alignment with EIB’s goals for territorial cohesion and climate action, stating that it "reflects the EIB’s commitment to climate action." Roberto García Merino, CEO of Redeia, added that energy storage is crucial for the Canary Islands, which, as an isolated power system, relies heavily on renewable integration to decrease dependency on fossil fuels.

This project is anticipated to enhance economic growth and job creation on Gran Canaria, marking a key step toward a more resilient and green energy system for the Canary Islands.

Source: energyglobal.com