EnergyAustralia has announced a new joint venture with EDF Power Solutions Australia to co-develop the Lake Lyell pumped storage hydro project in Lithgow, New South Wales.
EDF was selected following a competitive process, with the company chosen for its international experience in developing and operating pumped hydro assets.
If approved, the Lake Lyell project would deliver 385MW of dispatchable energy – enough to power more than 250,000 NSW homes for up to eight hours.
Mark Collette, Managing Director of EnergyAustralia, said the partnership is part of the company’s broader strategy to support the clean energy transition. “Our purpose is to lead and accelerate the clean energy transformation for all. The Lake Lyell project is a major initiative as part of this transition, providing storage that will firm renewables,” Collette said. “We recognise pumped hydro requires unique expertise to ensure it is developed and delivered efficiently, while considering the best interests of the local community and the wider state of NSW. This partnership will enable both EnergyAustralia and EDF Power Solutions Australia to lend their expertise to the continued development of this important project.
“EnergyAustralia holds long term relationships with the Lithgow community, and we have built strong relationships with the community. We look forward to continuing to work with the community and local stakeholders.”
James Katsikas, CEO of EDF Power Solutions Australia, said the company’s global hydroelectric experience would support the delivery of Lake Lyell to high standards.
“EDF Group is one of the world’s largest, diversified low-carbon energy producers. We own and operate over 20GWs of hydroelectric assets across the globe and are developing many more GWs. In Australia we are already leading the Dungowan pumped storage project near Tamworth, NSW, with 300 MWs and ten hours of storage that will support NSW’s energy transition,” he said.
“We will work with EnergyAustralia and all interested stakeholders to ensure that Lake Lyell becomes a model of sustainable development and a source of real pride for the region.”
Under the joint venture, EDF Power Solutions Australia now holds a 75% equity stake in the project, with EnergyAustralia retaining 25%. EnergyAustralia will maintain first rights to the project’s power offtake and will continue to lead local engagement efforts.
The project is preparing to submit its Environmental Impact Statement in 2025, with a Final Investment Decision expected by late 2026.
EnergyAustralia has invested significantly in the nearby Mt Piper power station and is also developing a utility-scale battery at the site.
