Queensland has guaranteed no national parks will be flooded as the government works with affected homeowners to push ahead with the world's biggest pumped hydro scheme.
Premier Annastacia Palaszczuk announced the Pioneer/Burdekin pumped hydro construction on Wednesday as part of the government's $62 billion, 10-year energy plan.
With the potential to deliver up to 120 gigawatt hours, the project will be 21 times bigger than Wivenhoe hydro, currently the state's largest.
It is expected to enter construction phase in 2025, with completion of stage two scheduled for 2035.
The Burdekin pumped hydro will be built primarily on cattle grazing and sugar cane land under a new public-owned entity Queensland Hydro.
The premier said no national parks will be flooded as part of the multi-billion dollar scheme.
"I want to give that reassurance to the people of this region," she told reporters on Thursday.
The government has allocated a $270 million downpayment towards detailed planning of the project with an expected total cost of $12 billion.
Energy Minister Mick De Brenni said roughly 20 per cent of landowners had been contacted since the announcement with approximately 50 homes affected by construction.
He said around 1000 sites were assessed and the area west of Mackay stacks up the best.
"Those engagements have been very positive," Mr De Brenni said.
"This is a process that we take seriously though, of course, and we want to be respectful of those landowners."
The project will generate energy by pumping captured rainwater upwards using renewable energy, he said, and then releasing it through turbines to generate electricity during peak demand periods.
Mr De Brenni said the project was located in one of the highest rainfall regions anywhere, even when drought is affecting the rest of the state.
At peak construction the project can expect nearly 2500 workers on hand.
Ms Palaszczuk said the project will become the "battery of the north".
"The jobs are in regional Queensland, the growth is going to be felt in regional Queensland. This is nation leading, it is world leading and it will be the largest pumped hydro in the world," she said.
