The $500 million build in Shepparton North is the first and largest of four similar battery projects across northern regional Victoria and southern NSW.
The utility-scale battery storage system for Shepparton is designed to improve local energy security by reducing the risk of power outages and stability for the local grid network.
The planning permit is currently progressing through its submissions phase, closing September 22, after which it will enter the approval stage, expected to take between four and 12 months.
Yeyurringal Energy chief technology officer Tony Peardon said the site, next to Shepparton’s Terminal Substation was chosen because it’s a 220-kilowatt substation on the Victorian Grid Backbone so there is no need for transmission towers to take the power anywhere.
“It is just the perfect location,” Mr Peardon said.
Renewable developer Avenis Energy approached Indigenous social enterprise Yeyurringal Energy, wishing to work with a local organisation.
While battery projects are usually framed around generation, Mr Peardon said this one’s core purpose was grid support and demand management, in addition to local energy security.
“If necessary, this battery could supply 750,000 houses for about four hours,” he said.
The project is expected to employ more than 100 people during construction, with Yeyurringal aiming for a substantial share of the workforce and involved businesses to be from the First Nations community.
The Indigenous social enterprise already has existing relationships with major industry partners, including Powercor and Munarra Centre for Regional Excellence, which are set to create apprenticeships, and career pathways including engineering and construction among others.
For Yeyurringal Energy chief executive Kane Atkinson, the real opportunity in the deal is what this is going to build for the community.
“Yeyurringal is the only First Nations business of its kind operating anywhere,” Mr Atkinson said.
“Yeyurringal Energy is a sister organisation to Hawaii and US based Star Energy which has more than 15 years of exeprience in large scale renewable energy projects including battery storage.
“The partnership with Avenis was struck early to specifically create First Nations employment pathways.”
The agreement is structured for an initial 20 years, with the battery lifetime up to 50 years, with each year of operation generating a financial benefit that flows through Munarra to fund ongoing career pathways as well as many other financial benefits across the region.
Mr Peardon said the project was in an accelerated planning zone, with construction expected to start by the middle of next year and take about 18 months.
Post construction and for the operational life at least four ongoing fulltime roles will be created.
Three more large-scale projects are expected to enter planning within the next year, suggesting substantial opportunities ahead across the north of the state.
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