EnergyAustralia recognises that the proposed site for the Lake Lyell Pumped Hydro Project is on the traditional Country of the Wiradjuri peoples and respects and acknowledges their continued connection to Country and culture. 

Please note our dedicated project website is undergoing an update and is redirected to this project webpage.

Introduction 

We are progressing with the development of a pumped hydro energy storage project on land and waterways we own near Lithgow.

The NSW Government has declared the project as Critical State Significance Infrastructure (CSSI), highlighting its importance as essential, high -priority infrastructure for the state.

With CSSI status, the project will still undergo extensive investigative work and technical studies as an Environmental Impact Statement (EIS) is completed in 2025.

Community engagement continues to be an essential part of the project with further opportunities for community input when the EIS will be shared publicly in 2025.

Our dedicated project website is undergoing an update as part of our preparations for the Environmental Impact Statement. 
 

 

Why it’s needed  

Energy storage plays a vital role in the renewable energy transition and a new, modern energy system by providing flexible, reliable and quality power, when we need it most.  

Pumped hydro is a proven and reliable form of energy storage, allowing energy to be stored for longer than most current battery technologies.

It works by using two reservoirs of water – one up high and one down low to store energy and generate electricity. When solar and wind power is plentiful, this energy is used to pump water from the lower reservoir to the upper reservoir.

When energy is needed, the water from the upper reservoir is released back into the lower reservoir turning turbines which generate electricity. This electricity is sent to the grid for use in homes and business.


Key project features

The project would use water from Lake Lyell (a man-made lake originally built to support local power stations), existing transmission infrastructure, and see the development of a purpose-built reservoir behind the southern ridge of Mount Walker (not visible to the majority of Lithgow).

Expected to operate for up to 80 years, this project will generate 385 megawatts of electricity for 8 hours at a time with capability to deliver 430MW for a shorter duration – offering more reliable and affordable energy to support hundreds of thousands of  homes and businesses in the local community, Central West region and across the state.

The upper reservoir which stores the energy will connect through an underground waterway to a powerhouse with two pump turbine units approximately 170m below ground level, where the reversible generating units will store energy by pumping water to the upper reservoir, or generate energy by releasing water back down to Lake Lyell.

Electricity will exit the powerhouse through buried cables to the 330kV switchyard on the edge of the lake connected to the existing 330kV transmission lines. The outlet from the powerhouse connects to the lower reservoir through the tail waterway which emerges into an inlet/outlet structure on the edge of Lake Lyell in Farmers Creek arm.

During daily operating cycles Lake Lyell water level will fall and rise by approximately 2.5m over a typical 24 hrs as water is pumped from the lake to store renewable energy and then is returned to the lake to deliver renewable energy back into the grid.

 

Project development and timings 

The project is large scale and significant which takes time to assess, study and develop. Timeframes have been adjusted as more technical and environmental work is undertaken.

We have been undertaking feasibility assessments on the land and waterways commencing technical and environmental studies for the Environmental Impact Statement in August 2023 with the release of the NSW Government’s Secretary’s Environmental Assessment Requirements (SEARs). The NSW Government recently updated the SEARs in line with the project’s CSSI designation.

Scientists, engineers and independent experts have been undertaking technical work to develop the concept design and identify the potential impacts of the project and mitigation measures for biodiversity, aquatic ecology, Aboriginal heritage, social impact, water, climate effects and more.

The studies span day and night, across seasons and extend to understanding the movements of transitory and migratory animal species with insights guiding the project team to provide special considerations in design and construction where necessary.

While technical and environmental studies are underway, community engagement is ongoing through Project HQ, popup engagements at community events; regular Community Consultative Committee meetings; briefings and presentations to Lithgow City Council; one on one discussion with near neighbours and responses to the community hotline and inbox.

  •     Feasibility – February 2023 to early 2024
  •     Planning and development – July 2023 to late 2025
  •     Project exhibition and government approvals - mid-2025 to late 2025
  •     Final decision (pending approvals) – July to December 2026
  •     Construction – late 2026 to 2030
  •     Operations commence – 2030
        

Next steps

EnergyAustralia continues to finalise technical and environmental studies for the Environmental Impact Statement (EIS).  

The EIS provides a description of the project, how it will be constructed and a technical assessment of the project, including potential economic, environmental and social impacts.

It also outlined a range of mitigation measures which would be implemented to avoid, minimise and/or mitigate potential impacts to the surrounding environment and local communities during construction and operations.

The EIS aims to inform community and key stakeholders about the project in more detail and supports informed submissions as part of the planning process.

When the EIS is lodged with the NSW Department of Planning, Housing and Infrastructure DPHI, it will be placed on public exhibition for at least 28 days.

During this time, communities and stakeholders can view the EIS on the NSW Planning Portal and make a submission to DPHI.

We are committed to working with the community and stakeholders to plan and develop pumped hydro and to deliver meaningful mitigations and benefits.

For more information, please contact us on:

Email: community@EnergyAustralia.com.au
Phone: 1800 574 947
Postal Address: EnergyAustralia Project HQ, 124 Main Street, Lithgow

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