Shikun & Binui Breaks Ground on 150MW Solar-Storage Hybrid Plant in Israel's Ashalim Desert

Israeli energy developer Shikun & Binui Energy has officially commenced construction on a pioneering 150-megawatt solar photovoltaic plant paired with 460 megawatt-hours of battery storage at the Ashalim solar complex in the Negev Desert, marking one of Israel's most ambitious renewable energy projects to date. The project, which broke ground in the first quarter of 2026, is expected to take approximately 18 months to build before entering full commercial operation. By co-locating the solar farm with a massive battery storage facility, Shikun & Binui aims to address one of the biggest challenges facing Israel's renewable energy transition: grid stability during evening peak demand hours. ## Leveraging Existing Infrastructure A key strategic advantage of the project lies in its location within the boundaries of the existing Ashalim solar-thermal complex, one of Israel's iconic renewable energy sites visible from space thanks to its 240-meter solar tower. By building within an already-developed solar zone, the company can utilize existing grid connections, access roads, and land permits — significantly reducing both costs and construction timelines. "We are demonstrating that Israel can achieve large-scale solar-plus-storage deployment without requiring new land allocation," said a Shikun & Binui Energy spokesperson. "The Ashalim site already has the grid infrastructure to support this capacity, which accelerates our path to operation." ## Battery Storage as Grid Backbone The 460 MWh battery storage component represents one of the largest standalone battery installations in the Middle East. The system will enable the facility to store solar energy generated during peak daylight hours and discharge it during the evening demand surge — typically between 5 PM and 10 PM — when solar output drops to zero. Israeli grid operator Noga has repeatedly identified the evening ramp period as the most critical challenge in integrating large volumes of solar capacity. The Ashalim storage facility will help smooth this transition, reducing Israel's reliance on natural gas peaker plants that currently fill the gap. Energy analysts project that the combined solar-storage facility will generate enough clean electricity to power approximately 60,000 Israeli households annually while displacing an estimated 180,000 tons of CO2 emissions per year. ## Advancing Israel's 2030 Targets The project directly supports Israel's national target of generating 30 percent of its electricity from renewable sources by 2030. As of early 2026, Israel's installed renewable capacity stands at approximately 6.5 GW, with the government targeting 17.1 GW by the end of the decade — requiring a near-tripling of current capacity in just four years. Shikun & Binui's Ashalim project joins a pipeline of major solar developments, including EDF Renewables' 300 MW Dimona project and the 330 MW Negev Desert Solar PV Park, collectively adding over 600 MW of new capacity to the national grid. Industry observers note that the integration of battery storage with solar generation is becoming the standard for new Israeli renewable projects, reflecting global trends and regulatory incentives from the Ministry of Energy. The government's 2025 battery storage tender, which sought 1.5 GW of new storage capacity, has further accelerated investment in the sector.