Elon Musk’s Tesla to control Rockhampton battery project
Elon Musk’s Tesla Motors will take over the operation of Genex’s Bouldercombe 50Mw battery near Rockhampton.
Under the deal, Tesla will operate the battery using its algorithm-based bidding system, known as Autobidder, which will control the trading using machine-learning and potentially optimise dispatch behaviour.
The technology has already been deployed globally and currently operates about 1 gigawatt of electricity.
After eight years, Genex will enter into a licence agreement with Tesla to operate Autobidder at Bouldercombe.
The deal follows a previous announcement between the two companies to use Tesla batteries at the site.
Genex said the reasoning behind the deal was to provide a minimum level of contracted revenues to support project financing.
It said the agreement provided for a fixed and floating payment structure in which Genex would have cash flow certainty to the project lenders while the floating component provided revenue upside.
Genex chief executive James Harding said the deal was a key milestone as he neared financial close.
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He said the deal would reduce the complexity of the project which is expected to be one of the first standalone, large-scale batteries in Queensland.
Genex is also developing the Kidston renewable energy project in north Queensland which includes pumped hydro that is currently under development, a existing solar farm and potential wind farm.
