Battery Storage Systems Play A Major Role in Maintaining Frequency On Australia's Grid

The survey shows that in the National Electricity Market (NEM), which serves most of Australia, battery storage systems play an important role in providing Frequency Controlled Ancillary Services (FCAS) to the NEM grid.

That's according to a quarterly survey report published by the Australian Energy Market Operator (AEMO). The latest edition of the Australian Energy Market Operator's (AEMO) quarterly Energy Dynamics Report covers the period January 1 to March 31, 2022, highlighting developments, statistics and trends affecting Australia's National Electricity Market (NEM).

For the first time ever, battery storage accounted for the largest share of frequency regulation services provided, with a 31 per cent market share across eight different frequency control ancillary services (FCAS) markets in Australia. Coal-fired power and hydropower are tied for second place with 21% each.
 

The Eraring battery storage project in NSW, a proposed 700MW/2,800MWh battery storage project by major integrated energy retailer and generator Origin Energy.

The project will be built on the site of Origin Energy's 2,880MW coal-fired power plant, which the company hopes to decommission by 2025. Its role in the local energy mix will be replaced by battery energy storage and a 2GW aggregated virtual power plant, which includes Origin's existing thermal power generation facility.

Origin Energy points to the evolving market structure of Australia's National Electricity Market (NEM) where coal-fired power plants are being replaced by renewables, energy storage, and other more modern technologies.

As Australia's energy landscape continues to evolve, the increasing reliance on battery storage highlights the critical need for reliable, high-performance energy storage solutions. Our company's advanced energy storage cabinets are designed to meet these demands, providing scalable, efficient, and safe storage systems for utility-scale projects, renewable integration, and virtual power plants. By leveraging robust materials, modular design, and intelligent management systems, our storage cabinets ensure seamless integration with modern energy networks, supporting frequency control, peak shaving, and grid stability initiatives similar to those observed in the NEM.