March 6, 2025: Ormat Technologies has entered the Israeli utility energy storage market after being awarded two tolling agreements for BESS projects in Israel with a combined capacity of around 300MW/1,200 MWh.

Nevada-headquartered Ormat, a geothermal and renewables company that has also moved into the battery storage market, said on February 13 it had won the Israeli Electricity Authority tender for two separate 15-year tolling agreements for the plants.

The company did not disclose the battery chemistry to be deployed, but said it will share ownership of the facilities on a 50-50 basis with Israeli infrastructure firm Allied Infrastructure. Ormat also expects to be involved in further energy storage projects in the country.

The partners are in the advanced stages of obtaining interconnection and land use permits for the projects, with commercial operation expected during 2028. 

The tolling agreements include an option for termination of the initial contract and move to participation in the merchant market.

Ormat already owns, operates, designs, manufactures and sells geothermal and its proprietary ‘recovered energy generation’ tech plants (converting waste heat from industrial processes to power) in the US, Africa, Asia and South America.

In 2023, planning chiefs in Israel approved a blueprint for an 800 MW/ 3,200MWh energy storage park comprising a variety of ESS technologies.

The energy and infrastructure ministry said the National Council for Planning and Construction had given the go-ahead for the project in the north of Haaretz — the first time Israel had approved a detailed national outline plan dedicated to energy storage.

Also in 2023, Israel’s Hakurnas Lead Works signed an equipment supply and licensing deal with ACE Green Recycling to set up battery recycling facilities.