Wärtsilä has been contracted by EnergyAustralia to deliver 350 MW/1474 MWh of capacity to the Wooreen Energy Storage System (WESS) in Victoria, Australia. The project is set to enhance Australia’s infrastructure by providing needed grid stability and supporting the integration of renewable energy, aligning with the country’s ambitious decarbonisation goals. The scope of the contract includes engineering design, supply, commissioning, and a 15-year service agreement.
The project was successful in the first round of the Capacity Investment Scheme (CIS), an Australian government initiative to encourage new investment, and seeking to deliver 32 GW of renewable generation and dispatchable capacity by 2030. The site will be built adjacent to EnergyAustralia’s Jeeralang power station and become operational before the shut-down of the coal-fired Yallourn power station destined for retirement in 2028. Construction will begin in 2025 and the WESS will be completed in 2027.
Recently, spot prices have surged due to colder weather, increased energy demand, and reduced renewable generation. This volatility in the energy market poses challenges for both consumers and providers. The energy storage project will provide EnergyAustralia with a natural hedge against such market fluctuations and help stabilise energy prices and ensure a more resilient energy supply.
“This project is Wärtsilä’s first in the state of Victoria and expands our footprint in [the country] to 4.8 GWh across seven projects. Australia has already made great strides towards its decarbonisation targets, and this project will further boost its renewable energy capacity,” commented Andrew Tang, vp of Energy Storage & Optimisation at Wärtsilä Energy.
The Wooreen energy storage system will utilise Wärtsilä’s Quantum High Energy technology and GEMS Digital Energy Platform, and enable more renewable energy to enter the electricity network while providing grid services. The project is designed to switch to grid-forming mode, offering operational flexibility with faster response times to increase system stability and grid reliability while keeping energy prices low for consumers.
