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Seneca ESG
- October 19, 2022
Shell Energy Australia, a subsidiary of Shell , and AMPYR Australia, an affiliate of global renewable energy developer AMPYR, inked an agreement to launch a 500-megawatt (MW) battery energy storage system (BESS) in Australia, as reported by Reuters on October 14. The project will be built in Wellington, Australia’s New South Wales (NSW) state. In June, NSW committed an AUD1.2bn (USD760m) investment in new transmission lines over the next decade, aiming to accelerate connections between renewable energy projects and power grids and shift to greener power. The project is expected to start construction in mid-2023, subject to all relevant approvals and financing.
The BESS project in Wellington is expected to be the largest battery storage project in NSW, an area with 3 gigawatts (GW) of wind and solar operating or under construction. Developing battery storage could connect more wind and solar farms to the grid and maximize renewable power generation capacity. Last month, Australia’s Victoria state, which also has abundant renewable energy resources, announced an AUD157m (USD102m) package to boost battery energy storage, aiming for 2.6 GW of energy storage capacity by 2030 and 6.3 GW by 2035. According to the climate target set by the Australian Labor Party-led government, the country will slash its greenhouse gas emissions by 43% by 2030 from 2005 levels. By then, renewables are projected to account for 82% of Australia’s national electricity market, rising from 29% in 2021.
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