ARENA funds feasibility study for 3-GW renewables hub in NSW

Australian network operator Transgrid will get AUD 5 million (USD 3.5m/EUR 3.1m) in government funding for the feasibility study for establishing a 3-GW renewable energy zone in New South Wales.

The proposed zone is planned to be created in the state’s Central West and Orana regions, incorporating wind, solar and energy storage capacity. Its construction is slated to begin at the end of 2022.

The AUD 5 million will be provided by the Australian Renewable Energy Agency (ARENA), the latter said on Tuesday. It will contribute to the AUD-16.2-million required to assess the technical and commercial options for developing high-voltage transmission lines for the zone. The study will also aim to “demonstrate a pathway for future REZs across the National Electricity Market.”

The Central-West Orana Renewable Energy Zone (REZ) will be capable of supplying electricity for around 1.3 million homes, with its development seen to bring AUD 4.4 billion in private sector investments. The project will receive a total of AUD 40.2 million in funding from the New South Wales government, which has pledged to add a further AUD 31.2 million to the AUD 9 million already committed.

The proposal for the zone has attracted 27 GW of projects that were filed in response to the state government’s recent Registration of Interest (ROI).

(AUD 1.0 = USD 0.692/EUR 0.613)

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