Australia Streamlines Capacity Investment Scheme as 576MWh Solar-Plus-Storage Project Gets Fast Approval in Tasmania

Australia: CIS Waiting Times to be Reduced as 576MWh BESS is Approved
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By George Heynes
June 23, 2025

Australia’s Minister for Climate Change and Energy, Chris Bowen, has announced plans to streamline the Capacity Investment Scheme (CIS) tender process to approximately six months. This announcement was made at the beginning of Australian Energy Week in Melbourne last week. Bowen explained that the CIS will move to a one-stage tender process, replacing the current two-stage process.

This change is expected to shorten the time required to finalize tender outcomes from nine months to six months. Bowen emphasized the government’s commitment to optimizing the scheme, acknowledging that it faces several challenges. “The beauty of the CIS is that it provides the industry with investment certainty, but we can also learn and improve it as we proceed, which we will continue to do,” Bowen stated. He added that the sector still encounters issues related to social license, workforce constraints, and approval times. In collaboration with the states and the industry, efforts are being made to alleviate these constraints. Ensuring community benefits are incorporated into CIS contracts has been a key priority, and the government plans to keep enhancing this aspect.

Since its inception, the CIS has played a crucial role in boosting Australia’s renewable energy generation and energy storage capacity. Many tenders, both at national and state levels, have received an overwhelming response. For instance, the inaugural CIS auction aimed to secure 6GW of renewable energy generation in the National Electricity Market (NEM), but it attracted bids totaling 40GW, with 27GW deemed “very high quality” advancing to the next stage. Due to this substantial interest, the federal government has increased its target to 10GW in the NEM, which includes 4GW of dispatchable power and 6GW of renewable energy generation. Bowen noted that the latest tender round was oversubscribed by nearly three times, with 16.5GW of projects expressing interest against a government target of 6GW.

The CIS aims to unlock the “record levels of investment” needed for Australia to achieve its target of 82% renewable energy by 2030, which translates to 32GW of renewable energy and energy storage capacity. Specifically, this includes 23GW from renewable energy generation and 9GW from dispatchable capacity, such as battery energy storage systems (BESS).

### 576MWh Solar-Plus-Storage Project Approved in Just 20 Days

In other news from Australia, a 576MWh solar-plus-storage site in Tasmania has received national government approval in just 20 days. The 250MW Weasel Solar Farm project was submitted under the federal government’s Environment Protection and Biodiversity Conservation (EPBC) Act in April 2025. It includes plans for a co-located BESS sized at 144MW/576MWh, occupying a 3-hectare area.

The federal government confirmed that the approval process for this project was completed in only 20 days. The site will be located 9km north of Bothwell, in the heart of Tasmania, and will be connected to the NEM, situated within the proposed T3 Tasmania Midlands Renewable Energy Zone (REZ). The project is being proposed by the Downie family from Dungrove and the Bowden family from Weasel Plains, in collaboration with Alternate Path, an energy consultancy based in Victoria.

The solar PV power plant will feature up to 4,000 single-axis tracking PV modules installed over a 270-hectare area. Its design will allow for the continuation of agricultural practices, primarily sheep grazing, in a concept often referred to as ‘agrivoltaics’. Additionally, the project developers aim to ensure that forestry practices can continue nearby, thereby generating significant social and economic benefits for the local community, surrounding landowners, and the state of Tasmania. The project is expected to have an operational lifespan of 30 to 40 years, after which the plant will be decommissioned.