Global energy firm and QIC launch $1bn Toowoomba solar and battery project

Construction will begin soon on a $1bn solar farm and battery project near Toowoomba, creating more than 500 jobs.

Construction will start within months on a $1bn solar farm and battery project in the Toowoomba region, which is partially driven by a state government-owned investment entity.

EDP Renewables Australia and Queensland Investment Corporation (QIC) have signed a partnership agreement to move forward with the first stage of the 480MW Punchs Creek project, which was acquired from Brisbane developer Skylab in August.

The solar farm and attached 400MW battery system about 30km southeast of Millmerran, was approved by the Toowoomba Regional Council in 2023.

It was also recently included in the latest tender of the federal government’s Capacity Investment Scheme, which underwrites part of the project to minimise financial risk.

“Energy produced at the solar project will either go straight into the grid or be stored in the BESS until it is needed during periods of high-demand and low energy generation, helping improve network stability,” EDP’s website said.

EDP Renewables Australia and QIC will start work on the new $1bn Punchs Creek solar farm in the Toowoomba region in early 2026.

Construction is expected to start by March 2026, with the solar farm to support more than 500 jobs during construction as well as 20 ongoing roles across its 35-year life cycle.

EDP lodged an operational works application with the council for new roads and stormwater in September.

EDP Renewables Asia-Pacific chief executive Miguel Fonseca said Punchs Creek would be the Spanish company’s first development in Australia.

“EDPR views Queensland and Australia as key markets with strong fundamentals for renewables and is focusing on scaling hybrid projects, with the aim of deploying material capacity by 2030 as part of a longer- term pipeline of about 4GW,” Mr Fonseca said.

Skylab's plans for a 800MW solar farm in Punch's Creek from 2023.

“As a leading Australian infrastructure manager with more than a decade investing in the energy transition, QIC brings everything we look for in a local partner to unlock these projects and explore further opportunities.”

QIC global infrastructure head Ross Israel said the partnership built on the company’s existing investment into energy projects.

“We have long recognised that collaboration between institutional investors, infrastructure managers and developers is central to realising opportunities across the energy value chain,” he said.

“QIC is pleased to support bringing their global development capabilities to Queensland and see significant merit in combining EDPR’s technical excellence with QIC’s deep local market knowledge.

“This pairing provides a strong platform to deliver new solar and battery storage at scale and speed, demonstrating both the attractiveness of Queensland as an investment destination and QIC as a trusted local partner.”

Punchs Creek was originally conceived as a two-stage, 800MW solar farm on 1300 hectares of land, along with a 250MW battery system.

This was upgraded to an 800MW battery through a change application to council last year.