Australia’s grid queue hits 80.9 GW, half from battery storage projects

Australia’s electricity grid is facing a surge in new infrastructure, with the Australian Energy Market Operator’s latest Connections Scorecard revealing 80.9 GW of generation and storage projects currently in the queue. This pipeline significantly exceeds the National Electricity Market’s current total capacity of 77 GW, indicating substantial future expansion.

According to RenewEconomy, the September quarter alone added 25 new connection applications totaling 7.5 GW. These additions reflect continued investor interest in connecting renewable energy and storage assets to the main grid, despite existing congestion and network constraints.

Storage dominates the pipeline

• 19 battery projects represent 76% of September quarter applications
• Batteries account for 55% of the total 80.0 GW connection pipeline
• Hybrid solar and battery projects make up 19% of the pipeline
• Wind projects make up 15% of the pipeline
• Solar and hydro projects each make up 5% of the pipeline
• Gas projects make up 1% of the pipeline

Battery technology has firmly established itself as the primary driver of new grid connections in Australia. With batteries holding more than half of the total pipeline capacity, they now outnumber all other generation technologies combined in the queue. This concentration reflects the current economic viability of short-duration storage for arbitrage and ancillary services.

The remaining pipeline is heavily weighted toward renewable generation, with wind power accounting for a significant portion of the non-storage capacity. Hybrid projects, which combine solar generation directly with battery storage, also hold a notable share, indicating a preference for integrated solutions that optimize land use and grid interaction. Meanwhile, traditional gas generation has been largely displaced from new connection applications, representing a negligible fraction of the total proposed capacity. Hydro and standalone solar continue to contribute smaller, steady streams of new projects, but neither comes close to matching the scale of the storage boom currently reshaping the national grid infrastructure.

Longer-duration storage emerges

The composition of the battery queue is shifting beyond the standard four-hour systems that have dominated recent years. AEMO group manager of onboarding and connections James Lindley notes, "Not only are we seeing more battery projects, but also increasing amounts of longer-duration storage." This trend is visible in the technical specifications of the applications themselves, with nearly 40% of battery projects proposing durations between three and 10 hours. Extending storage beyond the conventional timeframe allows assets to bridge longer gaps in renewable generation or capture wider price spreads across the day, rather than just managing short-term frequency fluctuations.

While the total queue is large, most of it remains years away from actual grid connection. Eighty-eight percent of projects currently in the queue are in early application or proponent implementation stages. This early status means the pipeline reflects current developer intent and market conditions rather than imminent physical construction. For grid planners, the mix of these early-stage applications provides a leading indicator of the type of infrastructure likely to come online in the coming decade. The prevalence of longer-duration proposals suggests that the market is already adapting to the specific challenges of high renewable penetration, where energy availability becomes a more critical constraint than mere power output.

Recent approvals and milestones

The September quarter marked tangible progress as 23 projects, aggregating 4.5 GW, received connection application approval. These approvals signal a move from theoretical planning to formalized grid integration, allowing developers to secure their place in the transmission network. Simultaneously, four projects totaling 1 GW registered and connected to the National Electricity Market, while seven others completed the commissioning process. This transition from paper to physical infrastructure is critical for validating the technical assumptions behind the massive pipeline described earlier.

Among the newly registered assets, four battery projects stand out for their specific technical configurations. These systems collectively offer 1 GW of discharge power and 3.4 GWh of storage capacity. The ratio of energy to power indicates a multi-hour duration profile, aligning with the emerging trend for longer-duration storage rather than the standard four-hour units. This capacity allows the batteries to deliver sustained output over extended periods, supporting grid stability during longer renewable gaps.

One specific milestone involves the Silver City Energy Storage project, which received approval for a 0.2 GW capacity. This facility provides up to eight hours of duration, equivalent to 1,600 MWh. Such extended duration is significant because it moves beyond simple frequency response into energy shifting, enabling the asset to store power during low-demand periods and release it during high-demand windows. The combination of recent approvals and completed commissioning activities demonstrates that the queue is not merely a list of proposals but an active pipeline of assets entering service, with specific projects like Silver City highlighting the growing importance of extended storage capabilities in the modern grid.

What to watch

The next critical test for the grid queue is whether proposed projects can physically convert into operational assets before existing infrastructure fails. AEMO group manager of onboarding and connections James Lindley highlights the urgency, noting that around 15 GW of generation is scheduled to retire in the coming decade while electricity consumption is forecast to increase by more than 40 per cent. This simultaneous squeeze on supply and demand makes the progression of new projects to commissioning essential for maintaining electricity reliability.

In the September quarter, Victoria accounted for half of the six projects achieving full output. These Victorian assets were all large-scale batteries totaling 800 MW, underscoring the state’s current role in delivering new storage capacity. A specific milestone to track is the Mornington BESS, which reached its full nameplate capacity in late September. With a capacity of 240 MW and 480 MWh, this project represents the type of substantial battery infrastructure needed to offset retiring generation. The key indicator for the future will be the continued flow of similar large-scale batteries reaching full operational status, ensuring that the theoretical pipeline translates into actual grid support during periods of high demand and constrained supply.