After the closure of the FATE tire factory, its controlling company, Aluar, will use part of the site in San Fernando, Buenos Aires, to set up a Chinese battery park to store electricity and prevent summer power outages.
After the closure of the FATE tire factory in Argentina, Aluar, the controlling company, plans to install a park of Chinese batteries at the same site in San Fernando, Buenos Aires. The initiative aims to provide energy storage solutions that could help mitigate power outages during the summer months, which are often exacerbated by high electricity demand. This installation comes in the wake of Aluar winning the "Alma-GBA" tender for electricity storage, further establishing its role in the energy sector alongside its main aluminum business.
The area surrounding the factory is home to nearly 40% of Argentina's population, resulting in significant electricity consumption. This high demand has been at odds with inadequate infrastructure for both generation and transmission, creating a challenge for energy supply in Buenos Aires and its surroundings. The installation of the battery park represents a strategic move by Aluar to address these infrastructure deficiencies and cater to the growing energy needs of the region.
Aluar acquired 12.7 hectares of the FATE site for $27 million and will utilize 1.1 hectares for the battery installation. By diversifying its operations into energy storage, Aluar is not only expanding its business footprint but also contributing to solutions aimed at bolstering the electricity supply in an area that has been facing persistent energy challenges. This move is seen as a positive step towards improving energy resilience in one of Argentina's most densely populated regions.
