Mt Piper BESS approved for development

NSW is set to gain a new battery energy storage system (BESS), with the NSW Department of Planning, Housing and Infrastructure granting development approval for EnergyAustralia’s Mt Piper BESS project.

A BESS is an energy storage system that can capture energy from multiple different sources, accumulate that energy and store it for later use. Energy is then discharged from the battery to meet demand when needed. Battery energy storage systems will play an essential role as Australia’s grid becomes more dependent on renewables.

Located near Lithgow, the proposed project site is on previously cleared land owned by EnergyAustralia, south of the Mt Piper Power Station. EnergyAustralia plans to connect its new system with nearby, existing electricity infrastructure to develop a grid-scale battery with the capacity to dispatch up to 500 MW of power over a duration of up to four hours.

The energy provider said the project would create flow-on benefits for the local community, including up to 177 construction jobs. It also estimated that the BESS would inject a total capital investment of approximately $1 billion into the NSW economy.

The Mt Piper BESS is scheduled to commence construction from 2026, helping to firm up the energy grid. At full capacity, it could provide energy for up to 320,000 homes and small businesses for four hours.

Approval for the BESS comes after a declaration by the Minister for Planning and Public Spaces that EnergyAustralia’s proposed Lake Lyell Pumped Hydro Project, also near Lithgow, is Critical State Significant Infrastructure (CSSI).

The Lake Lyell Pumped Hydro project is in the feasibility stage, with a decision on proceeding likely to be made in the second half of 2025.

Like the Mt Piper BESS, the project would be built entirely on EnergyAustralia-owned land and would not require any new transmission lines. The Lake Lyell Pumped Hydro Project has a proposed capacity of 335 MW for up to eight hours, with flexible capacity of more than 400 MW for a shorter duration, providing energy for at least 150,000 homes.

Image caption: Mt Piper Power Station. Image credit: iStock.com/mikulas1