Malaysia giant buys solar and battery project in coal country, with eye on data centres

Gamuda Renewables Acquires Major Solar Project in Victoria for Data Centre Expansion

Gamuda Renewables Expands Renewable Ventures in Australia

Gamuda Renewables, a prominent energy company from Malaysia, has made a significant investment in one of Australia’s largest solar and battery hybrid projects. The firm is actively exploring opportunities to increase the project’s scale to incorporate a co-located data centre.

As a key player in property and infrastructure development in Malaysia, Gamuda is also working on two wind and solar initiatives in Tasmania’s central highlands. The Hazelwood North solar farm and battery will be its inaugural project in Victoria.

Location and Future Plans

Situated in the Latrobe Valley, a region historically known for its brown coal generation, the project lies near the defunct Hazelwood coal-fired power station. Gamuda has already secured approval for a 450 megawatt (MW) solar farm and a four-hour battery system (totaling 1,800 MWh), with construction set to commence in 2028. Both Gamuda and Manthos Investments, the original owners, are considering scaling up the project to facilitate a data centre co-location.

“Hazelwood North represents a crucial milestone for us, marking our first asset in Victoria and showcasing the direction of the energy transition,” commented Jarred Hardman, chief strategy and development officer at Gamuda Renewables. “The prospect of integrating a data centre into the project is genuinely exciting for both Manthos and our team. Combining large-scale renewable resources with the digital infrastructure that increasingly relies on them is a compelling vision we’re eager to pursue.”

Ongoing Projects in Tasmania

In Tasmania, Gamuda is developing the adjacent 200 MW Weasel solar farm and the 350 MW Cellars Hill wind farm, including battery projects, with support from local landowners. Both ventures are aligned with the federal government’s Capacity Investment Scheme.

The company has surpassed its initial objective of attaining 2 gigawatts (GW) of capacity in Australia by 2029, now aiming for a total of 5 GW by 2031. Additionally, Gamuda has gained early contract involvement for the 900 MW Oven Mountain pumped hydro project along with the 750 MW Capricornia pumped hydro project.

Economic Impact and Future Potential

The Hazelwood North project is projected to generate around 450 construction jobs, providing a significant economic boost to a region with a robust industrial legacy and a labour force ready to contribute to Australia’s energy future.

George Labros from Manthos remarked, “This initiative unites Gamuda Renewables’ expertise with the Valley’s energy capabilities and an expanding data centre framework, fostering considerable economic advancement for the Latrobe Valley and neighbouring communities both now and in the long term.”

Innovative Models for Data Centres

Gamuda envisions a co-located data centre powered by its on-site solar and battery energy storage system (BESS), which would allow for enhanced operational independence from the broader distribution network while using the battery to balance periods of fluctuating demand.

“This approach alleviates strain on shared transmission infrastructure while presenting data centre operators with a distinctly advantageous offer – clean, reliable, and dedicated power from a team that constructed the facilities,” the company stated.

Battery Projects in the Region

The proposal for the battery is part of a suite of projects planned for the Latrobe Valley. The area already hosts the 150 MW, 150 MWh Hazelwood battery; EnergyAustralia is developing the 350 MW, 1,400 MWh Woreen battery, and Tag Energy recently obtained planning approval for a 1,000 MW, 4,000 MWh battery located near Morwell.

The acquisition by Gamuda is pending approval from the Foreign Investment Review Board (FIRB). Details regarding the size of the stake acquired or financial specifics have not been disclosed by either party.


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