As Australia retires coal, SMA says grid-forming solutions are key to a secure, renewable future.
As coal-fired power stations retire and renewable energy ramps up, Australia’s electricity grid faces new stability challenges. SMA Australia has welcomed the release of AEMO’s 2025 Transition Plan for System Security, which outlines a clear, staged roadmap to address these challenges and secure the grid’s future.
With decades of global experience in advanced power conversion systems for PV and battery energy storage (BESS), SMA Australia is supporting the plan’s goals by offering proven grid-forming solutions that provide critical system security services, including synthetic inertia, fast frequency response and system strength.
John Alexander, Managing Director of Large Scale Solutions at SMA Australia, said: “As Australia navigates a once-in-a-generation energy transition, the role of proven, intelligent power conversion technology will be critical to maintaining grid stability and public confidence. We support AEMO’s phased and collaborative approach and stand ready to help deliver the system strength, inertia and flexibility our grid needs - now and into the future.”
The 2025 plan outlines short, medium, and long-term priorities across AEMO’s Horizon framework, including the transition to fewer synchronous generators, the need for new system strength services through transitional contracts and the gradual replacement of legacy infrastructure with new, proven technologies.
SMA’s grid-forming inverter and control systems are already operational in multiple global markets and have demonstrated their ability to support both low-synchronous and high-renewables scenarios. However, technical validation within the Australian context is still required.
“We welcome AEMO’s ongoing trials and the upcoming Access Standards Review,” John said. “These processes are essential to ensuring that system security services from inverter-based resources can be safely and confidently scaled, and we’re committed to contributing.”
SMA’s power conversion technology is already delivering:
Fast frequency response and synthetic inertia from BESS.
Grid-forming operation for frequency and voltage control.
The ability to provide multiple services from a single installation.
A global track record in markets already managing the transition from synchronous to inverter-based systems.
While grid-forming inverters are now well understood in terms of inertia, further testing is needed before they can be fully relied upon for system strength. AEMO’s scheduled work in 2026 will be a critical milestone in this effort. Until then, synchronous condensers remain necessary, and SMA strongly supports a measured, evidence-based approach to evolving Australia’s grid architecture.
Looking ahead, SMA believes early engagement between project developers, transmission network service providers (TNSPs), and technology partners will be key to ensuring future renewable investments are optimised not just for energy output, but for grid security and long-term resilience.
“This is a technically complex transition, but also a solvable one,” John added. “Australia’s success will depend on forward planning, proven technology and close industry collaboration, and we’re here to play our part.”
About SMA
As a leading global specialist in photovoltaic and storage system technology, the SMA Group is setting the standards today for the decentralized and renewable energy supply of tomorrow. SMA’s portfolio contains a wide range of efficient PV and battery inverters, holistic system solutions for PV and battery-storage systems of all power classes, intelligent energy management systems and charging solutions for electric vehicles and power-to-gas applications. Digital energy services as well as further comprehensive services round off SMA’s range. SMA solar inverters installed worldwide in the last 20 years, with a total output of around 144 GW, help avoid over 64 million tonnes of CO2 emissions annually. SMA’s multi-award-winning technology is protected by more than 1,600 patents and utility models. Since 2008, the Group’s parent company, SMA Solar Technology AG, has been listed on the Prime Standard of the Frankfurt Stock Exchange (S92) and is listed in the TecDAX and the SDAX index.
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Verena Griffiths
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