Construction has begun on the Lower Wonga solar farm and battery energy storage hybrid project in Queensland, Australia, with developer Lightsource bp marking the milestone as one of the most significant hybrid renewable energy developments in its global portfolio.

Project Scale and Location

Located near Gympie in Queensland, the Lower Wonga project will combine an approximately 380 MWdc solar farm with a 281MW/843MWh battery energy storage system.

The combination of large-scale renewable generation and flexible storage makes it one of the largest hybrid projects in Australia. Once operational, the project is expected to generate enough electricity to power the equivalent of approximately 126,000 homes each year. Lightsource bp describes Lower Wonga as its second solar and battery hybrid project to begin construction in Australia.

Rio Tinto Offtake Agreement

Alongside the construction announcement, Lightsource bp has signed a hybrid offtake agreement with Rio Tinto that combines low-cost solar generation with battery storage to deliver reliable renewable power.

The agreement is designed to support Rio Tinto's renewable energy portfolio in Queensland and is presented by Lightsource bp as an example of the increasing role of integrated solar and storage projects in meeting the energy needs of large industrial customers. The company said hybrid offtake arrangements of this kind are expected to serve as a blueprint for future projects.

Government Support Under the Capacity Investment Scheme

The project has secured support under the Australian Government's Capacity Investment Scheme. The scheme provides long-term revenue certainty for new renewable generation projects while helping accelerate the rollout of additional capacity needed to support Australia's energy transition and strengthen the National Electricity Market.

Lightsource bp said the project will add substantial renewable generation and dispatchable capacity to the National Electricity Market, supporting the delivery of lower-cost electricity while helping the system respond more effectively to changing demand patterns.

EPC Partner Appointed

A joint venture between INTEC Energy Solutions and Gotion Hi-Tech Australia has been appointed as the engineering, procurement, and construction partner EPC to deliver the project. Lightsource bp cited the joint venture's track record of delivering utility-scale renewable energy infrastructure as a factor in the appointment.

Jobs and Economic Activity

At peak construction, the project is expected to support around 400 to 500 jobs, alongside opportunities for local businesses, contractors, and suppliers. The project is expected to be operational in late 2028.

Strategic Rationale

Adam Pegg, Chief Operating Officer for Asia-Pacific at Lightsource bp, said the global power sector is entering a new phase that is no longer just about building renewable generation.

"It's about how solar and storage are now the lowest-cost sources of energy, to support growing demand from data centres, industry, and the electrification of transportation," he said.

Pegg described solar as providing the lowest-cost scalable electricity, while battery storage allows that energy to be shifted to periods of higher demand, strengthening flexibility and reliability across the grid.

He added that combining solar generation with storage strengthens the energy security value of renewable energy, enabling customers to benefit from long-term, predictable energy costs over the life of the project.

"Australia is one of the most attractive renewable energy markets in the world, and developments like Lower Wonga demonstrate how solar and storage together can deliver reliable, low-cost power at scale," Pegg said.

Regional Portfolio Context

Lower Wonga forms part of Lightsource bp's growing portfolio of solar and energy storage developments across the Asia-Pacific region. The company currently has over 9.5 GW of solar, wind, and storage projects in development across the region.

The company said the project reflects its growing focus on developments that combine generation and storage within a single project, with the hybrid model increasingly central to how it is approaching large-scale energy infrastructure.

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