• Recurrent Energy’s 150 MW Carwarp Energy Park in Victoria has entered commercial operation under a long-term PPA with Microsoft.
• The solar project is expected to generate 405 GWh annually and avoid about 227,000 tonnes of CO₂ emissions each year.
• Planning and grid approvals allow the site to add a 120 MW battery system, expanding its potential role in Australian grid reliability.

Recurrent Energy has started commercial operations at its 150 MW Carwarp Energy Park in Victoria, adding new solar capacity to Australia’s National Electricity Market under a long-term power purchase agreement with Microsoft.

Located near Mildura, the project connects to the market through Victoria’s 220 kV transmission network. It also holds planning and grid approvals for a 120 MW battery energy storage system.

That approved storage pathway could strengthen the asset’s role beyond renewable generation. Battery capacity would allow the project to support grid flexibility as Australia adds more variable renewable power.

Microsoft PPA supports large-scale renewable investment

Carwarp Energy Park uses approximately 243,000 high-efficiency Canadian Solar TOPCon modules. Recurrent Energy expects the project to generate about 405 GWh of electricity each year.

That is equivalent to the annual electricity needs of around 65,000 Australian households.

The project is also expected to avoid approximately 227,000 tonnes of CO₂ emissions annually. Recurrent Energy estimates this is comparable to removing more than 49,000 internal combustion engine vehicles from the road.

The long-term Microsoft PPA provides contracted demand for the project’s renewable generation. Such agreements remain an important financing tool for large-scale clean energy infrastructure, particularly as electricity demand grows from data centres and digital services.

For Microsoft, the agreement also connects corporate electricity procurement with the expansion of renewable capacity in Australia.

Dylan Marx, CEO at Recurrent Energy, commented, “Carwarp Energy Park reaching commercial operation ahead of schedule demonstrates our ability to deliver high-quality, large-scale renewable infrastructure safely and efficiently. With a long-term PPA secured with Microsoft, an established community fund, and approval to incorporate energy storage, Carwarp is positioned to provide strong community benefits, clean energy, and additional grid benefits for years to come. We thank our partners for their continued support and look forward to advancing the project’s approved storage pathway to deliver further benefits for the Australian energy network and customers.”

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Storage pathway adds grid value

The planned 120 MW battery could become increasingly important as renewable generation expands across Australia.

Solar and wind projects can add large volumes of low-carbon electricity. However, grid operators also need flexible capacity to manage changes in generation and demand.

Battery storage can help shift renewable electricity across different periods while supporting system reliability. That makes hybrid projects increasingly relevant to investors evaluating the economics of renewable infrastructure.

Carwarp has already supported approximately 300 construction jobs. Recurrent Energy said the facility will continue contributing to local employment and economic activity during operations.

Recurrent Energy and Microsoft have also established a dedicated community benefit fund through Recurrent Energy’s Community CaRE program.

The fund will be administered in Australia by Groundswell Giving and the Foundation for Rural and Regional Renewal.

Funding will support community-led climate and environmental initiatives across rural and metropolitan areas connected to the project’s wider infrastructure footprint. Projects led by First Nations communities will also be eligible.

Liz Fitch, Head of Corporate, External and Legal Affairs for Microsoft Australia and New Zealand, added, “Australia’s transition to a low-carbon economy will require sustained investment in the energy infrastructure that underpins future growth. Projects like Carwarp Energy Park are an important part of that effort, adding new renewable generation to the grid while supporting regional communities and long-term economic opportunity. As demand for clean electricity grows, including from digital technologies and infrastructure, collaborations like this help strengthen Australia’s energy system and position the country to lead in a more sustainable and innovative future.”

For executives and investors, Carwarp brings together several themes shaping Australia’s energy transition: corporate PPAs, grid-connected renewables, battery readiness and community benefit frameworks.

Its next phase could be equally important. Adding storage would turn the solar facility into a more flexible infrastructure asset as Australia works to increase renewable penetration while maintaining electricity system reliability.