European Energy starts construction on 40 MW/80 MWh battery energy storage system in Australia

en.Wedoany.com Reported - European Energy has commenced construction on a 40 MW/80 MWh AC-coupled battery energy storage system (BESS) near Winton, in northern Victoria, Australia, to support the Mokoan Solar Park and unlock its full generation potential. The system will share the same grid connection point as the solar park.

The Mokoan Solar Park has an installed capacity of 58 MW and has been fully operational since early last year, generating approximately 113 GWh of electricity annually. The new battery energy storage system has a two-hour storage duration and is expected to enter operation by mid-next year.

Catriona McLeod, Managing Director of European Energy Australia, stated that battery storage plays a key role in the company's development strategy. "Batteries are crucial for European Energy and the entire industry—they will truly unlock the full potential of wind and solar, delivering more renewable energy when it is needed most," she said. She also revealed that the company will undertake significant work in this area from late 2026 through 2027, with more announcements to follow.

Financial close for the battery project was completed last month, with Deutsche Bank providing a non-recourse financing solution to refinance the existing debt of the solar park and support the construction and operation of the battery energy storage system. This marks another financing milestone in the battery sector for European Energy, following the financial close of the Winton North Solar Park and its associated battery project.

Power sales from both the Winton North and Mokoan solar parks are supported by power purchase agreements (PPAs) signed with global technology provider Amazon Web Services. European Energy Australia currently holds a renewable energy project pipeline of approximately 10 GW, with projects at various stages ranging from early-stage development to full operation.