The Australian Renewable Energy Agency (ARENA) has approved a AUD40m (US$27m) financing for the development of the first pumped-storage hydropower project in South Australia. The project will have a capacity of at least 200 MW and will reach financial close by 30 June 2020.
Four proposed large-scale hydropower projects in development in this state have sought funding from the ARENA. The ARENA will now undertake further assessment to select a single funding recipient by late 2019. The Agency will work with the Underwriting New Generation Investments (UNGI) programme launched by the Australian Government, which has shortlisted 12 projects (including 6 pumped-storage hydropower projects, of which 3 are located in South Australia), and the South Australian Government’s Grid Scale Storage Fund (GSSF) to support the development of pumped-storage hydropower projects in South Australia.
South Australia bets on large-scale pumped-storage hydropower projects to improve grid reliability and security, while boosting renewable power generation.