This location is widely regarded as one of the best locations for pumped hydro storage in NSW.
Lake Lyell already provides a lower reservoir, a water source, access to transmission infrastructure, good topography, and land already zoned for energy generation.
Historically, the water level in Lake Lyell has moved up and down with the seasons. Lake users may remember the lake has not always bene consistently full of water.
Prior to 2010 it fluctuated greatly. During the 2006 drought, the level fell 20 m below full. Pumped hydro operation will see the water level drop very gradually over an 8-hour period by around two metres.
EnergyAustralia has already committed to making further investment in the Recreation Centre, including new pontons, new swimming areas, and ensuring the boat ramp is long enough to support launches when lake levels are lower.
Different technologies play different roles in the broader energy market. Batteries operate over shorter periods of time. Pumped hydro operates over longer periods and are often referred to as long duration storage.
Batteries also have a life span of between 15 to 20 years, wile pumped hydro has a lifespan of 80 to 100 years. This provides greater supply and stability in the system as pumped hydro can provide coverage dyring battery maintenance and vice versa.
No energy storage system (including lithium-ion batteries) are 100% efficient. The Lake Lyell Pumped Hydro project will have a round-trip efficiency of around 80% which is as good as lithium-ion batteries, and better than some other emerging storage technologies.
EnergyAustralia is the owner and operator of the Lake Lyell with responsibility for maintaining Lake Lyell, Thompsons Creek Reservoir, and the Lilyvale Dam, including making significant investments into the dams ongoing compliance, capital works, and operational costs.
EnergyAustralia spends over $2.5 million annually to maintain Lake Lyell.
Lake Lyell is not a naturally formed lake. The dam was built in 1982 by the then NSW Government owned Delta Electricity to supply water for the Mt Piper and Wallerawang Power Stations, The construction of the dam flooded sections of the Coxs River and Farmers Creek, creating Lake Lyell. It operates as part of a connected system of dams, including the Thompson Creek Reservoir and Lake Wallace.
A Platypus Management Plan is proposed to be developed to help protect the platypus. This Plan will outline measures such as avoiding certain construction activities during the nesting season, inspecting for and relocating platypuses if needed, rehabilitating disturbed areas, and managing water quality with silt curtains. Adaptive measures, developed with experts and First Nations representatives, will be considered if platypus health declines.
If approved, the Project must comply with the conditions of the approval. As a State Significant Infrastructure (SSI) project, these conditions may require us to prepare things like management plans, monitoring programs and a complaints management system before we start construction.
The Department of Planning, Housing and Infrastructure (the Department) oversees all post-approval requirements with other relevant government agencies that have a stake in our Project . The Department will publish copies of our management plans and post-approval decisions on the on the major projects website (Lake Lyell Pumped Hydro Energy Storage | Planning Portal - Department of Planning and Environment), You can access and track progress of the project via this website.
We will be responsible for:
Further more, if the project is approved, we will also be required to obtain other approvals, such as an environment protection licence, before we start.
We’re committed to maximising local employment. Dedicated training and education programs (including apprenticeships) will upskill workers from Lithgow and surrounding areas, with the Project seeking to employ at least 30% of the total workforce from the local region. While a temporary workforce accommodation facility is needed as part of this Project, workers requiring accommodation for a short period can still secure local accommodation, providing a boost to local motels or short-term rental suppliers. Workers housed at Project’s workers’ accommodation will spend time in the local area and engage in recreational activities, contributing to the local economy.
The project has followed Heritage NSW’s Aboriginal Cultural Heritage Consultation Requirements for Proponents guidelines to the Aboriginal cultural heritage assessment. A total of 19 Registered Aboriginal Parties (RAP) applied in June 2023 to be consulted as part of the Project, and engagement has since grown to 22 active participants including local Wiradjuri Traditional Owners. RAPs have been directly involved in early works surveys, monitoring, artefact identification, cultural values studies, and archaeology, and providing advice on design and cultural site management.
Once operational, the Project is expected to inject over $290 million into the regional economy, supporting around 50 ongoing direct and indirect jobs. In addition, the Shared Benefit Program will begin during construction and continue through the first 20 years of operations, supporting community projects and local initiatives. During construction, the project will create more than 650 direct and indirect jobs, including over 40 apprentice positions. These apprentices will complete their qualifications by the time construction finishes, making the project a significant long-term career-building opportunity for local people.
All EIS studies were carried out by independent, qualified experts. The company that led the development of the EIS was EMM Consulting which has been operating for over 15 years.
In 2022, the Project was awarded development funding support under the NSW Government’s Pumped Hydro Recoverable Grants program for feasibility studies only. No further government funding has been provided. The Project is fully owned by a joint venture between EnergyAustralia and EDF power solutions Australia, who are jointly funding ongoing development and, if the project is approved, its final delivery.
Since 2021 the Project team has been out and about in the community having conversations and hearing your feedback. This engagement has seen over 170 000 interactions with community, which included 36 community events, over 360 phone and email enquiries and 138 online or in-person meetings having taken place.
The following aspects of the Project were influenced by community and stakeholder feedback:
EnergyAustralia and EDF power solutions Australia recognise that we operate and plan for the energy transition on the traditional Country of the Wiradjuri peoples and we respect and acknowledge their continued connection to Country and culture.