The batteries will have the capacity to run for up to four hours. Credit: The Desert Photo / Shutterstock.

The Australian Capacity Investment Scheme (CIS) is set to bolster energy storage capabilities in Victoria and South Australia with support for six new large-scale battery projects.

The initiatives represent 3.6 gigawatt hours (GWh) of capacity and are part of the government’s commitment to enhance renewable energy dispatchable capacity and grid reliability.

Go deeper with GlobalData

Data Insights

The gold standard of business intelligence.

Find out more

Related Company Profiles

View all

In Victoria, EnergyAustralia will operate the Wooreen 350MW lithium-ion battery system at the Jeeralang power station site in Hazelwood North.

Project Power is also set to develop the Springvale Energy Hub, a 115MW lithium-ion battery system, on a former landfill site in southeastern Melbourne.

South Australia’s energy landscape will see the addition of the Limestone Coast West 250MW lithium-ion battery by Pacific Green Energy near Mount Gambier, and Zen Energy’s Solar River 170MW lithium-ion battery, which will accompany a 230MW solar farm north of Adelaide.

See Also:

Pacific Blue will manage the Clements Gap 60MW lithium-ion battery at the Clements Gap wind farm, and EnergyAustralia will own the Hallett 50MW lithium-ion battery in Canownie.

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

The allocation from the CIS tender will deliver an additional 1,630 megawatt hours (MWh) of capacity to Victoria and 1,996MWh to South Australia.

It is estimated that these batteries, capable of running for up to four hours, will provide dispatchable energy that can supply peak electricity demand for a million homes.

The projects, which are conditional on signing a capacity investment scheme agreement, are expected to commence operations by mid-2027.

The CIS aims to encourage new investment in renewable energy dispatchable capacity, such as battery storage and generation from solar and wind, to meet growing electricity demand and fill reliability gaps as older coal power stations are phased out.

The Australian government has also indicated that two more CIS tenders are currently underway, with the next tender anticipated to open in late 2024.

In August 2024, the Australian Senate approved the Net Zero Economy Authority (NZEA) Bill, marking a step towards creating an independent statutory body for the nation’s energy sector.