Investment priorities

Committed to accelerating investment in NSW’s clean energy system, the Energy Security Corporation targets projects that are critical for reliability and security. We back proven, large-scale projects that need flexible capital to reach financial close and deployment, ensuring the state has the infrastructure where and when it is needed most.

Utility-scale storage

The ESC prioritises investment in energy storage projects that are essential to NSW’s energy transformation. Our focus spans a broad range, from distribution-connected systems with storage durations of 2 hours or more, to transmission-connected assets with durations of 4 hours or more, and deeper storage such as pumped hydro.

We are also focused on extending storage duration and unlocking the full potential of project sites. Energy storage plays a vital role in ensuring reliability and making the most of NSW’s abundant renewable energy resources.

System security and network infrastructure

The ESC invests in projects that unlock existing network capacity and strengthens system security to deliver a more resilient electricity system as NSW transitions to renewable energy. We back projects that enhance the use of existing network infrastructure, improving system performance without the need for major new builds, and prioritise assets that provide essential system services, such as synchronous condensers.

This capacity and strength are critical to accelerating the transition and maintaining a stable, reliable electricity system as coal-fired generation retires and renewable supply grows.

Consumer energy resources

The ESC invests in smart, scalable customer-side energy platforms.

We focus on consumer energy resources that generate or store electricity, as well as end-use equipment located behind the meter and are local. Our approach isn’t about isolated assets, it’s about scale and coordination.

We back platforms and portfolios of coordinated assets, like community batteries, rooftop solar, batteries and other equipment including virtual power plants. These investments deliver value for customers and can strengthen local reliability and ease pressure on the broader electricity system.

Ausgrid community battery. The artwork on the Ausgrid North Epping battery is by Leanne “Mulgo” Watson Redpath and titled Garad Flying

Our purpose

The ESC’s investment priorities help deliver the infrastructure that underpins a modern, reliable and secure energy system - and are informed by the Energy Security Corporation Act 2024 and Investment Mandate.

Our Investment Mandate outlines the parameters guiding our investment activities and how we will co-invest with the private sector in NSW-based clean energy projects.

Our primary objectives are to:

accelerate private sector investments in clean energy projects in NSW that improve the reliability, security and sustainability of electricity supply
support NSW to achieve its emissions reduction targets under the Climate Change (Net Zero Future) Act 2023
complement other government initiatives relating to clean energy technologies and partner with the private sector to finance clean energy technologies
achieve a government-mandated rate of return through a portfolio approach.

With a clear public mandate and investment independence, we’re uniquely positioned to invest in the initiatives and technologies needed to deliver a reliable and secure electricity system.

If you have an investment opportunity that aligns with our Investment Mandate, we invite you to get in touch.

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