Silver City is a 200 MW Advanced Compressed Air Energy Storage (A-CAES) facility that is under late-stage development in Broken Hill, New South Wales. The project provides unmatched benefits to consumers in a remote region with extensive renewable infrastructure and resources.
About the project
As Australia modernizes its grid infrastructure and moves towards aggressive carbon emission reductions, it is undergoing a rapid energy transition. This has brought on significant need for storage to reduce curtailments and make the most of the renewables that are being added to the grid.
The Silver City Energy Storage Centre, a 1,600 megawatt hour (MWh) facility being built in Broken Hill, NSW, will eliminate the need for major investments in expensive new transmission lines and ongoing reliance on highly polluting diesel generators by providing 8+ hours of energy storage.
In February of 2025, Silver City’s development agreement was approved by the New South Wales Department of Planning, Housing, and Infrastructure, a critical step for the project to shortly begin construction. The project has also been awarded both a Network Service Agreement with Transgrid and a Long-Term Energy Service Agreement (LTESA) from AEMO Services, under the New South Wales government’s electricity infrastructure roadmap.
The project has received funding from the Australian Renewable Energy Agency (ARENA) as part of ARENA’s Advancing Renewables Program.
Visit our community website at SilverCityEnergyStorage.com
Project highlights
Benefits
Driving economic growth
Provide diversified skilled mining and construction job opportunities and generates significant regional economic development during both the construction and operation phases. The project will also deliver greater direct and indirect benefits compared to lithium-ion battery projects, with substantial in-situ construction works and a 50+ year lifetime.
Prioritizing local
A-CAES facilities use standard components and enables skilled workers from the mining and fossil-fuel industry to leverage existing skills while contributing to Australia’s clean energy future.
Ensure reliable supply to the Town Of Broken Hill
Deliver backup electrical capacity for Broken Hill ensuring the lights stay on and the mining infrastructure continues to operate in the event of transmission line failure. A-CAES can also improve the reliability of supply to Broken Hill by maximizing the use of existing renewables in the region, without the need to import and store large quantities of diesel fuel.
Delivering transmission system value
Maximize the efficient use of existing transmission lines with benefits for the consumer and for generators across Western NSW and Victoria. Today, the transmission lines that transports the electricity generated in the Western areas of NSW and Victoria to major demand centre’s such as Sydney and Melbourne often reach their maximum safe capacity when renewable output is at its peak.
This leads to higher line loses and forces local renewable production to be scaled back or shut down entirely, preventing these facilities from realizing their full economic and environmental potential. Traditionally, this problem is solved by the construction of expensive new transmission lines that are unsightly, prone to impacts from severe weather and can take years to gain environmental and stakeholder consent.
Silver City will instead solve this problem at much lower cost to the consumer by storing excess renewable electricity when transmission capacity is constrained and then sending that electricity down the same lines later in the day when capacity is available.
Offers low-cost expansion options
Options to cost-effectively expand either storage duration (i.e. MWhs of storage) or capacity (i.e. MWs of capacity) post-construction, allowing for low-cost, easy to deliver, future adjustment of the Centre’s configuration as market and grid needs continue to evolve.
Achieving environmental objectives
Deploy technology that achieves emissions-free operation to support Australia’s objective of reducing carbon emissions to 26-28% below 2005 levels by 2030 in addition to Broken Hill’s local goal of achieving 100% renewable energy supply by 2030. Also avoids the burning and transportation of large amounts of diesel fuel that supplies the current reliability solution for Broken Hill.
Minimal land and water requirements
Provide the equivalent bulk energy storage capabilities as pumped hydro with substantially lower land and water requirements, while repurposing existing mining infrastructure that would otherwise be retired.
Facilitating delivery of renewables
Deliver on-demand electricity when the grid needs it by storing and dispatching renewable energy generated in Western NSW and Western Victoria. The Centre will unlock the region’s renewable potential by relieving the pressure on the existing overloaded electrical transmission system. This will reduce line losses and curtailment of existing renewable facilities and allow new renewable projects to come online in the region.
Integrate renewable energy
Stimulate economic growth and new jobs
Transmission and fossil fuel alternative
Repurpose mining infrastructure
Proud to be a part of the Broken Hill
community
The Hydrostor team is proud to be an active member in the Broken Hill for 3 years since we announced our plans
to establish the Silver City Energy Storage facility.
Recent Project News
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Australia is looking for new ways to put sunshine aside for later
Breaking New Ground: Hydrostor’s Bold Step Towards a Sustainable Future for Broken Hill
Hydrostor Inks Lease with NSW Government for Silver City Project in Step Toward...
Have an inquiry?
New South Wales (NSW) Department of Planning, Housing and Infrastructure
Hydrostor (A-CAES NSW) has been advised that the Silver City Project Submission and Amendment Report has been accepted by the NSW Department of Planning, Housing and Infrastructure.
To view the documents please visit the NSW DPHI major projects register or follow this link
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Get in touch
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