Construction has begun on the Muswellbrook Solar Farm and Battery, the first major solar and storage development expected to connect to the Hunter-Central Coast Renewable Energy Zone.

The project is being delivered by renewable energy generator OX2 and was co-developed with Idemitsu Australia. It covers about 482 hectares, largely on land owned by Muswellbrook Coal Company, an Idemitsu subsidiary, about 2.5 kilometres east of Muswellbrook.

The development will include a solar farm of up to 135 MW and a 100 MW battery energy storage system. OX2 estimates the solar farm will produce about 347 GWh of electricity and supply the equivalent of approximately 52,310 homes.

The NSW Independent Planning Commission approved the project, subject to conditions, on 27 May 2025. Financial close was reached in May 2026.

Former mining land takes on another energy role

Construction started on 21 August 2026 and is expected to support about 200 jobs at its peak. Operations are planned to begin by 2028, with OX2 estimating the project will employ approximately six permanent workers and provide another three full-time equivalent roles during operations.

OX2 Vice President Australia Stephen Symons said the development would continue the site’s role in energy production.

“By repurposing a former coal mine site into a renewables hub, we’re investing in infrastructure that will provide reliable energy, create local jobs, strengthen regional supply chains and support the Hunter’s future prosperity.”

The project is expected to operate for 40 years. Around 300,000 solar panels are planned across the site, while the battery will store electricity for release when it is needed.

Under an agreement with Muswellbrook Shire Council, OX2 will contribute $115,000 a year to a Community Benefit Sharing Program.

Existing network to carry new generation

The project will connect to the NSW electricity network through an existing 132 kV overhead line west of the site. The connection works will include approximately 2.4 kilometres of new overhead line and a 132 kV switching yard.

Connection to the upgraded network is expected in late 2027, ahead of planned operations in 2028.

EnergyCo commissioned Ausgrid to upgrade the region’s distribution network, with one gigawatt of additional network capacity due to be available by 2028. The first stage of that work has been completed, allowing generators to connect once their developments are ready.

EnergyCo Chief Executive Hannah McCaughey said the additional capacity was already enabling renewable generation and storage developments.

“It’s pleasing to see that the additional network capacity we are building in the Hunter-Central Coast REZ is already unlocking new renewable energy and storage projects, delivering economic benefits to the Hunter region.”

Unlike other NSW Renewable Energy Zone network projects, the Hunter-Central Coast works will upgrade existing distribution poles and wires rather than relying entirely on new transmission lines. EnergyCo said this approach would reduce impacts on land and surrounding communities, while limiting effects on the environment and electricity bills.

REZ upgrades expand regional capacity

The broader Hunter-Central Coast network project is intended to connect another 1.8 GW of renewable generation and storage.

Works include upgrades to about 85 kilometres of sub-transmission lines and the installation of 18 kilometres of underground fibre-optic communications cable. Two energy hubs will be built at Sandy Creek and Antiene in the Muswellbrook local government area, while existing substations will also be upgraded.

EnergyCo expects the REZ to attract up to $3.9 billion in private investment. It forecasts an average of about 590 direct jobs each year during construction and 220 operational jobs from 2030.

Equans Solar & Storage and Bouygues Construction Australia’s joint venture is the preferred engineering, procurement and construction contractor for the Muswellbrook development.

Hunter businesses interested in supplying services to the Muswellbrook project, along with people seeking employment, can register their interest with OX2 on their website here.