50 per cent expansion of Hornsdale complete

Hornsdale expansion

Neoen has completed its 50 per cent expansion of Hornsdale Power Reserve (HPR). The 50 MW addition takes the world’s first big battery to an upgraded capacity of 150 MW.

Hornsdale
The Hornsdale Big Battery expansion

Delivered in partnership with Tesla, the South Australian Government, and the Australian Government through the CEFC and ARENA, the increased storage capacity of Hornsdale Power Reserve will further enhance its ability to stabilise the grid, avoid price volatility in the market and reduce the risks of blackouts. In a world first and in close cooperation with AEMO and ElectraNet, testing will now commence of the battery’s capacity to deliver grid-scale inertia services, an essential component of grid stability.

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The benefits that HPR has unlocked for consumers are well established, with independent reviews indicating that the battery has already delivered more than $150 million AUD in savings to the market in its first two years of operation. With HPR’s enhanced storage capacity and its new capabilities, the benefits to consumers are predicted to grow further thanks to the higher penetration of renewables that it will enable.

The construction of HPR has also delivered a significant economic boost to South Australia. According to a report by Aurecon, the combined construction phases of the 150 MW battery has led to 158 jobs and generated over $300 million in economic value for the State, half of this within the Yorke and Mid North region. The project’s Community Benefit Fund continues to provide opportunities for local community building initiatives and is forecast to provide over $1 million additional social and economic benefits in coming years.

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ARENA CEO Darren Miller said of critical importance to ARENA is the valuable information it will gain in showing that batteries are capable of providing inertia services and fast frequency responses to the grid, paving the way for potential regulatory changes and revenue streams to incentivise further grid-scale batteries to be built across Australia.