Out-Law / Your Daily Need-To-Know
Australia shortlists over 3GW battery storage projects for funding
28 Jul 2022, 2:13 am
The Australian Renewables Energy Agency (ARENA) has shortlisted 12 battery storage projects with a total capacity of 3.05 gigawatts (GW) for its large-scale battery storage fund.
According to a statement by ARENA, the 12 shortlisted projects have a total capacity of 3,050 MW/7,000 MWh and ARENA has allocated A$297 million to the projects. The 12 projects were selected by ARENA from a pool of 54 expressions of interest (EOIs).
The shortlisted projects will compete for up to A$100 million in ARENA grant funding to support new construction projects and renovation of existing batteries across the country, with a minimum of 70 megawatts (MW) per battery.
ARENA launched the grant in January. It plans to support the development of up to three grid scale battery projects, in order to demonstrate how large scale battery projects can be incorporated into the grid.
Leanne Olden of Pinsent Masons said: “This investment by ARENA is critical to the transformation of the grid as we move towards a higher penetration of renewable energy in the grid. Large scale battery projects are able to provide critical system services, including grid stabilisation services, which might have traditionally been provided by synchronous condensers or other base load generators.”
“Involvement in the ARENA program also offers stakeholders a means to de-risk the development of battery projects, but also sends a signal to the market that Australia offers an attractive investment prospect for battery technologies,” she said.
The successful applicants for this round of funding will be announced in late 2022.
Contact an adviser
