New CIS Tender for Wind and Solar Opens, EDP Advances Solar Hybrid Projects
The federal government has officially launched its latest tender aimed at large-scale wind and solar energy, just days after revealing the winners of its most recent generation tender as part of its efforts to achieve the 2030 renewable energy target.
This new tender, under the Capacity Investment Scheme (CIS), aims to secure at least five gigawatts of new generation capacity. It is notable for being the first to implement a fast-tracked process, with winners expected to be announced by May next year.
Progress Under the Capacity Investment Scheme
To date, the CIS has facilitated the announcement of approximately 13 gigawatts of new capacity through two generation tenders. The latest round has been particularly focused on solar battery hybrids, which will contribute an additional 3 gigawatts and 11.4 gigawatt-hours of battery storage capacity.
In addition, tenders are being conducted for “dispatchable” generation, which primarily includes standalone battery projects. The most recent tender has successfully secured 16 projects, amounting to a total of 4.13 gigawatts and 15.37 gigawatt-hours of capacity for the National Electricity Market, with another similarly sized tender set to be launched next month. Separate tenders are also being organised for the Western Australian market.
EDP Renewables Moves Forward with Solar Projects
Meanwhile, EDP Renewables from Portugal has indicated its intention to swiftly advance two flagship solar battery hybrid projects that recently secured underwriting agreements in the latest generation tender.
One of these projects is the 400 megawatt Punchs Creek solar farm, which will be paired with a 400 megawatt/1,600 megawatt-hour battery located near Millmerran in southern Queensland. This project has already received planning and connection approvals and has commenced preliminary work, with completion anticipated by early 2029.
EDP is also progressing through the planning and connection stages for the slightly larger 450 megawatt Merino solar project, which will feature a 450 megawatt/1,800 megawatt-hour battery near Goulburn in New South Wales. The company expects to achieve “ready to build” status for this project by late 2026.
EDP’s Ambitious Plans in Australia
EDP has outlined a pipeline of 4 gigawatts of projects in Australia, which includes around 30 smaller “town scale” projects of up to 5 megawatts that were acquired through the purchase of ITP Renewables. However, the company is primarily focusing on hybrid projects, with a goal to deploy over 2 gigawatts of solar, wind, and storage by 2030 within the National Electricity Market.
The two solar hybrid projects currently underway are expected to generate approximately 2.2 terawatt-hours of clean, renewable energy each year, which is sufficient to meet the energy needs of around 380,000 households during peak demand periods.
“This CIS award is a testament to EDP’s leadership and proven track record in delivering large-scale, high-quality renewable projects,” stated Miguel Fonseca, CEO of EDP Renewables APAC.
“With over $A2 billion planned investment and a 4 gigawatt pipeline, EDP is accelerating our contribution to the country’s renewable energy targets. This reflects our strong belief in Australia’s potential and our commitment to leading its energy transformation.”
The new generation tender, referred to as Tender 7, will incorporate several important clauses, including the exclusion of solar and solar hybrid projects from Victoria, as the state aims to concentrate on wind energy in this round. Additionally, there will be a 2 gigawatt cap for New South Wales.
