New South Wales launches 2.5GW renewable tender to power a third of homes

New South Wales opened Tender 8, the state's largest renewable generation tender, seeking 2.5 GW of new solar or wind capacity. Managed by AusEnergy Service Limited, the tender aims to supply enough electricity for roughly one‑third of NSW households – about 1.26 million homes – and to help meet up to 90 % of the state's 2030 target of 12 GW renewable generation.

Alongside Tender 8, the government announced Tender 9, which will procure up to 12 GWh of long‑duration storage, including large‑scale batteries and pumped hydro, to provide stable supply when demand is high or renewable output is low. Tender 8 also introduces a hybrid generation long‑term energy service agreement, allowing projects to combine generation and storage at a single site. Bids are due within seven weeks, with contract awards expected by late 2026. Climate Change and Energy Minister Penny Sharpe highlighted the tenders as a step toward future‑proofing the grid and lowering electricity costs as coal plants retire.