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Industrial power plant under construction with tall cylindrical structures and cranes at dusk
✓ Newcastle HeraldPlanet & Environment

NSW to tender gas plants to back up renewable energy transition

NSW will tender for 1500 megawatts of gas-fired peaking plants. They provide backup power when renewable energy generation runs short.

The NSW government opened consultation this week on a proposal for 1500 megawatts of firming infrastructure. The infrastructure is expected to be mostly gas-fired backup plants.

Gas peaking plants will run only occasionally when renewable energy is not enough and batteries are depleted. The Snowy Hydro gas peaker at Kurri is already operating.

AGL is building a 500-megawatt battery at Tomago instead of a proposed gas plant. Consultation on the tender design is open now, with the formal tender to launch in 2027.

NSW's two remaining coal-fired power stations will retire by 2033. Gas will serve as backup power during rare periods of low wind and solar.

1500 megawatts
Capacity to tender
Snowy Hydro plant at Kurri
Operating gas peaker
2033
Coal station closure
Penny Sharpe
Energy Minister

Why it mattersWithout this planning, NSW risks blackouts as coal retires and renewable energy grows. Gas peakers are the most practical short-term option. We need them until long-duration battery technology matures.

AustraliaAustralian electricity bills and grid stability depend on reliable backup power; this shapes NSW's energy costs and supply security for the next decade.

✓ Claims checked against the source and corrected before publish. checked 1 h ago

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