Portugal’s former Pego Power Plant joins national renewable‑storage auction

The Ministry of Environment and Energy confirmed that the former Central do Pego is an eligible site for Portugal’s upcoming national auction of up to 300 MVA for renewable‑energy projects that include storage. The capacity will be allocated across the national transmission network at Abrantes, Rio Maior, Sines and Santo André and is not reserved for any single location.

The coal‑fired plant, shut down in 2021, retained roughly 600 MW of grid‑connection capability. About 280 MW of this is already assigned to Endesa’s “Just Transition” project, which entails a €600 million investment in renewable generation and green hydrogen. The ministry indicated that approximately 300–320 MW of free capacity remains available for future investments.

Local officials highlighted the potential for job creation and economic dynamism, noting a 2.5 % annual compensation of net project revenues to host municipalities. The National Storage Strategy targets 3 GW of battery storage by 2030 and 4.5 GW by 2040 to bolster renewable integration and grid security. Public consultation on the auction documents runs until late July, with final texts to be published on 24 August and applications opening on 14 September.