Capacity Investment Scheme Tender 4 – NEM Generation is open

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Tender 4 is seeking an indicative target of 6 GW of renewable generation projects in the National Electricity Market (NEM).

Registrations are currently open and expected to close 11 February 2025. The registration period has been extended for Tender 4 to accommodate the end of year shut-down period.

Stage A for project bids is now open, and proponents have until 18 February 2025 to submit project bids for this tender.

Registration is essential for proponents to be able to submit a project bid in this tender.

Projects that are unsuccessful in CIS Tender 1 – NEM Generation are able, and encouraged, to participate in CIS Tender 4.

Key documents, including the Tender guidelines and a tender documents page on are found on the Australian Energy Market Operator (AEMO) Services website, where there is further key information needed to participate in the Tender, and the site where bids must be submitted, via the Tender portal.

Key Dates

Registrations will close at 5pm AEDT on 11 February 2025 and project bids will close at 5pm AEDT on 18 February 2025.

The Tender’s Q&A process is open and will close 11 February 2024 for participants to seek further clarification prior to submitting a bid. Please note the Q&A process will be paused from 20 December 2024 until 13 January 2025, with responses released thereafter.

About the Capacity Investment Scheme  

The Australian Government’s Capacity Investment Scheme (CIS) is incentivising the deployment of 32 GW of renewable and dispatchable capacity by 2030. The CIS is designed to support system reliability as ageing coal-fired power stations retire and to help deliver the Australian Government’s 82% renewable electricity by 2030 target.

You can learn more about the CIS on the Department of Climate Change, Energy, Environment and Water’s (DCCEEW) website.

The CIS involves regular competitive tenders held approximately every six months until 2027 and will seek to deliver a total of 23 GW of renewable capacity and 9 GW of clean dispatchable capacity.

AEMO and AEMO Services have been engaged to support the roll-out of the Australian Government’s Capacity Investment Scheme (CIS) as tender delivery partner, bringing together our expertise in energy markets, modelling and infrastructure finance and tender procurement. We administer the competitive tender process, including recommending bids to the Australian Government. The Minister for Climate Change and Energy is the ultimate decision-maker.

Earlier this week, the Australian Government announced the outcome of the Capacity Investment Scheme (CIS) Tender 1 – NEM Generation.

The tender sought minimum capacity targets across various jurisdictions, aiming for:

  • New South Wales – 2.2 GW
  • South Australia – 300 MW
  • Victoria – 1.4 GW
  • Tasmania – 300 MW

The remaining 1.8 GW of renewable capacity was to be allocated to projects across the NEM based on the merit of the projects.

Subject to final contract execution, the Australian Government has selected 19 projects that will provide 6.4 GW (3.6 GWh of storage) of renewable electricity generation across New South Wales, Victoria, Queensland and South Australia. The breakdown per jurisdiction is included below:

  • New South Wales – 3,661 MW (904 MWh)
  • South Australia – 574 MW
  • Victoria – 1,590 MW (1,458 MWh) and
  • Queensland – 550 MW (1,200 MWh)

CIS Tender 1 was the single biggest tender for renewable energy infrastructure ever undertaken in Australia and was highly competitive and over-subscribed.