Australia: Victoria government accelerates 700MW of battery storage via Development Facilitation Program

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The Victoria government in Australia has approved two large-scale battery energy storage system (BESS) projects totalling 700MW through its Development Facilitation Program (DFP).

Atmos Renewables received approval for a 300MW/1,140MWh battery storage system in Heywood, strategically positioned near AusNet’s Heywood Terminal Station. The project will create up to 150 construction jobs and provide ongoing operational roles once commissioned.

Meanwhile, developer Akaysha Energy secured approval for a 400MW/1,600MWh battery storage system in Glenrowan, which will connect to AusNet’s Glenrowan Terminal Station.

The Akaysha project, which is being developed in collaboration with BZ Renewables, is expected to generate approximately 100 construction jobs and will provide grid stability services by storing energy from nearby electricity generation projects and the grid and discharging it to the grid during times of peak demand.

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Both projects underwent consultation processes with local communities, councils, the Country Fire Authority, AusNet, and the Department of Energy, Environment and Climate Action.

In addition to this, both of the projects will be connected to the National Electricity Market (NEM), which spans Australia’s eastern and southern states and territories.

The approvals represent the latest developments under Victoria’s DFP initiative, which was expanded to include renewable energy projects less than two years ago.

The Victoria government’s DFP initiative, expanded last year to include renewable energy projects, aims to accelerate the development of critical infrastructure in Victoria.

Before its inclusion, projects had to pass through the Victorian Civil and Administrative Tribunal, which delayed around 20% of them by about two years.

Indeed, since the program’s expansion to cover renewable energy development, the Victoria government has unlocked more than AU$9 billion (US$6.38 billion) in investment across 25 projects.

Over the past few months, the government has selected several BESS sites for inclusion in the scheme. For instance, last year, Energy-Storage.news reported that developer ACEnergy saw its 350MW/770MWh Little River BESS included within the scheme.

Prior to this, Elgin Energy’s 500MWh Barwon Solar Farm, a solar-plus-storage site, had been selected for the initiative. The project is also located in Victoria’s Little River region.

“The Development Facilitation Program is all about making good decisions, faster,” said Victoria’s minister for planning Sonya Kilkenny.

“This fast-tracked pathway has unlocked more than AU$9 billion worth of investment into renewable energy projects, helping provide cheaper and cleaner energy to hundreds of thousands of Victorian households.”

Minister for energy and resources, Lily D’Ambrosio, emphasised the broader energy system benefits.

“More renewable energy projects mean more reliable and cheaper power for families, more jobs for Victorians and a cleaner energy system for the future,” D’Ambrosio said.

Victoria’s record investments in renewable energy have enabled the state to maintain the lowest wholesale power prices in Australia, the state government claims.

The Energy Storage Summit Australia 2026 will be returning to Sydney on 18-19 March. It features keynote speeches and panel discussions on topics such as the Capacity Investment Scheme, long-duration energy storage, and BESS revenue streams. ESN Premium subscribers receive an exclusive discount on ticket prices. 

To secure your tickets and learn more about the event, please visit the official website

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