Australia, Renewables, Storage

WATCH: Transformers installed for landmark energy hub

Victoria’s Melbourne Renewable Energy Hub (MREH), poised to become one of the world’s largest batteries, has reached a critical construction phase with the installation of two 335-tonne transformers.

The milestone marks significant progress toward its mission to bolster grid stability and accelerate the state’s clean energy transition.

Co-owned by the State Electricity Commission (SEC Victoria) and Equis Australia, the $1.6 billion Hub will provide 1.6 gigawatt hours of energy storage — enough to power 200,000 homes during peak demand.

The facility will store excess rooftop solar and grid surplus, dispatching renewable energy during high-use periods.

The project is on track for initial operations later this year, with full commissioning expected by 2025.

The transformers, transported from the Port of Melbourne to the Plumpton site, were manoeuvred into place using a precision “jack and skate” method, involving hydraulic jacks and sliding mechanisms.

A third transformer will arrive in July, completing the setup required to convert and stabilise energy for grid compatibility.

Lumea, a Transgrid Group subsidiary overseeing grid integration, is constructing a 500 kilovolts  Plumpton Renewable Terminal Substation and a pioneering 1.75km underground cable—Australia’s first at this voltage—to link the battery to the Sydenham Terminal Station.

The Hub aligns with Victoria’s legislated net-zero targets and renewable energy roadmap.

Once operational, it will mitigate price volatility, reduce fossil fuel reliance, and support the state’s growing electricity demand.

Construction continues on the substation and cable, with testing of the first two transformers to begin in coming weeks.

The project is expected to create 155 jobs during peak construction, reinforcing Victoria’s position as a leader in grid-scale battery innovation.

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