Storage

Neoen doubles size of big battery in Australia’s biggest renewable energy hub

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Leading renewable energy and storage developer Neoen is to double the size of its Goyder battery in South Australia, after landing key contracts with the state government, as well as its previously announced supply deal with mining giant BHP.

Neoen gave the go-ahead to the first stage of Goyder battery in December, and has now given the go ahead to an equally sized second stage that will take the total battery dimensions to 454 megawatts (MW) and 1,814 MWh.

The battery is part of a major renewable energy hub that includes the 412.5 MW Goyder South wind farm, the 300 MW Goyder North wind project, which has planning permission to go to 1,000 MW.

A solar component of up to 600 MW had been mooted, but is now rarely mentioned, and the battery dimensions could grow to 900 MW and 3,600 MWh. Together they make the biggest renewable hub in the country, with excellent wind resources.

The go-ahead for the second stage of the Goyder battery comes after Neoen won two 15-year “firming” contracts with the South Australia government, that will require it to deliver 75 MW of capacity over an eight hour period from each stage of the project when called upon.

The contracts, along with those with four other battery projects, were announced in May, and are designed to help the state transition to, and beyond, its target of reaching 100 per cent “net” renewables by the end of next year.

See: Big batteries scoop the pool in grid firming tender that was also open to gas generators

“South Australia’s Firm Energy Reliability Mechanism is fast-tracking private investment in large-scale battery energy storage systems that will collectively more than double our state’s battery storage capacity,” said state energy minister Tom Koutsantonis.

That will significantly bolster the resilience of South Australia’s energy system. Neoen has already played a leading role in South Australia’s energy transition, and its Goyder Battery project is a big part of delivering on the next chapter in our journey.”

The longer duration batteries will be much needed as the state reaches its goal of 100 per cent net renewables, and to minimise the sort of crazy pricing events that have occurred twice this year when network and supply constraints leave the market exposed to the whims of the diesel and peaking gas generators.

The Goyder battery, along with the Goyder North wind project, is also part of a deal struck with BHP to supply green power to its giant Olympic Dam mine. Neoen struck a similar contract with BHP that involves the Goyder South wind farm and the Blyth battery.

Neoen built the world’s first big battery at Hornsdale in South Australia in 2017 and says it now has more than 10,000 MWh of battery storage operating or under construction around the world. Australia accounts for most of that with 2.7 GW and 9. 1 GWh.

The company has again turned to Tesla for the battery modules, and the project will feature the new Megablock battery technology that is being built in Shanghai. Site works will commend in August, and the asset is expected to begin operating in 2028.

“The launch of the second stage of Goyder Battery, just six months after the first, highlights the pace at which battery storage is becoming critical to Australia’s clean energy future,” said Jean-Christophe Cheylus, Neoen’s Regional CEO for Australia Pacific, said:

“It is also a testament to the hard work and dedication of our team and those of our partners. This is our 12th battery with Tesla in Australia, taking our combined capacity beyond 2 GW, and our 9th project with UGL. We are very proud of the role we continue to play in the State’s rapid transition to renewables.”

See also: The crazy diesel-fuelled price spikes that are giving the renewables transition a black mark

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Giles Parkinson is founder and editor-in-chief of Renew Economy, and founder and editor of its EV-focused sister site The Driven. He is the co-host of the weekly Energy Insiders Podcast. Giles has been a journalist for more than 40 years and is a former deputy editor of the Australian Financial Review. You can find him on LinkedIn and on Twitter.

Giles Parkinson

Giles Parkinson is founder and editor-in-chief of Renew Economy, and founder and editor of its EV-focused sister site The Driven. He is the co-host of the weekly Energy Insiders Podcast. Giles has been a journalist for more than 40 years and is a former deputy editor of the Australian Financial Review. You can find him on LinkedIn and on Twitter.

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