New South Wales transmission network operator Transgrid has signed a contract for the supply of synchronous condensers—equipment that will assist in stabilising the state’s grid as it transitions from coal to renewables.
GE Vernova will supply the first order of synchronous condensers to be deployed at five strategic sites along the NSW transmission network, following the completion of a global tender process that began with a request for proposals from leading energy equipment manufacturers in February.
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In order to fast-track delivery, GE Vernova will be supplying and installing two smaller synchronous condensers at each of the five sites, rather than one larger synchronous condenser at each site.
This contract follows the NSW Government’s direction to Transgrid to accelerate procurement of the synchronous condensers as a Priority Network Infrastructure Project, with the tender overseen by the NSW Department of Climate Change, Energy, the Environment and Water (DCCEEW).
Transgrid executive general manager network Jason Krstanoski said, “We are delighted to have secured these machines in a global environment where demand for synchronous condensers continues to outpace manufacturing capacity, and we are competing with countries with much larger order books.
“The accelerated procurement of these units for the first five sites is expected to deliver more than $1 billion in market benefits, meaning they will effectively pay for themselves in one year.
“Synchronous condensers are large spinning machines that mimic the grid-stabilising role of coal generators, enabling the NSW power system to more rapidly accommodate renewable energy generation, delivering cleaner and cheaper electricity to consumers.
“Meanwhile, we are preparing to launch our tender for stabilising services from grid-forming batteries, which comprise another important component of our system strength solution to keep the NSW grid strong.”
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GE Vernova power conversion and storage business leader Ed Torres said, “The implementation of GE Vernova’s proven technology will enhance grid stability and reliability, thereby strengthening New South Wales’ transmission network and ultimately supporting Australia’s goal of achieving a more secure and decarbonised power system.”
Given the global supply constraints for synchronous condensers, Transgrid is already exploring options to efficiently secure the next order of these machines as part of planning to facilitate the retirement of NSW coal generators over the next decade.
