Global energy storage specialist Eku Energy has announced reaching financial close for its Williamsdale Battery Energy Storage System (BESS) located in the Australian Capital Territory (ACT).
The 250MW / 500MWh project, set to be operational in 2026, marks a significant milestone in advancing clean energy solutions and supporting Canberra’s energy security.
The Williamsdale BESS, which will be Eku Energy’s seventh asset reaching financial close globally, will utilise Tesla Energy’s Megapack battery storage system.
With the capacity to store enough renewable energy to power one-third of Canberra for two hours during peak demand periods, the project is a crucial component of the ACT government’s Big Canberra Battery initiative.
Eku Energy has established an innovative revenue swap arrangement with the ACT government, ensuring mutual benefits for both parties.
Under this agreement, the Territory will receive a share of the revenue generated from the Williamsdale BESS’s participation in the National Electricity Market (NEM).
In return, Eku Energy will receive fixed quarterly payments over a 15-year period from the Territory.
This contracted revenue stream, combined with partnerships with trusted delivery partners Consolidated Power Projects (CPP) and Tesla Energy, has enabled the project to secure competitive debt finance from lenders Westpac, Sumitomo Mitsui Banking Corporation (SMBC), and MUFG Bank.
The Williamsdale BESS will operate in grid forming mode, providing system strength services and fast-acting frequency control ancillary services.
By incorporating additional storage capacity into the network, the project will facilitate increased deployment of renewable energy within the grid, supporting the ACT government’s commitment to achieving net zero emissions by 2045.
Daniel Burrows, Chief Executive Officer at Eku Energy, emphasised the company’s focus on innovation, stating: “At Eku Energy, we focus on innovation to find bespoke ways of integrating revenue contracts, design, project execution and capital to meet the objectives of our partners to deliver clean energy solutions that are safe, secure and cost-effective.”
Elias Saba, Chief Technology Officer at Eku Energy, added: “This project highlights how innovative revenue contracting models play an important role in advancing the development of large-scale battery projects, enabling value creation for the ACT government and the ability to secure financial backing to deliver a low-cost energy storage solution.”
The Williamsdale BESS project represents a significant step forward in Eku Energy’s global expansion, adding to its portfolio of seven assets in either operations or construction and approximately 50 projects in the development pipeline across Australia, United Kingdom, Japan, and Italy.