Queensland to build 200MWh big battery next to country’s biggest coal unit

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The Queensland state government has announced it will build a 100MW two hour battery at Kogan Creek, next to the coal generator of the same name and a proposed renewable hydrogen hub.

The 100MW/200MWh Chinchilla battery will be built by the state-owned generation company CS Energy, will use Tesla Megapack technology and is expected to be operational in late 2023.

Queensland’s first big battery – the 100MW/150MWh Wandoan South installation – is just entering the market now, and Genex is building the Bouldercombe big battery, along with its Kidston pumped hydro installation in the north of the state.

The state government promised a major roll out of big batteries following the spectacular explosion at the Callide C coal plant last year, when it realised that battery could have played a key role in maintaining grid security, and lower prices, in the chaos that followed.

As part of its “battery blitz”, it announced that another state owned energy company Stanwell would built a 150MW, two hour battery at the Tarong coal fired generator, which could be expanded down the track.

A number of even bigger batteries have been proposed, but not finalised, including a 2GWh big battery by billionaire Andrew Forrest, by Neoen to support its Western Downs and Kaban renewable hubs, and others.

The siting at Chinchilla, next to the coal generator, means that the Kogan Creek and Tarong coal generators in Queensland, the Eraring, Liddell and Mt Piper coal generators in NSW, and the Loy Yang  and Yallourn coal generators in Victoria will all have big batteries sited next door, some of them timed to support the grid after their closure.

Kogan Creek power station comprises a single 750MW generator, the largest in the country.

Chinchilla is located in the Western Downs region of the state, which is emerging as a key renewable energy hub, being the site of the biggest solar farm proposed in the state so far, the 420MW Western Downs solar farm, and the 1.02GW MacIntyre wind complex being built by Acciona and CleanCo.

Treasurer and minister for trade and investment Cameron Dick said the $150 million Chinchilla battery was expected to create up to 80 jobs during construction and up to 10 jobs when operational.

“Queensland has the natural resources of wind, sun and water to be a renewable energy superpower,” Dick said.

“As we work towards our target of 50 per cent renewable energy by 2030, we can also support more jobs in new industries right across regional Queensland.”

Minister for energy and renewables Mick de Brenni said the state was stepping in to fund new grid-scale batteries because the Palaszczuk Government believes in a sustainable future for Queensland’s publicly owned energy companies.

“This battery represents further diversification of energy and modernisation of Queensland publicly owned power companies,” de Brenni said.

“Queenslanders want clean energy, but they also want reliable energy, so the inclusion of batteries into the CS Energy portfolio will support further expansion of their variable (renewable) energy assets alongside existing traditional generation.”

CS Energy CEO Andrew Bills said the battery would be built next to Kogan Creek Power Station, providing its employees with exposure to new assets, training and skills as Australia’s energy sector transforms.

“This project is about utilising the Kogan Creek site’s existing attributes of grid connection, water, land and workforce to create new opportunities,” Bills said.

“Adding firm, fast start generation assets to CS Energy’s portfolio will enable us to more effectively respond to the changing demand and shape of the National Electricity Market.”

See RenewEconomy’s Big Battery Storage Map of Australia

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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