Pacific Green has secured a 10-year tolling agreement with ZEN Energy covering 1.5 gigawatt-hours (GWh) of battery energy storage across three projects in Victoria, New South Wales, and Queensland.
The deal builds on Pacific Green’s earlier offtake for the 500 megawatt-hours (MWh) Limestone Coast North BESS in South Australia, marking its largest Australian offtake arrangement to date. The three projects form part of Pacific Green’s broader 7GWh development pipeline in the National Electricity Market.
The long-term commitment enables ZEN to access storage capacity to support its commercial and industrial customer base, while Pacific Green advances its BESS rollout strategy in Australia.
“Following our initial offtake agreement of 500MWh for Limestone Coast North in South Australia, we are delighted to enter into a strategic framework for a further 1.5GWh,” said Scott Poulter, Pacific Green’s Group CEO.
“This framework agreement helps Pacific Green underwrite a significant part of our portfolio of developments in Victoria, New South Wales and Queensland, and enables Pacific Green to industrialise its project development processes.”
ZEN CEO Anthony Garnaut said: “ZEN and Pacific Green share a strategy that has storage at its heart. This next stage of ZEN’s deepening partnership with Pacific Green enables us to support our growing book of sustainability-driven commercial and industrial customers, as well as smooth the volatility inherent in the energy transition, as we meet the 24/7 requirements of our customers.”
The agreement is intended to support ZEN’s flexible load-shaping and firming strategy, amid a growing need for dispatchable storage as coal exits the grid and renewable penetration rises.