New South Wales, Australia, secures highest generation allocation in CIS tender

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The tender is set to open in mid-November 2024. Image: CEFC

New South Wales, Australia, has secured the highest allocation of energy generation in the upcoming Capacity Investment Scheme (CIS) tender, standing at 7.1GW.

Victoria secured an allocation of 5GW, whilst Western Australia has been provided 2GW. Tasmania and South Australia have been granted 1.2GW each.

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In an interesting development, Victoria’s government requested that the Federal government implement a maximum technology award to solar PV meaning that no more than 750MW of solar and solar-hybrid projects will be contracted in Victoria in the upcoming CIS tender.

In the 2025 CIS generation tenders, the Australian government will be able to contract solar PV and solar-hybrid projects in Victoria but the total capacity will be limited to the greater of either 0MW or the remaining balance of 1.5GW, minus the solar and solar-hybrid projects already underwritten in the first CIS tender.

There will be no cap on solar-hybrid projects in the 2026 CIS tenders. However, the Australian government will only contract solar projects in Victoria up to the value of any remaining balance under 1.5GW.

The Australian government released the allocation earlier this week indicating how much will be available for bidders to seek in their respective states. The government is looking to secure 4GW of dispatchable power and 6GW of renewable energy generation, totalling 10GW. This is an increase on the previous cumulative 6GW sought.

Alongside solar PV generation, the CIS scheme will also seek other technologies such as wind energy, whereas dispathable power will be allocated to energy storage.

Australia’s energy minister, Chris Bowen, revealed last month (21 October) that the tender process will officially open in mid-November 2024.

To read the full article please visit Energy-Storage.news.

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