Storage

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

Published by

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.

If you would like to join more than 29,000 others and get the latest clean energy news delivered straight to your inbox, for free, please click here to subscribe to our free daily newsletter.

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.

Share
Published by

Recent Posts

Councils call for national climate compensation fund – and they want the polluters to pay

Local governments want a national fund to help pay for the soaring costs of climate…

19 June 2026

Burning forest “waste” to make cement is poor climate policy, poor environmental policy and bad economics

The Australian government has agreed to invest almost $53 million to help upgrade a coal-fired kiln to…

19 June 2026

Delaying clean energy is what really makes power bills soar

What is making us poorer is not the move to clean energy – it is…

19 June 2026

Energy Insiders Podcast: The problem with network tariffs

AEMC chair Anna Collyer discusses the pricing review, network tariffs, and the right of monopolies…

19 June 2026

“Great green incinerator:” Hanson channels Rinehart attacks on wind and solar, but it’s not all it seems

Gina Rinehart and her political protege Pauline Hanson launch new attack on wind and solar,…

19 June 2026

Big battery blitz: Six-hour giant with 4.8 GWh of storage approved as 8-hour project joins queue

One of the biggest isolated grids in the world continues to flex its energy storage…

19 June 2026