The 412-megawatt (MW) Goyder South wind farm, South Australia’s largest and a pivotal project in Australia’s transition to green energy, has officially commenced operations. Situated near Burra in the state’s mid-north, Goyder South marks the first phase of Neoen’s Goyder Renewables Zone, which is poised to become one of the country’s most significant wind, solar, and battery hybrid projects.
The inauguration of Goyder South is a landmark event for several reasons. Notably, its abundant wind resources enabled Neoen to secure the lowest publicly announced feed-in tariff in Australia. In 2020, Neoen agreed to supply 100 MW of its capacity to the ACT government at just $44.97 per megawatt-hour, a rate that starkly contrasts with the current market prices exceeding $100/MWh for wind projects. This agreement reflects both the exceptional wind resources at Goyder and the substantial increase in wind project costs since then.
Innovative Contracts and Strategic Partnerships
Neoen has also pioneered a “baseload renewables” contract with BHP, providing 200 MW of wind capacity from Goyder South, supported by Neoen’s recently completed Blyth battery. This power will help fuel BHP’s Olympic Dam copper mine and smelter, along with nearby operations. Following this, Neoen signed a second “baseload renewables” contract with BHP, involving 300 MW from the upcoming Goyder North wind project, which will be backed by a soon-to-be-constructed 200 MW, 800 MWh Goyder battery.
Goyder North is anticipated to expand to over 1 GW of wind capacity, with up to 900 MW and 3,600 MWh of battery storage. This development will make the combined renewables park the largest of its kind in the nation, bolstering South Australia’s ambition to achieve 100 percent “net renewables” by 2027.
Government and Industry Reactions
South Australia’s energy minister, Tom Koutsantonis, emphasized the significance of such projects in achieving the state’s renewable energy goals. “We are well on track for South Australia to meet its goal of 100 percent net renewables generation by 2027, and projects such as this are at the vanguard of that ambition,” he stated.
Xavier Barbaro, CEO of Neoen’s Group, which is now owned by Brookfield following an $11 billion takeover, highlighted the broader implications of the project. “Projects of this scale and quality enable value to be delivered to governments, customers, and community stakeholders,” Barbaro remarked. “They become templates for future solutions, opening up opportunities to further accelerate the energy transition in Australia and in the rest of the world.”
Economic and Environmental Impact
The Goyder South wind farm has increased South Australia’s wind generation by more than 20 percent, supporting the state’s target of reaching 100 percent “net” renewables by 2027. The project also created 400 construction jobs and supported the establishment of a new national park at the nearby Worlds End Gorge, a first for a renewable project in Australia. Additionally, it contributes $250,000 annually to community programs.
In the June quarter alone, Goyder South returned $2.9 million to the ACT, averaging $50/MWh, providing the national capital’s electricity customers with a hedge against rising electricity prices.
While the prices for the BHP contract and another 40 MW contract with electricity retailer Flow Power remain undisclosed, they are expected to be higher than the ACT’s agreed feed-in tariff, which provided the certainty needed to initiate the project.
Looking Forward
Goyder South comprises 75 GE 5.5-158 Cypress turbines, which began delivering power to the grid in early 2024 and started fulfilling its ACT contract in July 2024. The project also commenced its contract with BHP on schedule in July of this year.
Jean-Christophe Cheylus, CEO of Neoen Australia, described Goyder South as a “milestone” project. “Goyder South is a credit to the world-class wind resources of South Australia and to the team’s leadership in leveraging these to develop high-quality projects,” Cheylus noted. “I extend my heartfelt thanks to everyone who has helped bring this wind farm to life – our host landowners, the Governments of South Australia and the ACT, and the Regional Council of Goyder, as well as ElectraNet, AEMO, BHP, and Flow Power.”
The success of Goyder South underscores the strategic importance of renewable energy projects in Australia’s energy landscape. As the nation moves towards a more sustainable energy future, projects like Goyder South will serve as critical benchmarks for innovation and collaboration in the renewable sector.