AGL Reaches Final Investment Decision on 500 MW Tomago Battery Project with Fluence as Delivery Partner

Image: Fluence

Australian energy giant AGL has made the final investment decision (FID) on its 500 MW / 2,000 MWh Tomago Battery Energy Storage System (BESS), located about 20 kilometres northwest of Newcastle, New South Wales. AGL has appointed global energy storage leader Fluence to deliver the project.

Valued at approximately AUD 800 million (USD 514 million), construction of the Tomago BESS is set to commence in late 2025, with operations expected to begin in late 2027. The battery is designed for a 20-year lifespan and will play a key role in supporting Australia's energy transition.

AGL Managing Director and CEO Damien Nicks said the Tomago project represents a significant step in the company’s decarbonisation journey.

“Once operational, the Tomago Battery will expand AGL’s portfolio of grid-scale batteries and contracted flexible capacity. It further strengthens our suite of flexible energy assets,” Nicks said.

AGL’s growing battery fleet already includes the 250 MW Torrens Island Battery and the 50 MW Broken Hill Battery, both of which have shown strong performance since coming online. The 500 MW Liddell Battery is also progressing well and remains on track for operation in early 2026.

Nicks added that AGL has a clear pipeline to FID for an additional 900 MW of grid-scale battery projects as part of its strategy to accelerate the development of flexible energy assets across Australia.

“We’ll continue to leverage our in-house expertise to optimise the performance of our battery portfolio,” he said.

The Tomago BESS is one of the largest individual battery transactions in the history of Australia’s National Electricity Market (NEM), and marks Fluence’s largest project to date.

Fluence will deploy its Gridstack Pro solution for the project—a utility-scale energy storage platform offering advanced flexibility, grid-forming capability, and reliability enhancements.

Fluence APAC President Jan Teichmann said the Tomago BESS underscores Fluence’s commitment to supporting AGL in building a renewable energy future for Australia.

“Australia continues to be one of the world’s most dynamic storage markets, experiencing rapid growth as it transitions to clean energy,” Teichmann said.

Jason Beer, Fluence Australia General Manager, added that the Tomago project showcases the depth of Fluence’s end-to-end delivery expertise and robust product suite.

This will be Fluence’s third grid-scale BESS delivered for AGL, following the successful delivery of the 50 MWh Broken Hill BESS and the ongoing construction of the 1000 MWh Liddell BESS.