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Australia Expands Battery Storage Procurement
Coverage from PV Tech, Energy-Storage.News, and others
Articles
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The Topic
Australia is expanding public procurement of battery storage alongside renewable generation as solar growth and coal-plant closures increase the need for dispatchable electricity. The Capacity Investment Scheme has selected 4.2GW/16.1GWh of standalone batteries in its latest storage tender, while earlier national and NSW tenders are adding hybrid renewable projects and long-duration storage opportunities. The activity is intended to improve grid reliability, shift renewable power into higher-demand periods and attract investment in capacity that markets alone have not yet delivered at the required scale.
First Article: 03/07/25
Latest Article: 06/24/26
Summary
- CIS Tender 8 selected 15 standalone lithium-ion battery projects totaling 4.2GW/16.1GWh across four National Electricity Market states.
- CIS Tender 7 selected 19 renewable projects with 2GW/7.9GWh of co-located battery storage, exceeding its original generation target.
- NSW launched tenders for 2.5GW of renewable generation and 12GWh of long-duration storage under its Electricity Infrastructure Roadmap.
- Many selected projects cluster near the four-hour storage minimum, while longer-duration capacity remains a stated system requirement, particularly for NSW winter periods.
- Queensland received the largest allocation in CIS Tender 8, reflecting strong storage activity as renewable generation expands and coal plants retire.
- Residential batteries and virtual power plants are also gaining policy support in NSW through federal discounts and state incentives.
History
The biggest update is that CIS Tender 8 is now specified as having selected 4.2GW/16.1GWh of standalone batteries, and the story is reframed around current procurement activity rather than a broad expansion trend. The current version also adds that the policy push is aimed at reliability and attracting capacity markets have not yet delivered at scale.
The story has broadened from NSW-only procurement into a national battery-storage buildout, with federal Capacity Investment Scheme tenders now showing major awarded capacity across multiple states. The new emphasis is less on announcing targets and more on whether projects can be financed and delivered fast enough, especially for longer-duration storage.
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Timeline: 475 Days
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