Technology group Wartsila has won a contract from Origin Energy to deliver an energy storage project in Australia for the first phase, 460 megawatts (MW) and 920 megawatt hours (MWh).
Wartsila will install the Eraring battery at Origin’s Eraring Power Station. Origin may elect to expand the battery to 700 MW and 2,800 MWh in the future.
The companies have signed an engineered equipment delivery (EEQ) contract with a value of slightly more than 300 MEUR, Wartsila’s largest single energy storage deal to-date. The order is expected to be booked latest in the third quarter (Q3) of 2023 and equipment delivery is expected to occur from October 2023 to September 2024.
Wartsila said the Eraring battery will be connected to Australia’s National Electricity Market (NEM) and support energy security and reliability in the state of New South Wales as the penetration of variable renewable energy supply increases.
“Flexible capacity, provided by energy storage projects like Origin’s Eraring battery or grid balancing engines, will be vital to achieving that as the share of renewables increases. The scale of this project positions Wartsila at the heart of that trend, delivering gigawatt-scale energy storage projects in each of our key markets,” said Hakan Agnevall, President and CEO of Wartsila.
“Eraring is a strategic site with high quality connection infrastructure enabling us to deliver energy into major demand centres. Development of the Eraring battery is a key next step as we look to transform the Eraring site for the future, given our intention to exit coal-fired generation by as early as August 2025,” said Greg Jarvis, Head of Energy Supply and Operations at Origin Energy.
Wartsila was selected as the delivery partner due to its technical expertise as a leading battery storage integrator, proven delivery capability, market-leading safety standards and ability to support Origin with lifecycle services during the operational period.
Wartsila said its GEMS Digital Energy Platform is a critical aspect of the system, which monitors and controls the flow of energy, enabling these projects to provide grid support during periods of instability. With Wartsila’s Storage+ Solution, the projects will provide firming capacity to balance Origin’s generation portfolio in support of its retail customer load.
The project includes Wartsila’s GridSolv Quantum, a fully-integrated modular and compact energy storage system that offers the lowest lifecycle costs, fastest deployment times, highest quality control and maximum flexibility. GridSolv Quantum is a certified UL-compliant design fitted with several safety features.