Construction begins on publicly owned solar and battery project

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The Victorian government has announced installation of solar farm infrastructure has begun at the $370 million (USD 221.6 million) State Electricity Commission (SEC) Renewable Energy Park being developed near Horsham in the state’s northwest.

The SEC Renewable Energy Park is to incorporate a 119 MW solar farm and a 100 MW, two-hour battery energy storage system which the SEC said will feature grid-forming technology and will provide firm, dispatchable power to meet peak demand periods.

“The battery will store cheap renewable energy from the solar farm and pump it into the electric grid at times of peak demand,” the SEC said in a statement. “The battery also enables an additional 180 MW of new renewables to be connected to the grid.”

The Victoria-government owned SEC is working with Sweden-headquartered clean energy developer OX2 to build the energy park in two stages, starting with the 119 MW solar farm that is to comprise more than 212,000 PV solar panels.

That will be followed by the addition of the battery energy storage system with United States-listed company Energy Vault awarded the contract to build and operate the battery.

The SEC said preconstruction at the site commenced with OX2 in February and works have now ramped up with the project scheduled to come online in late 2027. Once operational, the facility will be capable of generating about 242,000 MWh of renewable energy a year.

Premier Jacinta Allan has previously stated that profits from the project will fund further renewable energy initiatives, helping the state reach its goal of delivering 4.5 GW of new renewable energy and storage projects via the government’s $1 billion investment in the SEC.

The start of construction proper comes as the SEC’s first investment project, the Melbourne Renewable Energy Hub prepares to plug into Victoria’s electricity grid later this year. The 600 MW / 1,600 MWh battery being constructed in Melbourne’s outer west will store enough renewable energy to power 200,000 homes during peak periods.

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