The New South Wales government has cleared Origin Energy Ltd’s (ASX:ORG) plan to install an up to 700-MW/2,800-MWh battery facility at the site of its to-be-retired Eraring coal-fired power station in the Aussie state.
The Sydney-based electricity and natural gas company said on Thursday that the planning approval, issued by the state Department of Planning and Environment, concerns a project with four hours of storage that is the largest one of its kind greenlighted in Australia. The scheme will be realised at a total investment of roughly AUD 800 million (USD 556.1m/EUR 527.9m).
To be built around 40 km southwest of Newcastle, in the Lake Macquarie local government area, the Eraring lithium-ion battery system will be installed in three phases, with its construction expected to last about 54 months.
The project also envisages the installation of a new 330-kV overhead transmission line. Origin Energy said it will work to finalise vendor negotiations and secure a transmissions connection agreement.
“Eraring Power Station is well suited to battery storage and potentially other energy infrastructure over time, as there is extensive electricity connection infrastructure already in place nearby,” said Greg Jarvis, Origin’s head of energy supply and operations.
The 2.88-GW Eraring Power Station has been operating since 1982 and is Australia’s largest coal-fired power plant. Earlier this year, Origin Energy said that the complex is due to be shut down by late 2025.
(AUD 1.0 = USD 0.695/EUR 0.660)