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Pumped Hydro Energy Storage

Snowy 2.0 Feasibility Study

  • $8.00m

    ARENA Funding

  • $29.00m

    Total Project Value

Project Basics

ARENA Program

Research and development

Lead Organisation

Snowy Hydro

Start Date

Oct 2017

Project Partners



New South Wales



The Snowy 2.0 feasibility study confirms that the Snowy 2.0 pumped hydro expansion project is both technically and financially feasible.

Snowy 2.0 would deliver 2000 MW of additional dispatchable generation capacity and 350,000 MWh of storage. The construction would involve building an underground hydro-electric power station and 27 kilometres of tunnels connecting two existing reservoirs in the Snowy Mountains.

Snowy Hydro already plays a critical role in ensuring system stability and at times of peak demand, the ability to keep the lights on. The feasibility study shows how Snowy 2.0 will enhance this current capability and continue to provide increased stability and security to the energy market/

Area of innovation

As the economy decarbonises, more intermittent generation (such as wind and solar) will enter the market as baseload coal generation continues to retire. This creates the need for new sources of dispatchable energy generation such as pumped-hydro as well as the need for large-scale storage.


Snowy Hydro already has the capability to store huge amounts of energy. While this capability is currently sufficient for the National Electricity Market (NEM), it will not be enough in the future given increasing decarbonisation. The NEM covers the states of New South Wales, Queensland, Victoria, South Australia and Tasmania. Snowy 2.0 is critical to helping provide Australian businesses and households with reliable, stable and affordable energy in the future.

Snowy YouTube video [external link]


Snowy 2.0 National Electricity Market Outlook report (PDF 7MB)

Contact information

Kate Quigg

+61 439 445 458