Electricity infrastructure gets green boost

The latest round of electricity generation Capacity Investment Scheme (CIS) auctions are underway which are aimed at unlocking around $10 billion of investment and adding 6GW to support grid reliability and security.

The federal and New South Wales governments today announced auctions that will deliver almost one gigawatt of additional dispatchable capacity, eliminating the forecast shortfall in 2028/29 flagged by the Australian Energy Market Operator (AEMO).

Bids representing more than 3.3GW total capacity have already been submitted to the NSW 380MW firming tender round, meaning there is still a significant amount of firmed renewable projects ready to be unlocked by today’s announcement and support the grid over the long-term.

The CIS will more than double the 380MW of firmed capacity to 930MW in the NSW Energy Roadmap’s firming tender, through Commonwealth funding that will underwrite investment for up to an additional 550MW of firmed capacity.

The Minister for Climate Change and Energy Chris Bowen said: “Today’s announcement will drastically improve energy security with large-scale batteries and other zero-emission technology that can quickly dispatch cleaner, cheaper renewable energy when it’s needed, like when the sun isn’t shining and the wind isn’t blowing.”

NSW Energy Minster Penny Sharpe said the large number of proponents wanting to invest in New South Wales was a clear indication that Australia can transform its energy system.

She said: “Any risks around grid reliability can be resolved by accelerating the development of a clean, reliable, consumer-focused energy system.”

AEMO Services is conducting the tender independently as the NSW Consumer Trustee.

Picture: Chris Bowen