Australia’s first renewables investment fund under the Energy Security Corporation is moving to accelerate storage and reduce private-sector hesitancy, offering commitments from A$25 million up to A$150 million and prioritising storage projects to capture excess solar and wind power.

The NSW government has deployed A$100 million of the Energy Security Corporation’s renewables fund to battery storage projects in Newcastle and Homebush, aimed at supporting both short-term and long-term energy storage.

This push comes as part of a broader transition away from coal toward fast-start, large-scale battery storage to enhance grid stability and price competitiveness.

Ausgrid Group entity PLUS Grid Storage will deliver the first two battery projects, with two more batteries in planning; construction at Newcastle is set to begin next month, followed by the Homebush site.

Energy Minister Penny Sharpe and ESC chief executive Paul Peters stress the urgency of building storage capacity to lower energy prices and ensure reliable supply during the transition.

The investments align with energy security goals across Sydney, Newcastle, and the Hunter region as coal plants exit, including the extended shutdown of Eraring Power Station to 2029 to maintain grid reliability.

Greens criticize the ESC for not moving quickly enough, while officials attribute delays to negotiations with private partners to secure project backing.

The four batteries are expected to collectively power about 118,000 homes daily, with initial 500 MW of storage available by 2029 and the total project investment around A$800 million, financed largely by private capital.