Giant energy storage facility takes shape in China's Kubuqi Desert

The 3GW/12.8GWh Gushanliang energy storage power station project is under construction. (Photo/Wang Zheng)

In the heart of the Kubuqi Desert in Dalad banner, Ordos, north China's Inner Mongolia autonomous region, more than 3,000 workers are building one of China's most ambitious energy storage projects: the 3GW/12.8GWh Gushanliang energy storage power station.

"A facility of this scale, under a peak load assumption of 10 kW per household, could simultaneously meet the electricity needs of around 300,000 households," explained Wang Ning, head of the planning and development department at the Ordos power supply company of Inner Mongolia Power (Group) Co., Ltd.

Covering approximately 1,100 mu (73 hectares) and backed by an 11.2 billion yuan ($1.58 billion) investment, the massive "power bank" comprises rows of battery storage cabins currently, many of which are now undergoing installation and testing.

"These two fastest-progressing stations are on track to begin operations by the end of the year," said Chen Jiayi, project development lead for the Gushanliang project at China Electric Energy Storage.

Why build a gigantic energy storage complex in the desert?

The Kubuqi Desert is abundant in wind and solar resources, making it an ideal site for large-scale renewable energy development. Once all ongoing projects in Dalad banner are connected to the grid, the area is expected to generate approximately 40 billion kWh of electricity annually.

Yet abundant power alone does not guarantee effective utilization. "Without storage, surplus electricity may go to waste or fail to reach users efficiently," Chen explained.

Energy storage stations address this challenge by enabling "load shifting" -- storing excess electricity generated during low-demand periods and releasing it during peak periods, effectively functioning as a massive battery. Additionally, they offer frequency regulation services, helping to stabilize grid operations when supply and demand fluctuate.

Placing storage facilities near new-energy bases and major grid nodes minimizes transmission losses and reduces costs. "We also consider factors such as geological conditions and environmental impact in site selection," said Zhang Kai, project manager at Inner Mongolia Electric Power Survey & Design Institute Co., Ltd.

Once fully operational, the 3GW/12.8GWh energy storage power station is expected to deliver 3.6 billion kWh of clean electricity to the grid each year. According to Wang, the facility will be connected to the 500kV Gushanliang substation, initially serving industrial and residential users in Ordos and western Inner Mongolia, while also transmitting electricity to northern China to support broader clean energy adoption.

Ordos is rapidly emerging as a hub for large-scale energy storage. To date, the city has completed 23 storage projects, with 12 under construction and 17 more in planning. In a related development, a 100MW/400MWh Mingyang smart energy storage demonstration project by Mingyang in Hanggin banner is expected to come online by the end of November, further expanding the region's capacity.

"Standalone new-type energy storage stations function like power plants when discharging and act as electricity consumers when charging. The price difference between peak and off-peak periods creates profit opportunities, drawing more companies to the sector," explained Li Kai, head of the comprehensive support center at the energy bureau of Dalad banner.

Officials from the Ordos energy bureau emphasized that the region will continue advancing a new energy-dominant power system, supporting China's broader goals of energy transition and sustainable economic development.