Skip to content

Green light for Australia’s largest grid-forming battery

Australian Renewable Energy Agency (ARENA) 2 mins read
AGL Liddell Battery render - Image: AGL

Australia’s largest battery with grid-forming inverter capabilities is set to go ahead, with AGL today reaching a Final Investment Decision (FID) on a 500 MW / 1,000 MWh grid-forming battery in Liddell, New South Wales. 

Announced last year on behalf of the Australian Government, the Australian Renewable Energy Agency (ARENA) conditionally approved up to $35 million in funding to the project, as part of the $176 million Large Scale Battery Storage Funding Round. 

The grid-scale battery will be built on the site of the retired Liddell power station and will form part of AGL’s Hunter Energy Hub planned for the site. Originally planned at half the size (250 MW / 500 MWh), AGL decided to expand the size of the battery, which will help to provide important systems services to the Hunter region. 

ARENA’s Large Scale Battery Funding Round announced last year saw conditional funding be awarded to eight grid-scale battery projects across Australia. Each battery will be equipped with grid-forming inverter technology, allowing them to provide essential system stability services traditionally provided by synchronous generation such as coal and gas. 

At the time, these battery projects from AGL, Origin, Neoen, FRV, Risen and TagEnergy represented a tenfold increase in grid-forming electricity storage capacity operating in the National Electricity Market. 

As Australia’s electricity system switches to higher rates of inverter-based generation such as wind and solar, new ways of delivering system services are needed to keep the grid stable. Grid-forming inverters are one of the missing pieces of the puzzle that will help to support the transition to 100% renewables. 

ARENA CEO Darren Miller welcomed the FID announcement, highlighting the importance of utilising all the capabilities available from renewable energy technologies. 

“As new solar and wind connects to our grids, we’re going to need increasing amounts of energy storage to continue to provide reliable electricity to our households and businesses. However, as coal and gas generators retire, or start to play a lesser role, we’ll also need these new batteries to provide the crucial system security services that are currently provided by these traditional generators.” 

“This is why it is important to fund batteries like AGL’s that are equipped with smart inverter technology which can help stabilise the grid as we transition to renewables.” 

“We look forward to the construction of AGL’s battery in Liddell and expect to see the other ARENA funded grid-forming batteries reach similar milestones in 2024.” 

AGL’s Managing Director and CEO, Damien Nicks, said: “We are excited to approve another major grid battery project in our development pipeline, supporting the local economy and creating energy transition jobs at our Hunter Energy Hub.” 

Prior to the Large Scale Battery Storage Funding Round, ARENA has previously provided $81 million in funding for eight grid-scale batteries, including five with grid-forming capability at a smaller scale. This included the 150 MW / 300 MWh Riverina Battery at Darlington Point and the 150 MW / 194 MWh Hornsdale Power Reserve in South Australia, which are currently the largest operating grid-forming batteries in Australia. 

The previous projects have highlighted the potential of grid-forming batteries and the need to support further projects at a larger scale to build experience with the technology, de-risk investment and drive further innovation from inverter manufacturers.  

AGL’s Liddell battery will begin construction in early 2024.


More from this category

  • Aviation, Energy
  • 24/07/2024
  • 12:40

HIF Global signs collaboration agreement with Airbus for Sustainable Aviation Fuels

Agreement paves the way for e-Fuels, made from renewable electricity, water, and recycled carbon dioxide, to reduce net CO2 emissions in the aviation sector Farnborough, July 23, 2024. HIF Global has announced the signing of a Memorandum of Understanding with Airbus to advance the global development of eFuels for aviation (“e-Sustainable Aviation Fuel” or “e-SAF”) via the methanol to jet fuel (“MTJ”) pathway. The MoU provides a framework for negotiation of definitive agreements in relation to four key workstreams: technical, project development, commercial and advocacy. The collaboration was signed at the Farnborough Air Show in England, one of the most…

  • Energy, Environment
  • 23/07/2024
  • 12:23
Climate Council

It’s time to end offshore gas exploration licenses for good

TUESDAY 23 JULY 2024FOR IMMEDIATE RELEASE Responding to today’s release of exploration licences for gas off the coast of Victoria and Western Australia, Climate Council Head of Policy and Advocacy Dr Jennifer Rayner said: “Gas exploration has to stop because the extraction and burning of this expensive and polluting fossil fuel has to stop. More gas means more climate pollution harming our kids and more unnatural disasters driving up our costs of living. “We are already using less gas in Australia as homes and businesses embrace affordable and reliable clean energy. International demand for gas is forecast to peak before…

  • Energy, Political
  • 22/07/2024
  • 15:27
Climate Council & Smart Energy Council

*REMINDER: MEDIA BRIEFING* Understanding Australia’s Energy System: A guide to the National Energy Market

Energy is shaping up to be a key election issue, and Australia’s energy system is complicated and changing. The Climate Council and the Smart Energy Council are hosting a background briefing for journalists on the essentials of the Australian energy system, particularly thinking of those of you who might be new to the energy beat, need a refresher on the system or have a burning question for an expert. Our independent experts will explain what the east coast grid and National Energy Market actually look like, and what we do and don’t need to ensure a reliable supply in the…

Media Outreach made fast, easy, simple.

Feature your press release on Medianet's News Hub every time you distribute with Medianet. Pay per release or save with a subscription.