The project

What’s involved 

The project will comprise two reservoirs created from existing terrain:

  • the upper reservoir will be created by filling an existing valley

  • the lower reservoir will be an 'in-stream' reservoir on the Broken River, downstream of Sunwater's existing Eungella Dam.

The pumped hydro system will connect to the existing high voltage transmission line from Strathmore to Nebo via a substation and 18km of new transmission line.

The Project is expected to be operating by 2031 and will bring sustainable industry and employment to the region.

 

Location

The project area is a few kilometres downstream of the existing Eungella Dam and is 80km west of Mackay. The project is located on two properties that have been used for cattle grazing since the 1880s, which will continue throughout construction and operations.

Project benefits

Capricornia will support stable, reliable, and affordable energy for Queenslanders by;

  • Using excess electricity during the day to ensure rooftop solar can continue to generate and lower household power bills,

  • Generating low-cost electricity during peak demand,

  • Creating system stability so that we can maintain and transition Queensland’s generation with greater confidence, and at a lower cost. 

We are committed to working with the local community and providing lasting benefits through employment, procurement, and partnership opportunities during construction and ongoing operations.

Capricornia will boost regional economic growth, including 600 jobs during construction, and 65 jobs ongoing during operations.

Timeline

2019 - 2022

  • Land agreements

  • Transmission network and economic modelling

  • Preliminary design and technical studies

  • Indigenous Land Use Agreement and environmental assessment

Concept and pre-feasibility

2022 - 2024

  • Signed Indigenous Land Use Agreement
    with Widi

  • Environmental studies

  • Australian government EPBC referral

  • Coordinated project declaration

Feasibility studies

2024 - 2026

  • Environmental Impact Statement

  • Design development options

  • Environmental management plans and offsets

  • Geotechnical studies

  • Major contractor award

Development

2026 - 2032

  • Primary approvals

  • Final investment decision 

  • Secondary approvals

  • Construction

Approvals and construction

About pumped
hydro

Pumped hydro works like a battery, where electricity is ‘stored’ by pumping water uphill, and ‘generated’ by releasing water downhill through underground turbines.

Pumped hydro can be turned on and off quickly and can operate across a range of weather conditions. This ensures that energy is available when it is needed most.

Pumped hydro will recharge at times when homes and businesses aren't using power (low demand) and will generate when those same homes and business need it most (high demand). This keeps the energy system stable and helps to integrate and support existing and newer forms of energy generation, including renewables. The below diagram shows the two cycles of a pumped hydro system – pumping and generating.

Approvals process 

The project is being assessed as a coordinated project, led by the Office of the Coordinator-General (OCG), which integrates both state and federal requirements. This includes an EIS under the Queensland State Development and Public Works Organisation Act 1971.

The final EIS Terms of Reference were published on September 27, 2024. The project has been determined as a 'controlled action' by the federal government under the Environmental Protection and Biodiversity Conservation Act 1999.

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FAQ’s

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