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Approved $1 billion battery one of NSW’s biggest

23 November 2024

The Minns Government has approved a $1 billion Battery Energy Storage System (BESS) near Newcastle which will play a key role in keeping the city’s lights on during peak demands.

At 500 megawatt (MW) / 2,000 MW-hour (MWh) capacity this will be one of the biggest batteries in NSW with the capacity to power about 200,000 homes during peak demand periods.

Located near Raymond Terrace, the Tomago project will store energy from the electricity grid during low-peak periods and then quickly ramp up or down depending on electricity demands.

The Tomago BESS will enhance the reliability of energy supply within the Hunter-Central Coast Renewable Energy Zone (REZ) by providing a stable and consistent power source.

During construction the BESS will generate 200 jobs to build the new structure along with six ongoing operational jobs to boost the local economy. Tomago’s developer, AGL, will also provide approximately $2.2 million to Port Stephens Council for community improvement projects through its Voluntary Planning Agreement.

Tomago’s battery adds to the State’s growing network of 57 large-scale batteries that have already been approved to support the energy transition as coal-fired power retires.

These batteries are playing an increasingly important role by providing firming capacity to support renewable generation, while improving the strength and reliability of the network.

Under the Minns Government, there have been 30 renewable projects approved, including 14 large scale batteries.

For more information see Tomago Battery Energy Storage System.

Minister for Planning and Public Spaces Paul Scully said:

“With a $1 billion price tag, this battery is one of the biggest in NSW and injects a major capital investment within the Port Stephens and Lower Hunter areas.

“Large-scale batteries are crucial for our energy future. They help store renewable energy, making sure we have a reliable power supply even when the sun isn’t shining, or the wind isn’t blowing.

“This not only supports our transition to cleaner energy but also strengthens our energy security and resilience. Investing in these batteries means a more sustainable and dependable energy system for everyone.”

Minister for Hunter Yasmin Catley said:

“The $1 billion project injects a major capital investment within the Upper Hunter region, bringing a major boost to local jobs.

“Today’s announcement further shores up our region as a renewable energy powerhouse, that will power communities for decades to come.”

Member for Port Stephens Kate Washington said:

“I welcome this major investment in our community that will bring more than 200 jobs to Port Stephens.

“We want Port Stephens to play a role in the renewable energy transition and this announcement is welcomed by the community.”