The Energy Security Corporation’s key investment priorities have been unveiled, with the New South Wales Government revealing how the corporation will co-invest with the private sector for renewable energy projects in the state.
The Energy Security Corporation is seeded with $1 billion to help build a more reliable energy system. Its goal is to work with the private sector to plug investment gaps in the market, ensuring New South Wales homes and businesses can enjoy the benefits of renewable energy.
The key priorities for investment include short- to long-duration storage projects that capture excess renewable energy, to maximise use of electricity generated from solar and wind.
It will also cover projects that will upgrade infrastructure to ensure smooth operation of the grid coordinate and consumer energy resources in households, businesses and the community (such as virtual power plants).
The State Government said that the investment mandate is a key milestone in establishing the Energy Security Corporation, allowing it to begin investigating investment opportunities throughout New South Wales.
Paul Peters has been appointed as the corporation’s interim CEO to kick-off the Energy Security Corporation’s activities. Mr Peters brings significant experience in investment and financing, as well as developing energy and infrastructure assets and industrial decarbonisation projects.
The New South Wales Government said it will shortly appoint the inaugural Board.
New South Wales Minister for Energy, Penny Sharpe, said that the State Government will invest $1 billion in critical projects to deliver more affordable, clean and reliable energy to homes and businesses across New South Wales.
“After a decade of privatisation, the Energy Security Corporation gives the people of New South Wales the chance to invest in their energy system,” Ms Sharpe said.
“I congratulate Mr Peters on his appointment, and I am looking forward to the Energy Security Corporation supporting projects throughout New South Wales.”
The Energy Security Corporation will co-invest with the private sector on energy storage projects such as:
Large-scale batteries
Large-scale batteries store surplus energy generated by renewable sources like wind and solar, and release it when renewable generation is low or when demand for energy peaks.
Community batteries
A community battery is a shared battery installed in a central location within a neighbourhood that can store excess solar energy generated from homes in a community. The stored energy can then be shared with other homes in the community when demand is high, like in the evening or when it’s cloudy.
Pumped hydro
Hydro energy uses the force of moving water to create electricity. Hydro energy is capable of rapidly providing power on-demand, to supply electricity to consumers when it is needed.
Virtual power plants
A virtual power plant is a network that can connect your rooftop solar and battery to other participating homes and coordinate them, allowing them to work together. This means that if there’s a shortage of energy supply in the grid, the virtual power plant can draw on the collective energy to fill the gap. This can earn participating homes a profit from their excess energy.
The New South Wales Government said many small projects, when connected and coordinated, can be as impactful as a whole power station.
