The momentum of new energy projects connecting to the National Electricity Market (NEM) continued to build in the December quarter, with 20 projects (4.9GW) getting application approval, 11 projects (1.7GW) registered, and four projects (0.6GW) reaching full output.
Each quarter, the Australian Energy Market Operator (AEMO) produces a scorecard tracking the progress of new generation and storage projects connecting to the NEM, from application through to full output.
AEMO onboarding and connections group manager Margarida Pimentel highlighted the increasing momentum in project registrations, with 1.7GW registered in the December quarter and 5.2GW over the past six months.
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“Project registrations in the last six months are more than double those in the previous 12 months. This surge reflects the wave of application approvals in 2023,” Pimentel said.
Solar projects led registrations in the December quarter with 831MW, followed by wind (440MW), batteries (350MW), and upgrades to existing facilities (49MW).
“These registered projects are built, connected to the grid and can now move through to the final commissioning phase,” Pimentel said.
Meanwhile, application approval volumes over the past six months are similar to the same period last year with 7.5GW reaching this important milestone, while 2GW achieved full output, compared to 2.2GW through the entire FY 2024.
As of 31 December 2024, 49.6GW of projects were progressing through the connections process, up from 36.4GW at the end of 2023.
“Given the NEM’s total generation and storage capacity of 66GW, nearly 50GW of new projects marks a significant pipeline of future energy supply,” Ms Pimentel said.
Around 36% of this capacity was in New South Wales, 32% in Queensland, 21% in Victoria and 10% in South Australia.
“The scorecard data also reveals that 18.1GW out of the 49.6GW within the connections pipeline are battery projects, representing a 97% increase on the 9.2GW in progress during the same time last year,” Pimentel said.
Also continuing during the December quarter were improvements from the Connections Reform Initiative (CRI) Streamlined Connections Process (SCP), which are continuing to improve the ease with which projects connect to the NEM.
“Improvements were trialled on energy projects via the Federal Department of Climate Change, Energy, the Environment and Water (DCCEEW) Summer Readiness Program, the ongoing NSW DCCEEW program and business as usual developments,” Pimentel said.
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“A dedicated NSW DCCEEW team at AEMO and network service provider Transgrid have been collaborating effectively during the program to resolve issues faster, work in parallel and set attainable, accelerated project timelines with the proponents.
“As part of this, there was an acceleration of timeframes across all four NSW DCCEEW projects, which are tracking between four and 10 weeks ahead of their previous schedule,” Pimentel added.
The scorecard follows AEMO’s Quarterly Energy Dynamics report for Q4 2024, revealing record-breaking demand levels in the NEM, a surge in renewable energy contributions and a fall in coal power system availability.
