Updated November 10, 2025 – EDP Renewables Australia and Queensland Investment Corporation (QIC) collaborate on the development of the Punchs Creek renewable energy project located near Toowoomba in Queensland after signing an exclusivity agreement. Punchs Creek features a 480 MW large scale solar farm co-located with a 400 MW/1,600 MWh battery energy storage system. The partners target financial close in 2026, as set earlier, and are already in advanced talks for a long-term offtake contract.
EDP Pushes for Punchs Creek and Merino as Part of 1.7 GW of Solar-Battery Projects in Australia Under CIS Awards
EDP Renewables (EDPR) is fast-tracking two hybrid solar and battery projects in Australia after securing Capacity Investment Scheme (CIS) Tender 4 awards – Punchs Creek in Queensland and Merino in New South Wales (NSW). The 480 MW solar plus 400 MW BESS Punchs Creek project expects financial close in 2026. It has also set commercial operations date for early 2029. The 530 MW solar plus 450 MW BESS Merino project in NSW, on the other hand, expects to reach ready-to-build status in late 2026.
Together, these projects add more than 1.7 GW of combined solar and storage capacity to the Australian grid under EDP’s accelerated push.
Factsheet for Punchs Creek and Merino Solar-BESS Projects by EDP
Developer: EDP Renewables Australia (EDPR)
Total Capacity: 1.7 GW of solar plus BESS
Solar Components: 480 MW in Punchs Creek and 530 MW in Merino
Battery Storage Components: 400 MW BESS at Punchs Creek and 450 MW at Merino
Expected Milestones:
- Punchs Creek FID in 2026. Targets operation by 2029
- Merino expects to start construction in late 2026
Financial Investment: CIS awards under Australia’s Capacity Investment Scheme Tender 4
Projects Timeline
October 2025: EDP announces push of its Australian solar-BESS projects following CIS contract awards.
H2 2026: Merino to start construction. Punchs Creek to reach financial close.
2029: Punch Creeks commercial operation date.
2029 Onwards: Merino (and other projects in EDP’s pipeline) expected to come online.
Australia’s Capacity Investment Scheme (CIS) Tender 4
The recently awarded CIS Tender 4 is proving crucial in unlocking capital for 20 large-scale wind, solar, and battery projects in Australia. The government’s tender 4 awarded 6.6 GW of capacity, with 11.4 GWh of solar-plus-storage contracts among them.
The Shift to Hybrid Projects: Outlook on Punchs Creek and Merino by EDP
Hybrid projects featuring co-located solar and storage are increasingly winning in federal renewables tenders because they can provide dispatchable power. Technically, this smoothens out the variability of solar output. Other projects that are largely private are also joining this bandwagon, like Octopus’ Blind Creek solar farm and battery storage project in NSW that recently reached financial close.
EDP’s Growing Renewables Portfolio
EDP’s commitment also signals confidence that policy, technology, and finance are aligning to push for large-scale renewable deployment. For the Portuguese energy company, these projects also reinforce its plans to grow its presence in the Asia-Pacific region. Its Australian portfolio now includes prior acquisitions and developments in solar, wind, and storage projects.
