PVTIME – The Brazil-based energy firm YOU.ON Energia has formed a strategic partnership with the Chinese storage specialist HyperStrong, with the aim of delivering customised battery energy storage solutions for Brazil’s upcoming capacity reserve auction, scheduled for December 2026. The partnership involves the development of a hybrid BESS model that combines imported battery cells with local market system integration work carried out in Brazil.
HyperStrong will supply the core battery cell hardware for this project from its overseas manufacturing base. YOU.ON Energia will oversee local assembly, site-specific engineering, compliance checks, and after-sales services to satisfy Brazilian regulatory requirements for grid-scale storage assets. This mixed model strikes a balance between competitive international cell sourcing and the local content expectations set for participants in the national capacity reserve tender, known as LRCAP.
Brazil’s December 2026 capacity reserve auction is one of the country’s flagship procurement events, targeting new grid-connected battery storage capacity. Contenders must submit fully compliant BESS proposals capable of delivering firm power reserves for the national interconnected power grid. By combining overseas cell supply with domestic integration capacity, the joint offering enables both companies to bid for storage blocks while complying with local industrial regulations.
Market observers note that hybrid supply approaches like this have gained traction across Latin America. They enable international battery vendors to access regional auction pipelines while enabling local partners to create value through on-the-ground engineering, support with permits and long-term operational maintenance. Neither party has disclosed the exact MWh volume targeted for the auction bidding round.
