Approval of two major batteries to enhance NSW’s energy security
The Tomago and Mt Piper BESS projects were both approved this week in a move to secure renewable energy reliability and support local communities.
The NSW State Government has approved two large-scale battery energy storage systems (BESS) in New South Wales (NSW) within the past week, increasing the momentum of the state’s transition to renewable energy. The Tomago BESS near Raymond Terrace and the Mt Piper BESS near Lithgow will collectively inject up to $2 billion in energy infrastructure investment, support local employment, and contribute to grid stability.
Tomago BESS: Strengthening the Hunter’s energy supply
Located near Raymond Terrace, the Tomago project will deliver 500 MW/2,000 MWh of storage capacity, sufficient to supply electricity to around 200,000 homes during peak demand periods. It will store energy during low-demand times and discharge it during high-demand periods to stabilise the electricity grid.
The Tomago BESS will be built by AGL and is designed to support the Hunter-Central Coast Renewable Energy Zone (REZ). During construction, the project is expected to create 200 jobs, with six ongoing operational positions once completed.
The project also includes a $2.2 million Voluntary Planning Agreement with Port Stephens Council for community improvement projects.
“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,” Minister for Planning and Public Spaces Paul Scully said.
Mt Piper BESS: A buttress for energy security in Lithgow
The Mt Piper BESS, to be developed by EnergyAustralia on cleared land near the Mt Piper Power Station, has been approved to provide up to 500 MW of capacity over four hours. This facility will support the electricity needs of approximately 320,000 homes during high-demand periods.
The project, which is expected to begin construction in 2026, will integrate with existing infrastructure, avoiding the need for additional transmission lines. It will generate up to 177 construction jobs and has an estimated investment value of $1 billion.
The Mt Piper BESS complements EnergyAustralia’s broader plans, including the Lake Lyell Pumped Hydro Project, which is in the feasibility stage. The pumped hydro project aims to add up to 335 MW of capacity for eight-hour durations, with construction potentially starting after a decision in 2025.
These approvals contribute to NSW’s growing network of large-scale batteries, with 57 projects now approved to provide firming capacity for renewable energy. The Minns Government has advanced 30 renewable energy projects since taking office, reinforcing the state’s goal of achieving a cleaner and more reliable energy system.
