The ‘Victorian Big Battery’ project, delivered by Neoen, comprises a 300-megawatt (MW) / 450-megawatt hour (MWh) battery energy storage system at Moorabool, 13 kilometres northwest of Geelong, Victoria.
The construction of the facility comprised:
- installation of 300-MW / 450 MWh of battery storage capacity
- switch rooms and ancillary equipment, and
- site works, such as earthworks and drainage.
A second stage of the Victorian Big Battery has been proposed by Neoen, which would build on the previous stage by increasing the battery storage capacity by up to 600 MW. The project proponent has not indicated the duration of the second stage of the project.
Key Dates
| Feb 2021 | Financial Close |
| Feb 2021 | Construction Commencement |
| Nov 2021 | Expected Construction Completion |
| Dec 2021 | Construction Completion |
Funding contributions
|
The Australian Renewable Energy Agency announced the project as one of eight Battery Energy Storage Systems to receive conditional funding through ARENA’s $176 million Large Scale Battery Storage Funding Round. The exact allocation for each project has not been announced. |
Financing
| Debt Finance: | Clean Energy Finance Corporation |
Procurement
| Procuring Agency: | The Victorian Government selected Neoen to finance and deliver the project. |
| Successful Tenderer: | Tesla (battery) |
| Procurement note: | Neoen was selected to deliver the project through the ‘System Integrity Protection Scheme’ (SIPS) procurement process undertaken by the Australian Energy Market Operator (AEMO) on behalf of the Victorian Government. |
| Related contracts: |
PROJECT HISTORY
| Mar 2020 | The Victorian Government was granted an exemption to sections of the National Electricity Law and the National Electricity Rules, allowing the Victorian Government to request that AEMO procure up to 250 MW of additional peak capacity on its behalf, and for this procurement to be exempt from the regular RIT-T and procurement processes undertaken by AEMO for transmission augmentation projects. |
| Apr 2020 | A project proposal was submitted by the proponents to the Federal Government's Department of Environment and Energy for assessment under the Environmental Protection and Biodiversity Conservation (EPBC) Act. The project would be the largest battery storage facility in the country, at four times the size of the 150 megawatt 'Tesla Big Battery' in South Australia, which is also operated by Neoen. |
| Nov 2020 | The Victorian Government announced Neoen will finance, construct, operate and maintain the Victorian Big Battery. Neoen was selected to deliver the project through the ‘System Integrity Protection Scheme’ (SIPS) procurement process undertaken by the Australian Energy Market Operator (AEMO) on behalf of the Victorian Government. Under the contract, Victoria will pay $84 million over 11 years to access 250 megawatts (MW) from the 300 MW battery during peak periods. |
| Feb 2021 | The project reached financial close, securing $160 million in debt finance from the Clean Energy Finance Corporation, and announcing Tesla as the proponent to deliver the battery. |
| Dec 2021 | Neoen has completed construction of the project and the Victorian Big Battery commenced operation. |
| Apr 2022 | Planning permission received to extend the BESS by up to 600 megawatt. |
| Apr 2022 | Permit received to develop Stage 2 of the Victorian Big Battery to extend the current battery energy storage facility to 600 MW. |
| Dec 2022 | The Australian Renewable Energy Agency (ARENA) announced the project as one of eight Battery Energy Storage Systems to receive conditional funding through ARENA’s $176 million Large Scale Battery Storage Funding Round. The exact allocation for each project has not been announced. Funding for the Victorian Big Battery will be allocated to retrofit the battery to enable grid-forming capability. |
| Nov 2024 | Neoen Australia announced that it has signed a virtual battery offtake agreement with Engie Australia. |
| Dec 2024 | Project developers, Neoen, announced the project had been sold to asset manager HMC Capital. The asset portfolio divestment, which includes the Numurkah Solar Farm and Bulgana Green Power Hub, amounts to a combined $950 million. |
