Atmos Renewables has selected Valo to deliver the 400 MW / 1,600 MWh Teebar Battery Energy Storage System in Queensland, one of the largest battery projects currently committed for construction in the state. The project will be located next to the Teebar Creek Substation in the Fraser Coast region and is expected to begin commercial operations in late 2028. Teebar is designed to strengthen grid stability and support additional renewable energy integration across Australia’s National Electricity Market.
Grid-Forming Capability Is a Key Feature
Teebar has secured Generator Performance Standards approval for grid-forming operation in the National Electricity Market. That allows the battery to provide system-strength services that become more important as conventional thermal generation declines and more inverter-based renewable capacity enters the grid.
Grid-forming batteries can help stabilise voltage and frequency rather than simply charging and discharging in response to market conditions. For Queensland, that makes Teebar relevant not only as an energy-shifting asset but also as part of the infrastructure needed to maintain system reliability through the energy transition.
The Project Is Linked to Australia’s Capacity Investment Scheme
Valo will support Atmos Renewables in meeting requirements associated with Australia’s Capacity Investment Scheme, which is designed to accelerate investment in reliable clean energy infrastructure.
The scheme gives projects greater revenue certainty while requiring them to meet performance and delivery conditions. For large batteries such as Teebar, that creates a clearer investment pathway for assets providing firming capacity alongside renewable generation.
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Construction Is the Next Major Step
The project is now moving into construction, with commercial operations targeted for late 2028. Atmos Renewables said the battery will support Queensland’s growing renewable energy system while also delivering longer-term benefits for the local community.
“Teebar BESS is an important project for Atmos Renewables and will play a significant role in supporting Queensland's growing renewable energy system,” said Nigel Baker, CEO of Atmos Renewables.
Valo Will Supply Technology and Long-Term Services
The project will use Valo’s GridSolve Quantum2 energy storage platform alongside GEMS software for energy management and power plant control. The system is intended to optimise operating performance while responding to grid requirements.
Valo will also provide a long-term service agreement covering maintenance, remote operational support, software updates, performance monitoring and availability guarantees. That keeps the technology provider involved beyond construction and into the operating life of the asset.
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Teebar Is an Early Milestone for the New Valo Brand
The project was announced shortly after the launch of Valo, the joint venture between Wärtsilä and RCT Solutions. Teebar therefore represents one of the company’s first major project announcements under the new brand.
“Teebar BESS represents another important step in supporting the country's transition to a cleaner, more resilient energy system,” said Suraj Narayan, Managing Director Australia at Valo.
The award takes Valo’s Australian energy storage portfolio to more than 7.6 GWh, giving the company a significant existing base in one of the world’s most active utility-scale battery markets.
Queensland Is Building More Firming Capacity Around Renewables
The scale of Teebar reflects the growing role of four-hour batteries in Australia’s electricity system. At 400 MW and 1,600 MWh, the project can sustain its maximum rated output for four hours, making it suitable for shifting renewable electricity across periods of peak demand as well as supporting grid stability.
The next test will be construction delivery and commissioning. If Teebar reaches operation in 2028 as planned, it will add another large grid-forming battery to the NEM and increase the amount of flexible capacity available to support Queensland’s renewable energy build-out.
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Ankit Palan is a Canada based writer who has been writing about sustainability for the past four years. He focuses on making topics like climate change, ESG, and responsible business easier to understand and more relatable. His work looks at how sustainability plays out in the real world, across businesses, finance, and everyday decisions, without overcomplicating it.
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