Naturgy Energy Group has announced plans to invest more than €300m ($344m) in a major renewable energy facility in the Fraser Coast region of Queensland, Australia.

The project will combine 330MW of solar power generation with a 180MW battery energy storage system (BESS).

The company’s Australian unit, Global Power Generation (GPG), will oversee the development of the site.

Naturgy has signed a ten-year power purchase agreement (PPA) to supply electricity produced at the plant.

Construction has now started and the plant is scheduled to commence operations in 2028.

The combination of photovoltaic (PV) generation and battery storage at the site is intended to offer flexibility to the electrical grid and improve the management of renewable energy output.

The Fraser Coast plant is Naturgy’s second hybrid solar and BESS project in Australia.

It is expected to support Naturgy’s international expansion and demonstrate the appeal of the company’s projects to large customers aiming to meet decarbonisation targets.

The company’s existing portfolio in Australia totals 1.3GW of operational capacity and comprises six wind farms and two solar plants, as well as storage facilities. Its first hybrid PV and BESS site in Australia is the Cunderdin project.

Naturgy operates in Australia through GPG, in which it owns a 75% stake. Kuwait Investment Authority holds the remaining 25%.

In May 2026, CVC Capital Partners divested its entire 13.8% holding in Naturgy in a transaction worth approximately €4bn. The transaction was executed through Goldman Sachs via an accelerated bookbuilding process and reflects the latest move in shareholder changes within the utility sector.