Pumped Storage Hydropower in Australia

The world is undergoing a momentous transition from conventional ways to renewables sources of power generation. Australia is already facing serious repercussions as a result of climate change and this is expected to intensify into the future. Investment in renewables to reduce emissions and kick start renewable backed exports is underway and accelerating

Pumped Storage Hydropower (PSH) is in the spotlight to generate renewable sources of energy and lead the transition to net-zero emissions. At the same time, PSH is a large-scale energy storage solution that will help manage power distribution effectively and act as a backup when Australia subdues a power outage situation.

By 2040, the bulk of Australia’s coal-fired power plants will have ceased production and almost 85% of the country will be running on renewable energy.

 The MVP in this transformation will be pumped hydropower!

Australia’s boom in Sustainable Energy

Transition to net-zero emissions – Among other directives, The Australian Energy Market Operator (AEMO) has reported that 17 GW of battery storage must be increased in Australia to achieve the most cost-effective replacement of the nation’s obsolete coal-fired power plants over the next 20 years.

Pumped Hydropower has a significant role to play in achieving this feat by 2040.

Aging Coal-fired power stations – The end of coal-fired generation is gradual but inevitable. The aging of coal-fired power plants is an ongoing process since the introduction of renewable sources of energy which are both cost-efficient and safe. Australia is toiling to suppress greenhouse gas emissions and coal-fired power stations impede the process.

The increasing uncertainty in coal supply makes it an unreliable option to generate power. According to a report by AEMO in 2019, it is predicted that 63% of the energy produced by coal-fired power plants in Australia will no longer contribute to Australia’s National Electricity Market by 2040 – A massive 30 gigawatts! 

However, the figures may dwindle quicker than expected, given that the price of coal is shaking Australia’s economy according to the analysis by the Australian Energy Market Operator.

Public sentiment positive towards renewables – Professor Jamie Pittock from Australian National University (ANU) Research School of Electrical, Energy and Materials Engineering exclaims “PSH hydropower would help Australia to move to a totally renewable energy supply by storing surplus wind and solar power for distribution on demand.”

It is expected to be more profitable because PSH generates cheap, surplus electricity and saves this resource for dispatch as demand increases.

Technology advances making renewables far more economical – The Australian government has made hydropower growth the focus as a priority agenda to help attain a more reliable and affordable energy system for the country.

Australia’s energy system is about to undergo its transition of the century! As more intermittent renewable alternatives like wind and solar energy replace the thermal energy options, more storage and backup supply are needed to boost reliability and prevent price instability.

Origin and Growth of Pumped Storage in Australia

Being the driest continent in the world, water availability is the fundamental obstacle in future growth for hydroelectricity in Australia, as most potential sites have already been utilized.

Today, hydropower is Australia’s largest contributor in the renewable energy domain, providing around 42% of total renewable electricity which makes up about 7% of the country’s total electricity supply. This laid the foundation for the advanced methods of hydroelectricity- Pumped-storage Hydropower!

The transition to renewable sources, especially wind and solar energy has brought huge dependency on climatic conditions. This raises a huge question mark on the stability of the system and security of supply to the customer. There was a need for a backup contingency to generate power in times with no wind, minimal sunlight, and high demand.

Similarly, a large storage capacity was required to store excess energy on sunny days with a strong wind to reduce energy wastage and maintain sufficient supply in lower production conditions.

A two in one solution to this problem was Pumped Storage Hydropower!

Australia is one of the most sparsely populated countries with an average population density of around 3 people per square kilometer on the land. This makes it a challenge to supply electricity to a remote population.

 Australian government realized this and concluded that a Big Battery would be the resolution to this problem. It will store and center the energy in one place before distributing it according to the “demand and supply” model.

Pumped storage hydropower is a one-stop solution for all these problems. Australian government further identified that PSH can significantly assist Australia in their struggle to secure their ecosystem by generating clean energy.

Over the years, renewable energy continues to add up in Australia’s National Electricity Market but brought uncertainty in the electricity prices. This is when PSH comes in handy with its specialty of balancing figures.

After a well-versed span of research, Victoria, Eyre Peninsula, and Bendigo were chosen to be the most suitable landscapes, to begin with. As of now, there are 20+ pumped storage power plants under different phases of devleopment in 5 different Australian states. With the completion of these projects, Australia can finally enjoy a reputable position in the list of countries that generate electricity totally using renewable sources.

 Pumped storage generating capacity in Australia

Report by The International Hydropower Association

The current capacity of hydropower in Australia as reported by the International Hydropower Association is about 8800 MW out of which 1340 MW comes from installed pumped storage hydropower plants.

These hydroelectric power supplies are increasingly focused in the states of New South Wales and Victoria which depends heavily on hydropower for its production of electricity.

Australia’s largest hydropower scheme consists of 16 major dams and nine power plants with a combined capacity of 4100 MW. The project is allocated to cover both New South Wales, and Victoria.

Report by Melbourne Energy Institute

However, according to a case study by the Melbourne Energy Institute, the Pumped-storage generating capacity in Australia is around 1.5 GW even though no new large-scale PSH plant has been installed over the past 30 years.

