Zen Energy Secures Approval for Major Solar and Battery Project in South Australia
Zen Energy, in collaboration with Taiwanese partner HD Renewable Energy (HDRE), has achieved a significant milestone for their joint venture by securing approval for an electricity grid connection in South Australia. This marks a crucial step for their ambitious plans in the renewable energy sector.
HDRE, a publicly listed company in Taiwan with a valuation exceeding $1.1 billion, committed to investing $43 million for a 9.7 per cent stake in Zen back in November 2024. Together, they aim to co-develop and manage a large-scale solar and storage initiative under the joint venture named ZEBRE.
Project Overview and Development Plans
In March, the two firms refined their project scope to include approximately 695 megawatts (MW) of multi-hour battery storage and 100 MW of solar power across three Australian states, supported by an equity investment of $A14 million from HDRE. The flagship investment of the joint venture is the Solar River project, which features a 256 MW battery with a 2.5-hour storage capacity (650 MWh) and a 210 MW solar farm located near Bundey in north-east South Australia. This project promises to deliver between 2.5 to 8 hours of storage capacity.
Solar River has already gained traction, successfully securing funding in the initial round of the federal government’s expanded Capacity Investment Scheme (CIS). Zen Energy has described the recent receipt of a comprehensive 534-page letter from the Australian Energy Market Operator (AEMO) as a “crucial milestone,” confirming that the project meets the necessary technical and regulatory requirements for connection to the National Electricity Market (NEM).
Strategic Location and Future Engagement
This hybrid project, which is the largest within the ZEBRE joint venture, is strategically located near Project EnergyConnect, the new interconnector linking South Australia and New South Wales, as well as the existing ElectraNet substation. However, the project is still pending approvals for the EPBC and EPC contracts.
Zen’s CEO, Anthony Garnaut, expressed optimism about the project, stating, “Solar River will add significant stability to the electricity grid as South Australia progresses towards its goal of 100 per cent renewable energy by 2027, establishing itself as a clean energy superpower through investments in green manufacturing.”
Community Engagement and Additional Projects
Moving forward, the Solar River project team plans to actively engage with the local community, Traditional Owners, and other stakeholders. These consultations will help refine project details and shape the design of a community benefits scheme.
In addition to the Solar River initiative, the ZEBRE joint venture is also working on five other projects across four states. These include the 111 MW Templers Battery, which is currently in the commissioning phase, the 105 MW Wagga North battery in southern New South Wales, and the 210 MW North Yarragon battery located in Victoria’s Gippsland region.
The final two projects are situated in south-east Queensland, comprising the 200 MW Hookey Creek battery and solar project, alongside the 180 MW Noblevale battery.
