Neoen, a French firm, has won a two-year storage contract from the Australian Energy Market Operator to expand a battery in Collie, Western Australia. This expansion will make it the largest energy storage site in Australia and is set to serve the state’s biggest power grid starting in October 2025. Stage one of the battery at Collie is currently under construction and is expected to be operational by December 2024, with the capacity to charge or discharge 200 megawatts over four hours. This investment comes as the state government allocated $2.8 billion in their 2023 budget for energy storage, wind generation, and upgrades to the transmission system, as the state transitions toward renewable energy sources.
Kate Ryan, the AEMO manager for Western Australia, has welcomed the investment in the Collie battery by Neoen, noting that it will play an important role in supporting the state’s future energy needs as coal-fired generation retires. The growth in demand for power in the state’s populous south-west, combined with an increasing installation of rooftop solar panels, has created a complex energy supply landscape. The slow progress in building new wind farms further complicates the situation, requiring substantial amounts of additional renewable and gas generation before the closure of Synergy’s last two coal-fired power plants in 2027 and 2029. The Collie battery expansion aims to address these challenges and support the state’s energy transition.
Neoen is not new to the Australian energy market, as it currently operates Australia’s original grid-scale battery at Hornsdale in South Australia and the Victorian Big Battery. The company’s success in winning a similar contract in mid-2023 for the Collie battery expansion demonstrates its expertise in the field of energy storage. This strategic move aligns with Neoen’s commitment to sustainable energy practices and its efforts to support the transition to renewable sources. By investing in the expansion of the Collie battery, Neoen is poised to contribute significantly to Western Australia’s energy landscape and help meet the increasing energy demands of the region.
The Collie battery expansion represents a crucial step in managing the state’s energy supply and addressing the challenges posed by the retirement of coal-fired generation. The growth in demand, coupled with the abundance of midday solar power supply, necessitates efficient energy storage solutions to ensure a stable and reliable power grid. By storing midday solar power collected on the state’s biggest power grid for use in the evening, the Collie battery will help balance the energy supply and demand dynamics, thereby supporting the state’s energy transition. With the battery planned to start operating in late 2024 and the expansion scheduled for October 2025, Western Australia is on track to further enhance its renewable energy infrastructure.
In conclusion, the expansion of the Collie battery by Neoen signifies a significant investment in Western Australia’s energy storage capacity and marks a milestone in the state’s energy transition. The construction of stage one of the battery is well underway, with plans to begin operations by December 2024. This expansion will make the Collie battery the largest energy storage site in Australia, with the capacity to charge or discharge 200 megawatts over four hours. As the state government allocates funds for energy storage and renewable energy projects, the Collie battery represents a strategic move in supporting the growing energy demands of the region and transitioning towards sustainable energy sources. Neoen’s expertise in energy storage and commitment to renewable energy further strengthen the project’s potential to contribute to a more resilient and efficient energy system in Western Australia.
