The NSW Energy Security Corporation will invest $100 million in a large-scale battery platform across Sydney, Newcastle and the Hunter Central Coast. The investment will support four battery projects, with the network expected to reach up to 1 GW by 2031. The first 500 MW is planned for operation by early 2029, improving reliability as coal plants retire.
PROJECT SNAPSHOT
Project: Large-scale battery storage platform in NSW
Investor: New South Wales Energy Security Corporation
Developer: PLUS Grid Storage, a separate entity within Ausgrid Group
Investment: $100 million
Capacity: Battery network expected to reach up to 1 GW by 2031
Projects: Four battery projects
First sites: Steel River Industrial Estate in Newcastle and Homebush in Sydney
First two systems: 200 MW each
Remaining systems: Around 100 MW and 150 MW; locations not specified
Timeline: First 500 MW expected by early 2029, with a further 150 MW planned for late 2029
Purpose: To support electricity reliability as coal-fired power stations age and retire
Infrastructure: Projects will use existing electricity network infrastructure
Homes supported: Up to 118,000 homes a day after all four batteries are complete
The New South Wales Energy Security Corporation (ESC), a NSW Government-backed clean energy investor, will invest $100 million in a large-scale battery storage platform across Sydney, Newcastle and the Hunter Central Coast.
The investment will support four battery projects to be delivered by PLUS Grid Storage, a separate entity within Ausgrid Group responsible for building, owning and operating distribution-connected battery storage. The battery network is expected to reach up to 1 GW of capacity by 2031.
The initial phase of the rollout includes two 200 MW systems. One will be located at the Steel River Industrial Estate in Newcastle, while the other is planned for Homebush in Sydney. The remaining two batteries will have capacities of about 100 MW and 150 MW, although their exact locations have not been specified.
Once all four batteries are completed, they are expected to support electricity supply for up to 118,000 homes a day. The first 500 MW of storage is planned to be operational by early 2029, with another 150 MW expected later in the same year as NSW prepares for coal plant retirements.
The NSW Government said the funding will help improve electricity reliability as coal-fired generators continue to age and retire. The projects are being placed in grid areas where storage capacity is needed to support supply at the right time and location.
Works on the first project in Newcastle are expected to begin next month. The projects will use existing electricity network infrastructure, which the NSW Government said would help support faster delivery and reduce impacts on communities. PLUS Grid Storage will operate independently from Ausgrid’s regulated network business.
The Minns Labor Government set up the Energy Security Corporation to help fund energy projects that can support a reliable and secure electricity system in NSW. The corporation is designed to bring in private investment by co-investing in clean energy projects linked to grid reliability.
Minister for Climate Change and Energy Penny Sharpe said the first Energy Security Corporation investment would help accelerate battery projects needed to keep electricity reliable and affordable across the state.
Energy Security Corporation CEO Paul Peters said the investment was focused on one of NSW’s critical load centres, where demand is high, land is limited and storage needs are more immediate. He said PLUS Grid Storage’s ability to deliver the projects by 2029 and use existing infrastructure were factors in the investment decision.
Kelly Wood, Executive in charge of PLUS Grid Storage, said the Energy Security Corporation’s investment would support the development of large-scale battery storage across Sydney, Newcastle and the Hunter Central Coast.
The battery platform is intended to add storage capacity in high-demand areas of NSW as coal-fired generation exits the system. By locating the batteries near existing electricity network infrastructure, the program aims to support grid reliability while limiting the need for additional network works. The storage projects are also expected to help manage supply during peak demand periods and support the state’s changing electricity system.