Rest Super, one of Australia’s largest industry superannuation funds, plans to invest $250 million in MPower, a mid-scale solar and battery storage company focusing on projects that bypass current transmission constraints affecting larger renewable developments. The investment marks a significant expansion following an initial commitment of $100 million made last year by Wollemi Capital, a climate-focused investment firm based in Sydney that identifies Rest Super as its first major pension fund supporter.

MPower specializes in developing solar and battery projects of five megawatts or less, connecting directly to local distribution networks rather than high-voltage transmission grids. This enables the company to leverage underused capacity in existing infrastructure, avoiding the lengthy delays and substantial costs associated with constructing new transmission lines or Renewable Energy Zones required by larger wind and solar farms.

Paul Hunyor, co-chief executive of Wollemi Capital and co-founder with former Macquarie banker Tim Bishop, highlighted the advantage of these smaller-scale projects’ quick deployment. “This means a much shorter lead time and capacity to add where the grid needs it now,” he said, describing the model as an efficient way to channel institutional capital into the energy transition without the lengthy permitting and interconnection hurdles that typically accompany larger projects. While Hunyor declined to disclose the total capacity of MPower’s projects under construction across New South Wales, Victoria, and South Australia, he noted that the influx of capital would enable faster and broader project rollout.

Rest Super manages approximately $115 billion in funds and is among six major Australian superannuation funds with direct holdings in renewable energy. The latest investment continues Rest’s track record of supporting clean energy ventures, including stakes in Quinbrook Infrastructure Partners, Octopus Investments Australia, and Palisade Impact. Rest’s general manager, Marina Pasika, described the commitment to MPower as “an exciting opportunity for our members to benefit from the energy transition as we seek out opportunities to grow their super balances over the coming decades.”

Wollemi Capital, which counts Climate Change Authority chairman and former New South Wales treasurer Matt Kean as a director, views its current investment as positioning MPower for expansion focused on scalable, distributed renewable energy infrastructure. Despite recent subdued wholesale electricity prices that have tempered some renewable developers’ activities, Hunyor characterized the price softness as cyclical, affirming that MPower remains committed to ongoing investment. He also noted that MPower benefits from an internal development team capable of delivering projects at a cost comparable to larger utility-scale ventures.