Resolution Achieved for Australia's First Compressed Air Energy Storage Project
The 200-megawatt Silver City Energy Storage System in Broken Hill will proceed following a settlement between Hydrostor and Outback Astronomy. The project, set for completion by 2029 or 2030, aims to enhance energy reliability in the region, which has experienced blackouts.

Construction of the $1 billion Silver City Energy Storage System in Broken Hill will commence following a settlement reached between Hydrostor and local stargazing business Outback Astronomy. Approved in February 2025 by the New South Wales Department of Planning, the facility will store energy for approximately eight hours and is designed to mitigate rolling blackouts experienced in the area.
The project site is located 1.1 kilometers from Outback Astronomy, which expressed concerns about potential noise and light pollution. The final agreement includes amended conditions ensuring monitoring of these impacts.
This facility is Hydrostor's most advanced project and is expected to generate 300 to 400 construction jobs, along with 30 to 40 permanent positions over its operational lifespan. The outcome may set a precedent for future energy projects in Australia.




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