One of Australia’s biggest battery projects seals new contracts with renewable-focused energy retailers

Neoen Australia has announced two new “virtual” contracts for the latest stages of what will be one of the biggest battery projects in the country, and the biggest to date in Queensland.

The new deals for the Western Downs battery have been signed with energy retailers Smartest Energy and Nectr, and will take the number of “virtual” deals signed with the battery project to five.

The Western Downs battery has already doubled in size from its original dimensions of 270 megawatts (MW) and 540 megawatt hours (MWh), and a new four-hour component that is currently being built will take its total capacity to 845 MW and 2,300 MWh.

Neoen says Nectr will take 2-hour capacity contracts with Stage 2 of the battery project, and 4-hour capacity services from stage 3. These appear to be similar arrangements agreed with Engie in a deal announced last December that included two deals, one at 25 MW and 50 MWh and the other at 50 MW and 200 MWh.

SmartestEnergy will receive up to four hours of capacity services (50 MW and 200 MWh) from stage 3 of the project.

Neoen had already sealed virtual battery contracts with major retailers AGL Energy and Shell for the Western Downs battery, which is located next to the 400 MW Western Downs solar farm.

Neoen says construction of Stage 3 of the battery is progressing well, and the site is being prepared for the installation of 312 Tesla Megapack 2XL units before the end of the year, with operations to start over the summer of 2027/28. The construction is being managed by UGL with the help of local contractors.

Note: This story has been updated at the request of Neoen to remove some contact details which are said to be commercial in confidence.

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