Hunter Valley solar and battery project next to shuttered coal mine gets federal green tick

A contested solar and battery project in the heart of New South Wales coal country has been cleared for construction after getting the green tick of environmental approval from the federal government.

Renewables developer OX2 said on Wednesday it has received EPBC approval for the Muswellbrook solar and storage project, as part of plans to convert the oldest open cut mine in the Hunter Valley into a renewable energy precinct that may also include green hydrogen.

The 135 megawatt (MW) solar farm and 135 MW/270 megawatt-hour (MWh) battery will be installed adjacent to the Muswellbrook Coal Mine, which ceased operations in 2022, on land primarily owned by mine operator and project co-developer Idemitsu Australia.

The project secured state development approval in May from the Independent Planning Commission, having been referred for fresh assessment after more than 50 public objections were filed against the project.

A submissions report put together by EMM for the project developers showed that the majority of objections to the project had not come from locals, with 60 per cent coming from more than 100 km away from the proposed solar farm, including half a dozen from Queensland.

The Commission Panel concluded that the site of the former coal mine was suitable for the solar and battery project, which it deemed to be in the public interest and in line with NSW renewable energy and emissions targets.

But the IPC also imposed specific conditions, including a road safety audit, a waste management plan, a biodiversity management plan, and an accommodation and employment strategy, along with a comprehensive decommissioning and rehabilitation plan.

It is unclear what conditions, if any, have been attached to the project’s approval by the federal environment minister, as notice of the project’s approval had not been published on the EPBC portal at the time of publication.

The most recent update for the project was published in late July, pushing out the deadline for the minister to make a decision to August 12, 2025.

Nevertheless, OX2 is claiming the approval as a key step forward in the state’s transition from coal to renewable energy.

“This is a leading example of the transition of the Upper Hunter Valley from coal mining to innovative post-mining land uses,” said OX2 Australia’s director of development, Catherine Way, in a statement on Wedensday.

“I’m proud to see the continued progress of our projects in Australia,” added Stephen Symons, the country manager of OX2 Australia, which is headquartered in Sweden.

“These approvals reflect the strength and professionalism of our team, as well as the growing momentum behind renewable energy across the country.”

OX2’s portfolio in Australia currently includes 3.7 GW of solar, wind, and storage projects under development and construction. OX2 also provides management services for renewable energy assets, with 390 MW currently under management in Australia.