Western Australia has approved BLT Energy’s 800 MW / 4,800 MWh Red Gully battery, signalling a significant scale-up in the nation’s long-duration storage pipeline. The six-hour facility’s approval comes as another eight-hour project joins the state’s development queue, underscoring a strategic push for capacity in the isolated SWIS grid. This momentum is mirrored nationally, with Eku Energy referring two 300 MW / 1,200 MWh battery projects in other states for federal environmental assessment. The trend highlights a clear shift from shorter-duration ancillary service assets towards larger, energy-shifting batteries designed to firm renewable generation over extended periods.
This growing storage pipeline will target a market where NEM spot prices fell 11.9 per cent week-on-week to average $40.23/MWh, suppressed by mild conditions and strong renewable output which accounted for 46.8% of generation. While batteries address grid stability, long-term innovation in generation remains a focus. ARENA committed an additional $95.4 million to the Australian Centre for Advanced Photovoltaics (ACAP), aiming to secure Australia’s research leadership in next-generation solar technologies. The funding reinforces a national strategy of investing in fundamental PV science to drive future cost reductions and efficiency gains.
Meanwhile, the global solar supply chain is sending mixed signals to project developers. Chinese polysilicon prices have dropped for three consecutive weeks as manufacturers clear excess inventory, suggesting continued downward pressure on input costs. However, Search4Solar CEO Bart Wansink warned that the European market shows signs of tightening. He argues the era of extreme oversupply and continuous module price declines is ending. This suggests Australian procurement strategies may need to shift from pure cost-chasing to prioritising supply security.
Policy debates continue to shape the investment landscape for both established and emerging technologies. The federal government is facing criticism for providing nearly $53 million to retrofit a coal-fired cement kiln to burn wood waste and tyres. Opponents argue the grant is poor climate and economic policy. In the regulatory sphere, AEMC Chair Anna Collyer confirmed a review of network tariff structures is underway. The evaluation is scrutinising guaranteed revenue models for monopoly providers and their impact on consumer costs amid rising DER penetration.
In the large-scale generation pipeline, Energy Estate proposed the 1,000 MW Lake Dalrymple Wind Farm in North Queensland, its second gigawatt-scale project submission in a week. The proposal adds to a growing list of major wind developments targeting the state's renewable energy zones. Across the Tasman, New Zealand’s Transpower received final approval for a NZ$1.1 billion upgrade of its inter-island HVDC link, a major transmission investment reflecting the grid reinforcement challenges common to both nations.
Looking ahead, regulatory activity is set to intensify. AEMO is seeking feedback on its Carbon Dioxide Procedures and NEM Negative Settlements Residue Procedure, with submissions for both closing on June 30. Shortly after, the AER will close submissions on AusNet’s application to pass through costs from the January 2026 Victorian bushfires on July 9. AEMO will also close consultation on a transmission capacity constraint RIT-T on July 11.