All firming projects under Tender Round 2 of the New South Wales Electricity Infrastructure Roadmap is now operational, strengthening the state’s electricity system ahead of peak demand period.
The completion of three large-scale batteries and a virtual power plant brings more than AU$1.8 billion of private investment to the state and provides capacity to power roughly 400,000 households at peak times.
Delivered by AGL Energy, Akaysha Energy, Iberdrola Australia and Enel X, the facilities are designed to supply energy or adjust demand when grid pressure is at its highest, helping maintain reliability as older coal-fired power stations retire.
Combined, the operational facilities deliver roughly 1 gigawatt, or 3 gigawatt-hours, of dispatchable, on-demand firming capacity to the state grid. This represents approximately 8 per cent of NSW’s total projected peak summer demand for 2026.
The infrastructure footprint features AGL Energy’s 500-megawatt (MW) Liddell battery energy storage system (BESS) at Muswellbrook and Akaysha Energy’s 415 MW Orana BESS at Montefiores.
Iberdrola Australia has delivered the 65 MW Smithfield BESS in Western Sydney, while Enel X operates a statewide 95 MW virtual power plant focusing on demand response.
The initiative has generated substantial economic activity across metro and regional areas, supporting over 1,500 construction jobs.
NSW Minister for Energy Penny Sharpe said the operational status of the sites marks a significant milestone for the state’s energy security.
“Together, these projects can provide enough firming capacity to meet the peak electricity demand of around 400,000 homes, helping keep the lights on during the hot summer to come,” Sharpe said.
Industry leaders welcomed the milestone, noting the benefits to grid resilience and local communities.
Akaysha Energy CEO Nick Carter stated the completion shows how joint government policy and private capital can accelerate transition while maintaining reliability.
AGL Chief Operations and Construction Officer Matthew Currie highlighted that the Liddell BESS marks the first major development transforming the former power station site into a future energy hub.
“The work completed through this program demonstrates the important role of flexible demand in building a cleaner, more reliable electricity system,” added an Enel X spokesperson.
Enel X indicated participating customers have already assisted the grid during extreme weather, with plans underway to deliver an additional 32 MW under future roadmap tenders.
ASL, operating in its capacity as the independent Consumer Trustee, has laid out plans for the future.
ASL is currently overseeing tenders targeting 2.5 gigawatts of generation capacity and 12 gigawatt-hours of long-duration storage.
Additional tenders for generation and firming infrastructure are scheduled to commence in late 2026 and early 2027.
