Pumped hydro potential grows at WaterNSW dams

WaterNSW has shortlisted three new pumped hydro sites to support renewable energy and strengthen NSW’s power network.

WaterNSW has shortlisted three new pumped hydro sites across New South Wales as part of its program to support renewable energy and long-duration storage. The potential locations, including Blowering, Burrendong, and Hume dams, were identified following detailed pre-feasibility studies conducted across WaterNSW’s 41 dams statewide.

Head of Major Projects Mark Roberts said the announcement marked an important milestone in identifying future renewable energy opportunities.

“This announcement is an important milestone in identifying new sites at WaterNSW dams that could host more privately developed long-duration pumped hydro projects to support the State’s renewable energy transition,” Roberts said.

He stated that the shortlisted dams had not been confirmed for development, and further analysis was required to assess their technical and environmental feasibility.

“It’s important to note the sites at Blowering, Burrendong and Hume dams have not been confirmed for development and more detailed studies are needed to confirm their potential viability,” he said.

The three locations were chosen after an extensive assessment of terrain, geotechnical conditions, environmental considerations, and grid connectivity. Additional sites may be added later this year once further pre-feasibility studies are completed.

In the coming months, WaterNSW will conduct on-site investigations at the shortlisted sites, including geological surveys, environmental and cultural heritage assessments, mapping and discussions with nearby landholders. The outcomes will determine whether any locations advance to a commercial tender stage to identify project developers.

Any potential pumped hydro projects would be privately funded and owned, with WaterNSW retaining ownership of the land. All developments would remain subject to environmental studies, community consultation and government planning approvals.

Roberts said the initiative was a key part of WaterNSW’s contribution to the state’s renewable energy goals.

“These investigations are about finding the best opportunities to deliver large-scale, long-duration energy storage in ways that also support regional jobs, diversify local economies and put downward pressure on water costs for customers,” he said.

The Long Duration Storage Program builds on WaterNSW’s broader Renewable Energy and Storage Program, which already includes developments in the Hunter Valley, Burrendong Dam in the Central West, and Lake Burragorang in Western Sydney. Together, these projects could bring up to 5.2 gigawatts of new pumped hydro storage to the NSW market by 2034.

One of the current developments, ACEN Australia’s Phoenix Pumped Hydro at Burrendong Dam, has secured a Long-Term Energy Service Agreement under the NSW Government’s Electricity Infrastructure Roadmap — a major step toward joining the state’s power grid.

Community engagement remains central to the next phase of studies, with WaterNSW planning local drop-in sessions near each newly shortlisted site to share information and gather feedback from residents and stakeholders.

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