The latest round of a federal energy investment scheme designed to derisk private projects is expected to stimulate as much as $4 billion of renewables investment in WA.
The latest round of a federal energy investment scheme designed to derisk private projects is expected to stimulate as much as $4 billion of renewables investment in Western Australia.
Two new Capacity Investment Scheme tenders were announced in Perth this morning by Energy Minister Chris Bowen and Energy and Decarbonisation Minister Amber-Jade Sanderson.
The tenders are expected to shore up 1.6 gigawatts of new renewable generation in the South West Interconnected System backed by 2.4 gigawatt hours of battery storage.
Private industry can submit bids for funding support under the CIS over the next 10 weeks.
Projects are assessed on deliverability and value for money, as well as grid reliability contributions and indigenous engagement, among other things.
Mr Bowen said the CIS tender would help deliver certainty into the state’s renewables pipeline, as it moves towards a target of phasing out coal in 2030.
Ms Sanderson echoed that view.
“Western Australia’s clean energy transition is well underway, with a mix of public and private renewable energy generation and storage projects paving the way for us to exit state-owned coal generation by 2030,” she said.
“This latest Capacity Investment Scheme tender provides investors with confidence to build projects here – backing the delivery of clean, renewable power for Western Australian households and businesses.
“CIS is already enhancing our energy transition, and adding a further 1.6 gigawatts of renewable generation will further strengthen our clean energy credentials and boost the capacity of our standalone our energy grid.”
Bidding for the latest round of the CIS will close on November 7.
The last round of the CIS supported four projects: PGS Energy’s Boddington giga battery, Atmos Renewables’ Merredin big battery; Neoen’s Muchea big battery and the first stage of Frontier Energy’s Waroona renewable energy project.
Those projects are expected to come online by October 2027, to support the Australian Energy Market Operator’s capacity year.
The state’s push to ease off coal generation by 2030 will lean heavily on renewables supported by natural gas as a firming fuel.
