Turnbull sells two pumped hydro storage projects to help AGL switch from coal to renewables

Two New South Wales pumped hydro energy storage projects being developed by former prime minister Malcolm Turnbull’s Upper Hunter Hydro have been snapped up by AGL Energy, as the gentailer – and Australia’s largest emitter of greenhouse gases – targets 12 gigawatts of new renewables and firming by 2035.

AGL says the two early-stage pumped hydro projects, Glenbawn Dam and Glennies Creek, propose to provide 770 MW and 623 MW of capacity respectively, each with 10 hours of storage, with the potential to integrate wind generation to the mix in the future.

AGL chief operating office Markus Brokhof says the acquisition of 100 per cent ownership of the two projects is an important example of the company’s efforts to add long duration storage to its development pipeline.

“Adding long duration storage such as pumped hydro is a focus for AGL as we continue to build out the breadth of our development pipeline to achieve our ambition of adding 12 GW of new renewables and firming by 2035,” Brokhof said in a statement.

“It is crucial the future energy system is developed with a spectrum of storage and firming, encompassing short, medium, and long-term storage technologies.

“The project has favourable topography and is located in the Upper Hunter NSW, continuing our ongoing commitment to the economy in the Hunter region.”

The two proposed pumped hydro projects are being solar to AGL by Upper Hunter Hydro, a company registered in early 2022 under the ownership of Wilcrow Pty Ltd – a Turnbull family entity that has traditionally held its pastoral properties in the Upper Hunter.

UHH – which counts Malcolm and Lucy Turnbull as directors, alongside hydro engineer Roger Gill, the former president of the International Hydropower Association – was in 2024 awarded a development agreement from WaterNSW to pursue the two projects.

The agreement gave UHH access to Glenbawn Dam, 10km east of Scone, and Glennies Creek Dam, 28km north of Singleton, for investigations to develop the pumped hydro project proposal through the feasibility and planning stages.

At the time, UHH said it would seek to secure all necessary approvals and consent for their projects and, if successful, construct and operate the projects, which could generate 1,400 construction jobs and 80 ongoing operations roles.

Malcolm Turnbull has long been an advocate of pumped hydro energy storage, in 2022 describing the collective global and Australia failure to plan and construct new projects as “the ignored crisis within the energy crisis.”

In his time as prime minister he helped lock in the federal government-backed development of the massive and perennially controversial Snowy 2.0 project in New South Wales, with an eye-watering multi-billion-dollar price tag and storage of 175 hours, or 350,000MWh.

In a statement this week, Turnbull – who is retiring from his role as chair of UHH – said AGL’s acquisition of the Upper Hunter projects was encouraging, given its financial and technical capability to deliver the projects.  

“Long duration storage will play a critical role in Australia’s future energy system, helping to keep the grid reliable by shifting renewable energy to match consumer demand,” Turnbull said.

“The Glenbawn and Glennies Creek projects are well placed to create jobs and drive investment in the Hunter which plays a pivotal role in the energy transition.”

He says Turnbull Renewables will continue to support the development of the projects.

AGL, meanwhile, says government support will be required to help bring the two major pumped hydro projects to market.

“AGL is encouraged by the NSW government’s decision to maintain 8+ hours as the definition for long duration storage as well as its increased targets for long duration storage,” Brokhof said.

“The attractiveness of pumped hydro is the long technical lifetime of a project, which can range between 80 and 100 years.”   

If you wish to support independent media, and accurate information, please consider making a one off donation or becoming a regular supporter of Renew Economy. Your support is invaluable.