The funding will be provided to TransGrid to build the grid-connected lithium ion battery at its Wallgrove substation
The Australian Renewable Energy Agency (ARENA) has announced that it will jointly fund a 50MW/ 75MWh new large-scale, grid-connected battery located in western Sydney.
ARENA, On behalf of the Australian Government, will offer a funding of A$11.5m ($8m) for the project.
The funding will be provided to TransGrid to build the grid-connected lithium ion battery at its Wallgrove substation.
As part of its A$75m ($52.7m) Emerging Energy Program, the NSW Government has also agreed to provide A$10m ($7m) in funding for the battery.
The Wallgrove Grid Battery will be owned and operated by TransGrid.
Once operational, the battery is expected to provide fast frequency response and inertia services to the NSW transmission network.
Tesla to construct Wallgrove Grid Battery
Using its Megapacks, the US-based clean energy company Tesla will design and construct the Wallgrove Grid Battery.
Infigen Energy will trade the battery in the wholesale market and frequency control ancillary services (FCAS) markets.
TransGrid’s strategy, innovation and technology executive manager Eva Hanly said: “TransGrid is committed to finding low cost innovative solutions to the emerging challenges of the energy transformation. This will be the first battery in NSW to pilot grid scale synthetic inertia as a network service.
“It’s a step forward for the NSW grid and the National Electricity Market. This innovation will help accelerate the industry’s transformation to a low-carbon energy system, at a lower cost to customers.”
Previously, ARENA supported five grid scale batteries including the Hornsdale Power Reserve expansion, the ESCRI and Lake Bonney batteries in South Australia and two in Victoria at Ballarat and Gannawarra.