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Neoen begins stage 3 of Western Downs battery in Queensland

11 Dec, 2025
Neoen energy hub


French renewable energy and storage developer Neoen has announced plans to double the size of its Western Downs battery in Queensland.

Neoen has just completed the second stage of the Western Downs battery ahead of schedule and less than six months following the completion of the first stage in June this year.

The second stage battery has a storage capacity of 270 megawatts (MW) and 540 megawatt hours (MWh).

The developer has now started construction for stage three of the battery, doubling the size to 305MW/1,220MWh.

The new four-hour battery will be Neoen’s fourth asset within its Western Downs Green Power Hub, located near the town of Chinchilla, about 250 kilometres west of Brisbane.

This new battery will consist of 312 Tesla Megapack 2XL units and will be equipped with grid-forming capabilities.

Jean-Christophe Cheylus, Neoen Australia’s CEO, said: “The launch of this new four-hour battery at Western Downs further highlights Neoen’s innovation and leadership in big batteries and takes us past 2 GW of storage capacity in Australia.”

Neoen said the first two battery systems are now delivering critical grid reliability, frequency and firming services to Australia’s National Electricity Market.

Once stage three becomes operational, Neoen’s Western Downs battery will contribute a combined total of 845MW/2.3GWh of storage capacity to support Queensland’s energy transition.

Neoen has also signed two additional virtual battery agreements with the local subsidiary of French electric utility ENGIE.

The first contract for 25 MW/50 MWh will be supported by Western Downs Battery Stage 2, while the second contract for 50 MW/200 MWh, or four hours, will be backed by the third stage.

Together, these two agreements will increase ENGIE’s contracted virtual battery capacity and help manage the intermittency of its renewable energy generation portfolio.

Jules Dufournier, ENGIE Australia’s head of energy management and B2B, said: “This agreement complements our existing battery portfolio, enabling us to offer shaped products and tailored solutions that meet our clients’ specific needs.”

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