The Victorian government introduced the biggest energy storage targets in Australia yesterday.
Premier Daniel Andrews and Minister for Energy Lily D’Ambrosio announced the nation-leading targets alongside a $157 million package supporting renewable energy generation and storage projects.
Victoria will reach a massive 2.6 gigawatts (GW) of renewable energy storage capacity by 2030, with an increased target of 6.3 GW of storage by 2035 – that’s enough renewable energy to power around half of Victoria's current homes at their peak energy use.
The targets are expected to secure 12,700 jobs and $1.7 billion in investment from 2023 to 2035. Storage is vital to soak up solar and wind generation when it’s abundant and then feed that energy back into the grid when it’s needed.
To support these targets, the state government is investing $119 million from the $540 million Renewable Energy Zone Fund in a 125MW big battery and grid forming inverter in the Murray Renewable Energy Zone, between Bendigo and Red Cliffs.
The government also announced $38.2 million from the Energy Innovation Fund (EIF) will go to four projects using new technology to generate and store clean energy.
The latest EIF round will provide $7 million for a 100MW battery and inverter in Terang, as well as $19.3 million for two bioenergy projects at farms in Gippsland and Barwon. Yarra Valley Water will receive $11.9 million to install an electrolyser to make renewable hydrogen using recycled water in Wollert.
The EIF directly supports the commercialisation of emerging renewable energy technologies. These projects unlock more than $160 million of commercial investment, build local knowledge and deliver 150 jobs.
Victoria is already the battery capital of Australia and home to the largest battery in the Southern Hemisphere – the Victorian Big Battery – a 300 MW battery just outside Geelong.
The new storage targets and clean energy projects are supporting Victoria’s nation-leading action to combat climate change and drive down power prices, including the legislated renewable energy target of 50 per cent by 2030, the goal to reduce emissions by 50 per cent by the same year and reach net zero by 2050.