Zen Energy to turn NSW mining site to 1-GW pumped storage complex

Aussie renewable energy retailer Zen Energy on Thursday unveiled plans to develop a 1-GW pumped storage hydropower project at the site of a former coal pit in New South Wales, offering a solution that will stabilise the state’s electricity grid along with power prices.

The Western Sydney Pumped Hydro Project envisages pumping water through mostly underground tunnels from Lake Burragorang to a reservoir that was used as a coal washery until 2001. If built, the facility will be able to store and supply up to eight continuous hours of firming energy, delivering on-demand electricity to 500,000 homes and businesses.

Zen Energy will be partnering with the Dunbier family, the owner of the Burragorang Valley Coal company that earlier operated the coal mining site. Their next steps in the initiative will be to conduct studies and consultations with traditional land owners and residents. Provided that all approvals and a social licence are secured, they expect to kick off construction activities in 2027 and switch on the pumped storage complex by 2031.

According to initial studies, the proposed facility will not harm water quality or cause any change to water levels in Lake Burragorang.

The project comes with an AUD-1-million (USD 652.5m/EUR 607.4m) community benefit programme. Its construction phase is anticipated to create 1,500 jobs, Zen Energy said.

(AUD 1.0 = USD 0.653/EUR 0.607)

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