What investors should know about Fluence’s increased investment in Australia
Global energy storage heavyweight Fluence Energy is backing Australia’s clean energy future by expanding its national headquarters in Melbourne. With the Victorian Government on board through tailored investment support for investors, this move signals more than just business growth. It’s a strong vote of confidence in the state's renewable energy ecosystem, with implications that go far beyond one company.
What Happened?
Fluence, a global leader in battery energy storage systems (BESS), has announced a significant investment to grow its Australian footprint. The Melbourne HQ expansion is expected to create up to 100 highly skilled roles across engineering and energy specialisations. The investment strengthens Fluence’s operational and technical capabilities in Australia and supports its continued growth across the Asia-Pacific region (1)
The move has the full backing of the Victorian Labor Government, with the Economic Growth and Jobs portfolio, along with Invest Victoria, working closely to secure the investment. In a statement, Victoria’s Minister for Economic Growth and Jobs, Danny Pearson, described the expansion as pivotal in boosting the state’s battery storage sector and its cleantech credentials.
It’s not just about jobs. The expansion helps Victoria position itself as a global hub for clean energy innovation. As Minister for Energy Lily D’Ambrosio noted, this decision directly supports Victoria’s renewable energy targets and long-term energy affordability (2)
Fluence made this decision because the state's 95% renewable energy target by 2035 makes it one of the most ambitious jurisdictions globally. Also Australia is Fluence’s second-largest market after the United States. With operational and contracted projects in key regions like the Latrobe Valley, the company has built a deep bench of local experience.
Track Record and Growth Strategy
Founded in 2018 as a joint venture between Siemens and AES Corporation, Fluence has grown rapidly. The company is now publicly listed on the Nasdaq and has delivered or contracted over 38 gigawatts of battery energy storage systems globally.
In Australia, Fluence made headlines with its Gridstack BESS technology deployed at the Hazelwood Big Battery—converting a coal legacy site into a clean energy asset. Another major installation is the 100MW/200MWh battery in Morwell, Victoria, under a 20-year agreement with Tilt Renewables.
And the innovation keeps coming. In February, Fluence unveiled its Smartstack product line, offering up to eight hours of energy discharge which will be critical for grid stability as more renewables come online.
Government Support and Industry Implications
For investors, this decision reinforces several themes:
Policy certainty attracts capital. Long-term clean energy targets provide companies with confidence to commit capital and create local jobs.
Storage is central to the net zero story. As renewables scale, battery systems like Fluence’s are key to balancing supply and demand.
Advanced manufacturing and cleantech are growing sectors. With the right mix of innovation, policy, and people, jurisdictions like Victoria can lead the world.
The Bottom Line
Fluence’s expansion in Victoria isn’t just a business headline, it’s an investment signal. Backed by a supportive government and a booming clean energy sector, this move highlights why Australia is well placed to lead in the global energy transition. Investors watching the intersection of policy, technology, and clean energy infrastructure would be wise to take note.
References
Media Release: State Government of Victoria “Global Energy Company Charging Up In Victoria” 12 June 2025 https://www.premier.vic.gov.au/global-energy-company-charging-victoria
Biss, M Renew Energy “State backs global big battery heavyweight to put down deeper roots in Australia” 12 June 2025 https://reneweconomy.com.au/state-backs-global-big-battery-heavyweight-to-expand-its-australian-hq/
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