Government Signs Agreement to Install Battery Storage Systems on 18 Islands

The Government of Maldives has signed an agreement to install 38 megawatt-hours (MWh) of battery energy storage systems (BESS) across 18 residential islands, as part of its ongoing efforts to transition to renewable energy. The project is supported by the Asian Development Bank (ADB) under the Accelerating Sustainable System Development Using Renewable Energy (ASSURE) initiative.

The Ministry of Tourism and Environment confirmed the signing of the agreement on Monday, during a ceremony held at the ministry’s offices. The contract has been awarded to a consortium of three Chinese companies: Shijiazhuang Kelin Electric Co. Ltd., Gordian Nanjing Automation Co. Ltd., and Sino Soar Hybrid (Beijing) Technology Co. Ltd.

The installation will include energy management systems (EMS) alongside battery storage, aiming to reduce diesel consumption and enable greater integration of solar energy. Specific allocations include 3,000 kilowatt-hours (KWh) each for islands such as Manadhoo, Velidhoo, Thulhaadhoo, Thimarafushi, and Faresmaathoda. Islands like Milandhoo, Dharavandhoo, Guraidhoo, and Gadhdhoo will receive 2,500 KWh each, while others including Hanimaadhoo, Holhudhoo, Alifushi, and Maamendhoo will receive smaller capacities ranging from 500 to 2,000 KWh.

According to the Ministry, the project is expected to save approximately 8.4 million litres of diesel annually and reduce fuel expenditure by MVR 125 million. These savings are aligned with the government’s broader energy strategy, which targets shifting 33 percent of national energy consumption to renewable sources by 2028, as outlined by President Dr Mohamed Muizzu.

In parallel, the government continues to promote the “Magey Solar” programme, which focuses on expanding rooftop solar photovoltaic (PV) systems on homes and public buildings. The combination of battery storage and solar PV is expected to improve grid reliability and support further renewable energy integration.

Representatives from the Ministry and the contracting companies attended the signing ceremony, which marks a step forward in the Maldives’ transition toward a more sustainable energy system.