Australia's AGL to build $2.4 billion green energy hub in new JV

Australian utility AGL Energy Ltd (ASX:AGL) and green energy player Someva Renewables on Monday announced plans to install a huge green energy hub incorporating onshore wind, solar and battery storage in New South Wales.

The Pottinger Energy Park project will be developed by a newly-formed joint venture (JV) between the compatriots at a total cost of AUD 3.6 billion (USD 2.35bn/EUR 2.16bn).

The plan envisages building a wind farm with up to 220 wind turbines and a total capacity of 1.2 GW, a solar photovoltaic (PV) park of 300 MW, and some 500 MW/2,000 MWh of battery energy storage capacity, which could supply with electricity around 830,000 average local homes.

The proposed hub will be located around 60 km south of the town of Hay, in the Aussie state’s Riverina region, lying within the South West Renewable Energy Zone. The project is currently in the early stages of development, with preliminary community engagement and planning application underway.

Someva Renewables is handling the design, community engagement and regulatory approval process related to the proposal. If the plan is greenlit, construction could be initiated in 2026.

For AGL, the project is part of a plan to add 12 GW of new renewable generation and firming capacity by the end of 2035 as the utility moves away from coal and transitions to renewables.

(AUD 1.0 = USD 0.652/EUR 0.601)