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New South Wales Tender Delivers 3 GWh of Battery Storage
All projects selected under the second grid firming tender round in New South Wales (NSW), Australia, are now operational. These projects collectively provide approximately 1 GW of power and 3 GWh of storage capacity, equivalent to about 8% of NSW's projected peak demand for summer 2026. This represents an investment exceeding AU$1.8 billion and created over 1,500 jobs during construction. Major projects like AGL Energy's Liddell BESS and Akaysha Energy's Orana BESS have been successfully delivered.
All projects selected under the second tender round for grid firming in New South Wales (NSW), Australia, are now operational. These initiatives, part of the NSW Electricity Infrastructure Roadmap, collectively deliver approximately 1 GW of power and 3 GWh of storage capacity. This equates to about 8% of NSW's projected peak demand for the summer of 2026 and represents an investment exceeding AU$1.8 billion, creating over 1,500 jobs during construction.
The tender awarded Long-Term Energy Service Agreements (LTESAs) to four projects. Among the largest is AGL Energy's 500 MW/1,000 MWh Liddell BESS, built on the site of a former coal-fired power station. Akaysha Energy also made a significant contribution with its 415 MW/1,660 MWh Orana BESS, which became commercially operational in June 2026. According to Nick Carter, CEO of Akaysha Energy, the completion of the projects shows how government policy and private investment can work together effectively. Iberdrola Australia opened the 65 MW/130 MWh Smithfield BESS in February 2026, next to an existing gas-fired peaking plant. In addition, Enel X has delivered three virtual power plants (VPPs) with a combined flexible demand capacity of 95 MW.
The LTESA structure has proven crucial, because it gives these projects revenue certainty through supplementary payments, while requiring availability of at least 90% per year and obliging projects to respond to critical 'Lack of Reserve' events. AusEnergy Services Limited (ASL) has completed more than six further rounds for generation, long-duration storage and grid firming since the first tender. More tenders are planned, including one for 2.5 GW of generation and 12 GWh of long-duration storage, with further tenders expected in the fourth quarter of 2026 and the first quarter of 2027.
These developments mark an important step in the energy transition of NSW and in the reliability of the grid, by supporting projects that can be delivered on time and offer a financial benefit to electricity consumers. The information for this article comes from Energy-Storage.News.
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Talk to Oranje-Eco →This article is an Oranje-Eco summary of a report by Energy-Storage.News. Read the original: Energy-Storage.News.
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