Australia renewable energy and battery storage expansion

In July 2026 Australia continued its rapid rollout of renewable generation and large‑scale battery storage, which helped keep wholesale electricity prices well below global levels despite external price pressures. The Richmond Valley Solar Farm and Battery Energy Storage System secured over AUD 1 billion in financing and moved toward construction, combining a 200 MW solar plant with a 275 MW, 2,200 MWh lithium‑iron‑phosphate battery.

A few days later the Australian Energy Market Operator announced a new incentive scheme for Western Australia, granting full capacity credits to batteries that can deliver seven hours of firm output. The scheme raised payment rates by 35 % and signaled a longer‑term target of 8.5‑hour storage by the mid‑2020s to support the phase‑out of coal and higher penetrations of wind and solar. Similar capacity‑credit discussions are emerging in South Australia, indicating a broader national push toward longer‑duration battery resources.