Herbert Smith Freehills has advised Synergy in connection with the procurement of its 100MW/200MWh battery energy storage system (BESS) to be constructed in Kwinana, Western Australia.
Once constructed, this will be the first (and largest) battery of its kind to connect to the South West Interconnected System (SWIS).
The project will be delivered by a renewable energy and energy storage specialist, ‘New HOrizons Ahead’ (NHOA), who is a new entrant to the market, with its corporate heritage tied to global energy leader ENGIE and leading Taiwanese industrial Group TCC.
The BESS, which has the capacity to power 160,000 Perth homes for 2 hours, is of particular strategic importance in Western Australia where 1 in 3 homes have rooftop solar, and will serve to promote the reliability and security of the electricity grid, while enabling and facilitating the connection of new renewable assets to the SWIS.
The Herbert Smith Freehills team was led by partner Dan Zador, supported by senior associate Yannis Vrodos and solicitor Sam Edwards. Partner Andrew Mclean and solicitor Kai Low also provided support in connection with financing matters, to deliver a seamless, ‘one-stop’ solution for the client.
Mr Zador said, “It’s been a privilege to work with Synergy on this strategic project. Western Australia is quite late in its uptake of utility scale batteries, but it’s pleasing to now see their deployment in the SWIS.”
“This is the first of its kind but certainly not the last. The expectation is that there will be more to come, particularly as Synergy, and other owners of grid-firming BESS, begin to participate in the ancillary services market. In turn, it will ensure grid stability and increased renewable penetration, supporting the objective of net zero carbon emissions by 2050.”
Construction of the battery will commence in November 2021, with the battery expected to be operational by the end of 2022.