WA wind farm agreements ‘major boost’ for state’s renewable energy industry

Under long-term power purchase agreements (PPAs), Synergy, the state-owned energy retailer, will purchase 470 megawatts (MW) of renewable power from the Parron Maam Marang Wind Farm and 130MW from the Kondinin Wind Farm, two onshore wind projects expected to supplying energy by late 2028. Under a third PPA, the state-owned water service, the Water Corporation, will procure 330MW from the Marri Wind Farm, a 550MW project slated to deliver power by 2029.

Together, these wind farms are expected to supply enough clean, affordable electricity to power more than 800,000 homes annually and boast a combined capacity greater than that of Western Australia’s remaining coal-fired power stations at Muja, Collie and Bluewaters, signalling a new era where wind power will produce a greater share of the state’s electricity needs than coal.

The announcement exceeds the state’s initial target of 810MW of new wind generation needed to replace its retiring coal fired power fleet. Although specific financial terms, such as PPA pricing, have not been publicly disclosed, the state government’s commitment to purchase power provides developers with the certainty needed to secure financing and commence construction.

Advancing WA’s energy transition

This announcement demonstrates a significant step forward in Western Australia’s push towards a cleaner energy future, firmly aligning with the state’s plans to transition away from coal and reduce carbon emissions.

Premier Roger Cook said the agreements are coming at a critical time, and that “there has never been a more important time to invest in Western Australia’s energy transition”. The state has committed to phasing out all state-owned coal-fired power generation by 2030, a “nation-leading decision” intended to cut pollution and modernise the grid, according to Cook.

In recent years, wind power performance in WA has been strong, with many wind farms topping national capacity factor charts, and the South West Interconnected System (SWIS) achieving record renewable energy contributions.  While this demonstrates the growing role of renewables in Western Australia, substantially more capacity will be needed to meet the 2030 coal phase-out deadline.

To address these challenges, the Western Australian government has increased its support for renewable infrastructure. Billions of dollars have been committed to new onshore wind farms, large-scale batteries, and transmission upgrades. This includes projects like the 500 MW/2,000 MWh Collie Battery Energy Storage System, now one of Australia’s biggest batteries, and the “clean energy link” transmission initiative to reinforce the grid in the mid-west region.

The newly announced PPAs complement this investment and build on prior renewable energy deals, such as Synergy’s 2025 PPA with Bright Energy Investments to expand the Warradarge Wind Farm stage two. By securing these long-term offtake contracts for multiple renewable projects, the state is actively steering its electricity sector toward the goal of net zero emissions and a coal-free grid by 2030. The involvement of Water Corporation in the Marri Wind Farm PPA underscores another important policy direction, in which the state is aligning large energy users with clean power sources.

It also advances Water Corporation’s own net zero emissions targets and reflects a broader trend of public sector utilities in Western Australia leading by example in decarbonising operations through direct investment in renewables.

Implications for energy industry stakeholders

The PPAs provide greater certainty to project developers and investors in WA’s renewable energy sector. By locking in long-term purchase contracts for the output from these wind farms, the state government, via Synergy and Water Corporation, has effectively de-risked the projects by guaranteeing a buyer for the electricity generated. This will enable the developers to secure financing and proceed with construction, as they gain predictable revenue streams once the farms are operational. Ultimately, it signals to the market that Western Australia is open for investment in renewable energy generation, backed by strong government support.

For infrastructure and service providers, the development of over 1GW of new wind capacity will have widespread benefits and requirements for the broader energy industry. Construction and engineering contractors stand to gain from these projects, which will create hundreds of jobs during the build-out phase in regional communities.

The Parron Maam Marang Wind Farm expects a peak construction workforce of about 400 employees, plus long-term maintenance roles for decades after commissioning. Kondinin Wind Farm’s first stage will similarly employ up to 145 people at peak construction and support additional jobs in operations. These projects will drive demand for local contractors, equipment suppliers and expertise in areas like civil construction, grid connection, turbine installation and maintenance.

Integrating over 1GW of new renewable generation will also require significant upgrades to Western Australia’s electrical grid infrastructure. State-owned utility Western Power is already undertaking major network expansions to accommodate increased power generation in the region. 

Infrastructure providers and engineering firms have opportunities to participate in building these grid expansions. For example, contracts for new substations and high voltage lines have already been awarded to enable projects like the Warradarge Wind Farm expansion and future wind projects in the region.

Power system operators and regulators will also be actively involved. The addition of these large wind farms, alongside utility-scale batteries and gas peaking plants, is part of the plan to maintain stability as coal plants retire. The Australian Energy Market Operator (AEMO) and the Economic Regulation Authority (ERA) will need to manage the integration of these resources into the grid, scheduling their output and ensuring sufficient backup. 

Looking ahead

As Western Australia accelerates its energy transition, this announcement demonstrates a clear direction and a renewed commitment: one where government-backed procurement, strategic infrastructure investment and private sector delivery align to support the state’s energy ecosystem. With coal-fired power on the way out and renewable capacity scaling up, the next few years will be critical for ensuring that policy ambition is matched by timely execution.

For energy market participants, advisors, infrastructure providers and contractors, the opportunities, and responsibilities, are significant, with the success of these wind farm projects playing a central role in Western Australia meeting its 2030 coal phase-out target.
Co-written by Thomas Coleman of Pinsent Masons.