King & Wood Mallesons (“KWM”) is pleased to have advised SmartestEnergy Australia , a leading provider of renewable energy solutions for businesses, on the negotiation of its first battery tolling agreement in respect of the Calala Battery and Energy Storage System (“Calala BESS”), being developed by Equis Energy (“Equis”).
SmartestEnergy Australia has partnered with Equis for Stage 1 of the Calala BESS project, which will deliver 100MW / 200MWh of capacity with a two-hour discharge duration. This agreement marks a major milestone in SEA’s expansion into the Australian energy market, enhancing the firming capacity of its retail portfolio while also contributing to improved grid reliability and supporting Australia’s transition to renewable energy.
The Calala BESS is being financed by a $260m non-recourse senior debt package, provided by Westpac, Societe Generale and Sumimoto Mitsui Banking Corporation, who were advised separately by KWM’s Project Financing team.
The KWM team was led by Partner Josh Thorneycroft and Solicitor Annelise Nguyen.
Commenting on the transaction, partner Josh Thorneycroft said:
‘It has been a privilege to work alongside the SmartestEnergy team to deliver such an important and strategic project for them. Firming assets like the Calala battery are helping drive the energy transition and we are very excited to have been a part of this project.’
Stage 1 of the Project is expected to commence Commercial Operations in December 2026.
KWM continues to be at the forefront of market leading transactions supporting Australia’s energy transition, including paving the way for BESS projects nationally. This includes recently advising AEMO Services (‘ASL’) on Tender 5 for Long Term Duration Storage under the NSW Electricity Roadmap (having previously advised ASL on Tender rounds 1 - 4), advising Palisade on the acquisition of the Limestone Coast North BESS and assisting the syndicate of financiers on the project financing of the Wooreen Energy Storage System (WESS).
