Akaysha Energy secures $650 million for major Orana Battery Energy Storage Project
Akaysha Energy has successfully closed a A$650 million debt raise with a consortium of eleven banks, including ANZ, CBA, Westpac, and several international banks. This funding will support the construction of the Orana Battery Energy Storage System (BESS), a project that will add over 1,660MWh of storage capacity to the National Electricity Market (NEM).
Located near Wellington, NSW, within the Central West Orana Renewable Energy Zone (REZ), Akaysha’s Orana BESS project aims to enhance grid stability and support the expansion of renewable energy projects in the region.
The Orana BESS will use Tesla Megapack technology, recognized for its efficiency and reliability in large-scale energy storage. With a storage capacity of over 1,660MWh, it will be one of the largest four-hour batteries globally.
The project will offer energy arbitrage, storing excess energy during low demand periods and releasing it during peak demand to stabilize the grid and ensure a steady supply of electricity. By providing this grid firming capability, the BESS will support the integration of intermittent renewable energy sources like solar and wind, leveraging existing transmission infrastructure in the area.
An innovative twelve-year ‘virtual toll’ offtake agreement with EnergyAustralia is central to this financing. Covering 200MW of contracted capacity, this agreement allows EnergyAustralia to virtually charge and discharge the battery, managing its price and load commitments without needing to build and operate the physical infrastructure.
Paul Curnow, Managing Director and Chief Commercial Officer at Akaysha, explained, “This type of offtake product can be scaled in contracted capacity to better accommodate Offtaker demand and was devised by Akaysha’s commercial and energy markets teams.”
Early works on the Orana BESS have already begun, with commercial operations expected to start in 2026. The financing also includes more than A$75 million in Letters of Credit to support project security obligations.
