Energy Storage News•17 days ago
South Australia launches first capacity tender for 700MW of long-duration energy storage
Key Takeaway
South Australia's inaugural 700MW LDES capacity tender signals a major new market opportunity for storage developers and a commitment to grid reliability for large consumers in a renewable-heavy system.
AI Summary
- •South Australia has initiated its first Firm Energy Reliability Mechanism (FERM) tender, targeting 700MW of long-duration energy storage (LDES) capacity.
- •This new policy mechanism creates a significant market opportunity for LDES developers to secure capacity contracts and contribute to grid stability.
- •The tender aims to enhance grid reliability and facilitate the integration of intermittent renewable energy sources, benefiting large power consumers with more stable supply.
- •Developers should note this as a precedent for future capacity market designs focused on LDES in regions transitioning to high renewable penetration.
Topics
storagepolicycapacity-marketwindsolar
Article Content
South Australia has officially opened its inaugural Firm Energy Reliability Mechanism (FERM) tender round, seeking up to 700MW of long-duration energy storage (LDES) capacity to enhance grid reliability and support the state's renewable energy transition.