The Australian Renewable Energy Agency (ARENA) has awarded grants to two Australian companies under its $500 million Battery Breakthrough Initiative, aiming to strengthen the country’s clean energy supply chain and domestic battery manufacturing capability.

Melbourne-based PowerPlus Energy received a $2.3 million (USD 1.65 million) grant to semi-automate its battery pack assembly line and expand manufacturing capacity at its local facility. The funding supports a broader $6.7 million project to upgrade the production facility, with plans to triple annual production from 50 MWh to 150 MWh over the next two years. 

This expansion will enable PowerPlus, a manufacturer of lithium battery systems for residential, commercial and industrial energy storage, to expand its locally designed energy storage solutions and support growth in key sectors including agriculture, utilities and eco-resorts.

PowerPlus Executive Chairman Ben Spincer stated that the grant will help the company maintain its position in an import-dominated market and strengthen Australia’s clean energy supply chain. “As Australia’s largest battery pack manufacturer, this grant will help us maintain our position at the forefront of the local industry by enabling us to accelerate further investment in our manufacturing and testing capabilities,” he said, adding that the investment will ensure the supply of Australian-manufactured, accredited products amid growing low-cost imports.

Western Australia’s Firebird Metals was awarded $2 million to develop a demonstration-scale facility in Perth that processes manganese concentrate into battery cathode materials. The funding will allow the company to leverage Australia’s resources to meet global demand for manganese-rich batteries, while enhancing domestic processing capacity and supply chain resilience.

ARENA Chief Executive Officer Darren Miller noted that both grants align with the agency’s focus on building domestic manufacturing capability across the energy transition supply chain. “These projects support Australian companies to progress next-generation battery materials production and advanced manufacturing of battery packs,” he said. “By supporting innovative battery technologies, ARENA is helping reduce costs, cut emissions and build sovereign capability to support Australia’s clean energy transition.”