Another grid-scale battery faces siting pushback in Australia

A big battery in Australia faces more hurdles to get approval as a local council, the third layer of government in an Australian state, formally opposed the proposed location of Potentia Energy’s 125 MW / 500 MWh Blanche battery energy storage system (BESS) near Mount Gambier in South Australia.

Potentia Energy was formerly known as Enel Green Power Australia, but after Italy’s Enel Green Power sold a 50% stake to the Japanese oil and gas giant INPEX, the new joint venture was renamed.

The four-hour Blanche BESS was first moving through submissions in April 2024 and was originally targeting an operational timeframe by the end of 2027. The project had an early cost estimate of $170 million (AUD $240 million). Later estimates are now for construction to commence at the end of 2026, with operations due to begin at the end of 2028, at a slightly lower cost of AUD$220 million.

Opposition

The District Council of Grant opposed the proposed location, though not the project itself, as scrutiny of BESS projects increases as they move through assessment phases.

At its 16 February meeting, the council resolved to oppose the project “as proposed” at 25 McKay Road, Compton, while stating general support for battery storage developments in more suitable locations.

In its resolution, the council directed its CEO to lodge a submission raising concerns about proximity to existing and planned housing, fire risk, potential hazardous gas emissions, noise, traffic impacts and possible effects on the Blue Lake catchment, including groundwater and rainwater tanks relied upon by rural residents. It also requested independent technical verification of fire and gas emission modelling submitted with the project documentation.

Authority lies elsewhere

While the District Council of Grant is opposing the location of the Blanche BESS, it does not have final approval authority under South Australia’s Hydrogen and Renewable Energy Act. The Minister for Energy and Mining determines licensing outcomes following both general public and stakeholder consultation.

The council has also asked the Department for Energy and Mining to convene a meeting with council administration and transmission network operator ElectraNet to identify alternative substation locations within the district that better align with strategic land-use planning and residential growth areas.

Before the council’s rejection, In a statement provided to ABC News, Potentia Energy said it had already modified the proposal four times. “These changes include increasing buffers around the yard to maximise separation from existing and future dwellings, repositioning infrastructure to increase distance to sensitive receivers.”

Grant District Council mayor Kylie Boston also told ABC News the council believed other sites in the region may be more appropriate. “We do have other locations in our council area which potentially could be suitable for projects like this,” she said.

Public consultation on the Associated Infrastructure Licence application remains open on the Department for Energy and Mining website until 10 March 2026.