Herbert Smith Freehills advises AGL Energy on its development of Australia’s largest grid-forming battery

Herbert Smith Freehills (HSF) is pleased to have advised AGL Energy on its 500 MW / 1,000 MWh battery energy storage system (the Liddell BESS). The Liddell BESS will be located at the site of AGL Energy’s retired coal power station and marks AGL Energy’s first development at its Hunter Energy Hub.

AGL Energy’s Managing Director and CEO, Damien Nicks, commented “the Liddell battery will be a key component of achieving our interim target of approximately 5 GW of new renewables and firming capacity in place by 2030”. The Liddell BESS will be one of Australia’s biggest batteries, and the biggest with grid-forming inverter capabilities.

The Liddell BESS will add to AGL Energy’s existing suite of grid scale battery assets, which includes the 250 MW Torrens Island battery, which commenced operations in August 2023, and the 50 MW Broken Hill battery which is due to commence operations shortly.

The cross-practice HSF Projects, Energy and Infrastructure team was led by Managing Partner Toby Anderson, Senior Associate Michael D’Agostino, Executive Counsel Laurelle Ko and Solicitor Yonnie Lipshatz who worked on procurement matters. The team was supported by other members of the practice group, including Partner Kris Percy and Senior Associate Julia Hollis who worked on connection matters and Partner Peter Davis and Michael D’Agostino who advised on AGL Energy’s successful bid for a Long-Term Energy Service Agreement (LTESA) with NSW Government.

Toby Anderson said, “We are delighted to have worked with AGL Energy on this significant energy transition project, which will be Australia’s largest grid-forming battery once constructed. We are also thrilled to have assisted AGL Energy with its first greenfield development at the Hunter Energy Hub and look forward to seeing this project progress.”

This deal is another example of Herbert Smith Freehills’ leadership in the Australian energy sector, having recently advised:

• Victorian State Electricity Commission (SEC) on its $245 million investment in the Melbourne Renewable Energy Hub project.
• Edify Energy on its development of the 185 MW / 370 MWh Koorangie Battery Energy Storage System and sale to Sosteneo SGR Spa.
• Tilt Renewables on its development of the 100 MW / 200 MWh Latrobe Valley Battery Energy Storage System.
• a consortium of lenders on legal aspects of the development and project financing of the 200 MW / 400 MWh Rangebank Battery Energy Storage System.
• CIMIC Group company Pacific Partnerships on the project financing of the 102 MWac/130MWdc Glenrowan Solar Farm in northern Victoria. Glenrowan Solar Farm is the first of the six successful projects chosen under the Second Victorian Renewable Energy Target Auction (VRET2) to achieve financial close.
• Grok Ventures on its acquisition of the Sun Cable project from administration.