The Western Australian State Government has commenced a two-stage Expression of Interest process to advance the development of a USD 150 million Vanadium Battery Energy Storage System in Kalgoorlie. The Department of Energy and Economic Diversification is leading the initiative to refine the scope and delivery of the major energy infrastructure project.

Project Specifications and Capabilities

The planned Vanadium Battery Energy Storage System will be a 50 megawatt/500 megawatt-hour facility capable of discharging for up to ten hours. Once complete, the battery system is designed to help integrate more renewable generation into the grid, strengthen system stability, and support the development of a cleaner, more resilient energy system for Western Australia.

The project aims to support energy resilience in the Goldfields region and power a more diverse and resilient local economy. The battery system represents part of new energy infrastructure intended to support the region's continued growth as Western Australia decarbonizes its energy systems and builds a more diverse, more resilient economy.

Two-Stage Expression of Interest Process

Stage One of the Expression of Interest process is currently open and will run until 30 January 2026. The State Government will use Stage One responses for multiple purposes, including exploring how local businesses could play a role in delivering the project and working with industry to determine practical and achievable local content outcomes.

The first stage will also define how the project can be delivered efficiently and on time, while ensuring the best value-for-money for Western Australia. Additionally, responses will inform the structure of the State Government's USD 150 million commitment and build a clearer picture of potential technologies, investment requirements, job creation, and other project details.

Stage Two of the Expression of Interest process is scheduled for early to mid-2026. This phase will evaluate detailed business cases against criteria developed from responses to Stage One to select a preferred proponent to deliver the VBESS project.

Regional Economic Context

The Goldfields region, including Kalgoorlie and the Eastern Goldfields, currently contributes around USD 19 billion to the State's economy each year. The region mines critical minerals and rare earths that underpin technologies at the heart of the global clean energy transition, including electric vehicles, solar panels, and wind turbines.

The State Government describes the Goldfields region as having always been an integral part of the Western Australian story of enterprise, industry, and opportunity. As Western Australia continues its energy transition, the region is expected to remain a vital player in shaping the State's future, supported by new energy infrastructure to power its growth.

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