20 May 2026
New Hybrid Generation LTESA introduced to support integrated solar and storage projects
Generation tenders are back on the agenda for the NSW Electricity Infrastructure Roadmap, with ASL opening NSW Tender 8 today.
With an indicative target of 2.5 GW of new generation infrastructure, Tender 8 is the program’s largest ever generation Long-Term Electricity Service Agreement (LTESA) tender, and offers a new Hybrid Generation LTESA to support Hybrid Generation projects.
Generation LTESA tenders were paused while projects in NSW participated in the Australian Government’s Capacity Investment Scheme (CIS), over the last two years. With the NSW allocation under the CIS expected to be shortly met, this tender marks a return to support under the Roadmap for generation infrastructure in NSW.
Concurrently, ASL will also conduct a new tender for 12 GWh of Long-Duration Storage (NSW Tender 9).
This is the first of two large annual LDS tenders planned for Q2 2026 and Q2 2027, in line with the ambitious development pathway laid out in the 2025 Infrastructure Investment Objectives Report, which aims to secure 42 GWh of Long‑Duration Storage by 2034.
Across all NSW Roadmap tenders, ASL may award LTESAs above or below the indicative target if it is in the long-term financial interests of consumer to do so. This flexibility allows final volumes to be determined by the competitiveness of bids and value-for-money demonstrated within each tender.
NSW Roadmap Tender 8 for Generation
This tender seeks 2.5 GW of new generation infrastructure. ASL’s assessment recognises the importance of technologies such as wind and solar-hybrid which can deliver energy when it is most valuable to the system. For these reasons, the tender is expected to support investment across a range of technologies.
Generation LTESAs are revenue support instruments designed to support projects reaching Final Investment Decision / Financial Close. ASL is calling on projects to bid competitively to secure the support needed to progress their projects into construction and operation.
ASL is also open to considering projects which account for network related risks and additional costs in their bids such as necessary upgrades specific to the project and near-term, and temporary curtailment losses where new network capacity is not yet available.
In response to the evolving needs of the market, and following consultation undertaken earlier this year, ASL will also make a new Hybrid Generation LTESA available in this tender. The product is designed with the aim of helping co-located generation and storage projects reach Final Investment Decision / Financial Close. The product requires projects to have a generation capacity equal to or greater than the storage capacity, and a storage duration of at least 4-hours. The final product design has been directly informed by stakeholder feedback to ensure it caters specifically for the unique operating characteristics of hybrid generation
NSW Roadmap Tender 9 for Long Duration Storage
This tender will seek an indicative 12 GWh of Long Duration Storage (LDS), defined as storage capable of dispatching at its relevant capacity for eight hours or more.
ASL invites LDS projects that can be operational by either 2030 or 2034 to come forward and participate in this tender. The LDS LTESA provides access to a capped annuity payment to support a project’s business case. The design of the product ensures that LDS projects are always better off with an LTESA.
Both tenders open today 20 May, with proponents given approximately seven weeks to prepare and submit bids.
Quotes attributable to ASL CEO, Nevenka Codevelle
“As we approach 2030, our focus is supporting projects that can get financed and built.
“Our investment priorities are clear, and high-value projects such as wind and solar-hybrids are strongly encouraged to come forth and participate.
“Proponents that demonstrate their ability to bring capacity to the network on schedule, and bid competitively for the support they need to reach financial close will be well placed in this process.
“Together, these tenders support both the delivery of new generation, hybrid and long duration storage projects New South Wales needs as its energy system transforms.”
-ENDS-
For more information
ASL Media I M 0403 706 438 I E [email protected]
Last updated 19 May 2026