The New South Wales Government is looking to boost energy reliability in the state with the release of the largest energy storage tender in New South Wales history.  

Projects developed through the tender will help ensure a steady and reliable supply of clean, affordable energy around the clock. They will play a significant role in the New South Wales Government’s transition to renewable energy, which will deliver reliable and affordable power to households and businesses at the same time as driving down emissions to meet net zero targets. 

Long-duration storage projects can bid for financial support under the new NSW Electricity Infrastructure Roadmap Tender 5 which is now open. This tender offers support for up to 1GW of projects, which can each release energy into the state grid for at least eight hours. 

The energy stored within 1GW of eight-hour long-duration storage is equivalent to the daily energy consumption of around 505,000 households. 

This tender will take New South Wales closer to its target of 2GW of new long-duration storage by 2030. 

Long-duration storage serves an important role as it allows renewable energy such as solar and wind to be stored and then released on demand when needed. Projects could include pumped hydro, batteries, compressed air storage and other technologies. 

This is the fifth tender under the NSW Electricity Infrastructure Roadmap, and the third for long- duration storage. It is open to projects connecting to new planned infrastructure in Renewable Energy Zones with Access Schemes, or existing infrastructure state-wide. 

Renewable Energy Zones are the power plants of the future. They group generation and storage projects in areas where there are plenty of renewable resources and connect them to transition lines to pump the electricity around New South Wales. 

The State Government is also announcing that a second Renewable Energy Zone is open for business. The new NSW Electricity Infrastructure Roadmap Tender 5 is accepting applications for the right to connect projects in the South West Renewable Energy Zone, around Hay. 

Companies can apply for access rights, which allow them to progress their connection to the electricity grid. 

Projects will compete for an initial 3.98GW of Access Rights, which unlocks the ability to generate enough electricity to power more than 1.9 million households. 

They will be assessed on their contribution towards and engagement with communities, and those awarded rights will pay fees to fund community benefit and employment programs in the region. 

The South West Renewable Energy Zone is expected to receive up to $2.8 billion in private investment by 2030. At its peak, it is expected to support more than 2,000 construction jobs in the region. 

AEMO Services is conducting the long-duration storage and South West Access Rights tenders, as the state’s independent Consumer Trustee. 

New South Wales Minister for Climate Change and Energy, Penny Sharpe, said that opening this tender for long duration storage projects and access to a second Renewable Energy Zone are milestones in the Electricity Infrastructure Roadmap. 

“They will deliver projects that ensure New South Wales has enough renewable energy generation and storage when coal-fired power stations retire. They also give certainty to investors and communities,” Ms Sharpe said.  

“Long-duration storage is a key part of our future energy system, ensuring we have power when we need it. 

“The opening of the second Access Rights process will ensure the right combination of projects can connect to the grid in a way that delivers for New South Wales electricity consumers and host communities. 

“It shows the State Government is getting the transition to a renewable energy system back on track so households and businesses can access affordable, reliable and clean energy to bring down bills and greenhouse gas emissions.” 

Image: The Desert Photo/  

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