EnergyAustralia is a big winner under Labor Party’s renewable energy guarantee

EnergyAustralia – owned by CLP Group, one of the largest integrated energy companies in Asia Pacific – received CIS guarantees for two renewable energy projects in the pilot auction.

The first project was a 350-megawatt battery at the Jeeralang gas-fired power station in Victoria’s Latrobe Valley, which will power more than 400,000 homes for up to four hours. The second project was a 50-MW grid-scale battery at the Hallett gas-fired power station, 200 kilometres north of Adelaide, which will power 81,000 homes for up to four hours.

The projects were among six projects with revenue guarantees and are expected to deliver 1,000 MW of battery storage by 2027 (target: 600 MW).

Announcing the winners on Wednesday, Mr Bowen will say the result shows the strength and quality of the projects that can now be delivered. He will also stress the importance of projects that add value to communities, many of which will be affected by the energy transition to net zero emissions by 2050.

“These projects will improve reliability, reduce pressure on electricity prices and help us achieve a net zero economy. But they will also bring huge benefits to local communities,” he will say. “Importantly, these benefits will be realised now, not in 20 years’ time.”

Other projects receiving support include Victorian Springvale Energy Hub, a 115 MW two-hour runtime battery system being developed by Project Power; and in South Australia, the Clements Gap 60 MW battery operated by Pacific Blue; the Solar River battery storage project operated by Zen Energy and Pacific Green’s Limestone Coast West 250 MW lithium-ion battery.

In June, Bowen announced that the first proper auction under the CIS program, designed to support six gigawatts of renewable energy, had received bids from more than 100 projects with a total production of 40 gigawatts, far exceeding the policy target of 32 gigawatts by 2030.

The 32 GW target includes 23 GW of renewable capacity, representing $52 billion in investment, and 9 GW of clean, demand-responsive capacity, representing $15 billion in investment. Of the target, 14 GW will be awarded through competitive tenders, while the remaining 18 GW will be delivered through renewable transition agreements with states and territories.