Key components of the Waratah Super Battery will arrive in the Port of Newcastle this week.
One hundred and fifty eight battery modules were unloaded from the Splienthoff cargo ship last weekend, while vessels carrying another 55 and 217 modules respectively will arrive this week.
The battery components are being transported to Munmorah for assembly.
The 850 megawatt (1680 megawatts-hours) battery is designed to act as a 'shock absorber' in the event of power surges caused by bushfires and lightning strikes.
Akaysha Energy is responsible for the construction and operation of the battery. It is due to be completed in 2025, before the earliest possible closure of the Eraring Power Station in August 2025.
The project received planning approval earlier this year.
"The project is also supplying a virtual transmission solution, allowing electricity consumers in the Sydney, Newcastle, Wollongong demand centres to access more energy from existing generators," an Akaysha energy spokesman said.
The Australian Energy Market Operator (AEMO) granted generator performance standard approval for the battery earlier this month.
The approval was granted after Akaysha Energy demonstrated that the battery was capable of satisfying the performance standards required to ensure stability and reliability of the electrical grid.
EnergyCo executive director of network planning Andrew Kingsmill said the approval eliminated one of the most substantial technical barriers for the battery, allowing it to participate in the growing energy storage market in Australia.
"The approval of the generator performance standard is a significant milestone because the project has passed the simulations needed to know that it can successfully connect to the grid later this year," he said.