The Australian government has been slightly distracted in its development of PSH in the country due to an abundance of thermal resources. However recent advances in wind and solar, reducing costs, has spurred a renewables boom. This is forcing Australia to accelerate PSH power plants construction to maintain stability and consistency of supply.

 

 

 

List of Pumped Storage Hydropower stations in Australia

• Talbingo

Talbingo, also known as Tumut-3 is located in New South Wales in the Snowy Mountains. It has been operating since 1973 with a power production capacity of around 650 MW. Tumut-3 PSH is backed up by a conventional hydroelectric power plant to increase the production capacity to a solid 1500 MW combined.

• Wivenhoe

It is situated near the Brisbane River in the south of Queensland. It opened in 1984 and possesses a power generation capacity of around 500 MW.

• Shoalhaven

The plant is situated in New South Wales and has been in service since 1977, adding an essential 240 MW to the national grid of Australia.

Prospect of Pumped Storage Hydropower in Australia

The growth in hydroelectric energy of Australia is expected to be limited to small-scale projects or upgrading and refurbishing of existing infrastructure. But pumped storage is highly likely to prove as an increasingly important component of Australia’s electricity market.

Snowy 2.0

Snowy 2.0 is a pumped hydro extension of the iconic Snowy Scheme. It is a nationally significant project to provide clean affordable and reliable energy for generations to come. It is projected to have an installed capacity of 2000 MW with the ability to store 350,000 MWh for over 200 hours.

Strategically located between Sydney and Melbourne, Snowy 2.0 will link two existing dams i.e. Tantangara dam and Talbingo dam through underground tunnels stretching up to 27km in length and a power station around 1km under the mountains.

Snowy 2.0 already under construction and is planned to start serving by 2025 with the stepwise inauguration of its six generating facilities. It is going to be the largest renewable project in the history of Australia that will not only lift the stress on the economy by generating cheap electricity but will also transfer more control and reliability to the system in peak hours.

The Battery of the Nation (BotN) initiative

Tasmania is a small island state with exceptional hydro and wind resources. With the island’s fantastic natural resources, established hydropower system, and expertise, Australia is determined to revolutionize the energy sector of the country.

In essence, the Battery of the Nation initiative is focusing on generating more renewable energy from the hydropower and wind assets of the island. This will result in the development of more storage solutions in the form of pumped storage leading to a quicker and more reliable support to the variable (renewable) energy generation.

Turning the vision into a reality is in-progress with the fund support from the Australian Renewable Energy Agency (ARENA).  The key to unlock this project is the co-commitment to upgrade the Marinus Link

The plan was to shortlist 2000 potential sites to 14 in terms of ideal landscape and requirements. These 14 sites will be installed with a 4800 MW power generation facility and a storage capacity of 140,000 MWh in total. As of now, the 14 sites have been identified and being further investigated in several parameters including feasibility, technology, finance, and environmental impacts.

These sites are expected to be ground to large-scale PSH in near future, a big leap towards the goal of 100% emission-free energy production in Australia.

Kidston

Kidston Pumped Storage Plant is sited in a ghost town, 280km northwest of Townsville. It is capable of generating 330 MW of energy in a quick timespan with a storage capacity of around 2000 MWh.

This project is unique as it employs an unconventional technique to set up a pumped storage plant using two abandoned mine pits (Wises and Eldridge Pits act as the upper and lower reservoirs). Kidston will be the first to prove the concept of reusing mining pits. There is enormous potential to  establish PSH facilities on other mining sites around the country

The second half of the project is in its final stages after the renewal of the contract with Energy Australia in March 2020. The completion of this project will be a big step the renewables direction in Queensland and will bring stability and reliability to the overall system.

Cultana Pumped Hydro Energy Storage

The land in Southern Australia near Port Augusta is waiting for certain approvals before it hosts the biggest seawater pumped storage hydropower facility in the world. The project is promised to cater to 225 MW of energy with a storage capacity of 1.77GWh for 8 hours.

The project is expected to get the green light by 2023 and start serving in 2026 after 3 years of construction.

Middleback Ranges PHES

The project of Pumped Storage Hydropower in Middleback Ranges is in the second stage of planning. It is proposed to be sited at Middleback Ranges in South Australia with a generating capability of 110 MW power which may get reviewed to become 220 MW.

In the best-case scenario, the project will produce the first watt of energy in 2022 in a total budget of $170 million.

Centennial Pumped Hydro Energy Storage

Centennial Pumped Hydro Energy Storage Project despite being in a very initial stage is a huge step in the right direction. After successfully executing the plan for Kidston Pumped Storage Plant, Fassifern in New South Wales is the next step in the line of pumped hydro energy storage (PHES) systems in coal mines.

On paper, Centennial Pumped Hydro Energy Storage is projected to add 600 MW of power to NEM. This will bridge the gap for energy storage needs and reduce the burden of cost with a half-done site.

Conclusion

The technology of Pumped Storage Hydropoweris making comeback in Australia after 30 years. Over 20+ projects of PSH are in different phases of development which are set to shift power production of Australia to 100% clean energy

The world is watchin to see how Australia grows on these developments in terms of planning, legislation, and execution.