• Neoen has provided notices to proceed to Tesla and UGL, launching construction for Western Downs Battery Stage 3 (305 MW / 1,220 MWh) in Queensland
• In addition, the construction of Stage 2 (270 MW / 540 MWh) is now complete, bringing Western Downs Battery’s current operating capacity to 540 MW / 1,080 MWh (Stage 1 and 2)
• Neoen has signed two new virtual battery contracts with ENGIE, for 25 MW / 50 MWh and 50 MW / 200 MWh, backed by the existing Stage 2 and the new Stage 3
• The launch of Stage 3 takes Neoen’s total battery storage capacity in Australia to 2 GW / 6.4 GWh in operation or under construction

Neoen, one of the world’s leading renewable energy companies, has provided notices to proceed to battery storage supplier Tesla and balance of plant contractor UGL (a member of the CIMIC Group), signalling the start of construction for Western Downs Battery Stage 3 (305 MW / 1,220 MWh). It will be Neoen’s fourth asset within its Western Downs Green Power Hub, located on Barunggam country near the town of Chinchilla in Queensland, Australia. This new four-hour battery will consist of 312 Tesla Megapack 2XL units and will be equipped with grid-forming capabilities. It will connect into Powerlink’s Western Downs substation, leveraging existing infrastructure at Western Downs. The new battery is expected to start operating over the Australian summer of 2027/28.

Neoen has also delivered Stage 2 (270 MW / 540 MWh) of Western Downs Battery ahead of schedule and in time to support its virtual battery contracts with AGL Energy and Shell Energy. These bespoke Neoen agreements allow clients to hedge their own or their customer’s load by virtually charging and discharging Western Downs Battery without having to develop, build, or operate one themselves.

Neoen has signed two additional virtual battery agreements with ENGIE. The first contract for 25 MW / 50 MWh (2-hours) is supported by Western Downs Battery Stage 2, while the second contract for 50 MW / 200 MWh (4-hours) will be backed by Stage 3. Together, these agreements increase ENGIE’s contracted virtual battery capacity, helping manage the intermittency of its renewable energy generation portfolio and the flexibility of its customer load.

With a total combined capacity of 540 MW / 1,080 MWh, Western Downs Battery Stage 1 and 2 are now delivering critical grid-reliability, frequency and firming services to Australia’s National Electricity Market. Both have grid-forming inverters, helping reduce Queensland’s reliance on coal and gas generators. Once Stage 3 becomes operational, Neoen’s Western Downs Battery will contribute a combined total of 845 MW / 2.3 GWh of storage capacity in support of the State’s energy transition.

Should you have any queries or concerns in relation to the works, please don’t hesitate to contact us on 1800 966 133 or email us through the contact page.