South Australia Begins Construction of 1,000 MWh Battery as 4-Hour Energy Storage System
Sydney (Australia) - The expansion of renewable energy in Australia continues to advance alongside large-scale battery storage systems. On 16 April 2026, Alinta Energy officially began construction of the first phase of the Reeves Plains Energy Hub in South Australia.
Large energy hub planned – construction starts for 4-hour storage system
The facility is being built about 50 kilometers north of Adelaide and is scheduled to begin operations in 2028. Once operational, it will be able to supply electricity for up to four hours to around 300,000 households. Construction of the battery system is being carried out by GenusPlus Group as the main contractor. Additional partners include CATL (battery modules) and Power Electronics (inverters).
The battery storage system is part of a larger energy hub that is expected to be expanded in the future. In addition to the battery, the overall concept also includes a gas power plant.
The gas power plant remains part of the planning and permitting framework. Its final configuration, capacity, and economic role may still change during project development. Battery storage systems already perform key grid functions today, such as frequency regulation, grid stabilization, and renewable energy integration, thereby significantly reducing the need for frequent operation of gas-fired power plants.
Energy policy in South Australia: Towards a net 100 percent renewable electricity system
South Australia is a self-governing state of Australia and is among the global leaders in integrating renewable energy into its electricity system. The state already covers around 70–75 percent of its annual electricity demand from renewable sources.
This share is expected to increase significantly in the coming years: government projections estimate around 85 percent renewable electricity in the late 2020s.
The long-term policy goal is to further decarbonize the electricity sector and achieve a “net 100 percent renewable electricity” balance by around 2027.
Even today, the grid is periodically fully powered by wind and solar energy. Against this backdrop, battery storage and flexible generation capacity are becoming increasingly important to ensure the stability of a renewable energy system.
The construction of the Reeves Plains Energy Hub is part of this strategic transition toward a more storage-based and largely decarbonized energy system.
Source: IWR Online, 30 Apr 2026
