Western Australia tender attracts seven times planned capacity, awards 2.6 GWh of battery storage

Four new big battery projects have been awarded in Western Australia (WA) as part of the state’s first tender under Australia’s CIS. The national CIS program aims to drive 9 GW of energy storage systems by 2030 to provide clean, dispatchable grid electricity, as well as 23 GW of renewables generation capacity.

The WA projects total 654 MW/2,595 MWh, enough to supply the peak electricity load for more than 600,000 homes for four hours.

The tender attracted bids for seven times more project capacity than the 500 MW aim of the procurement exercise.

Federal climate change and energy minister, Chris Bowen, said the government is working renewable investment into the energy grid at record levels. “Now we’re seeing investors and developers out-competing each other for the chance to deliver even more of the cheapest form of energy for Western Australia this decade,” Bowen said. Referring to the leader of Australia’s opposition, the Liberal Party of Australia, Bowen added, “Peter Dutton wants to stop the renewable rollout, and squander Australia’s natural advantages; the sun and wind resources that are the envy of the world.”

The WA projects must be operational by October 2027 and must raise grid reliability and demonstrate the ability to reduce electricity prices in the state’s Wholesale Electricity Market (WEM).

The projects are PGS Energy’s 324 MW Boddington Giga Battery at Marradong, 120 km southeast of Perth; Atmos Renewables’ 100 MW Merredin Big Battery, 230 km east of Perth; Neoen’s 150 MW Muchea Big Battery, 43 km northeast of Perth; and stage one of Frontier Energy’s 80 MW Waroona Renewable Energy Project, 120 km south of Perth.

The projects will back up WA’s South West Interconnected System (SWIS) grid, which includes Perth.

The four developers have committed a total AUD 145 million ($92 million) to local community projects and AUD 41.5 million for local First Nations group initiatives. The developers say they will spend more than AUD 712 million on local content and bring an AUD 63.5 million boost to employment, including through funding for local vocational education and training programs and commitments to employ local apprentices.

Around a third of WEM electricity already comes from cheap, clean, reliable renewable energy, with a record breaking peak, last year, of more than 84%.

The next WA tender for clean energy generation and storage is scheduled for mid-year, with consultation now open for feedback on the tender design.

From pv magazine Australia.