Wednesday, 21 December 2022

Governments strike $7.8bn deal to connect Snowy 2.0 and NSW renewable zones to the grid.

Extract from The Guardian

‘Rewiring the nation’ plan expected to create ‘thousands’ of jobs under state and federal commitment.

Workers looking at a boring machine which is part of the Snowy Hydro project
NSW renewable energy zones and the Snowy Hydro project will be plugged into the grid under a deal between the federal and NSW governments.
Wed 21 Dec 2022 01.00 AEDTLast modified on Wed 21 Dec 2022 01.03 AEDT
New South Wales’s renewable energy zones and the Snowy 2.0 hydro project will be plugged into the grid under a landmark $7.8bn agreement between the federal and NSW governments.

The deal will be announced by the prime minister, Anthony Albanese, and the NSW premier, Dominic Perrottet, on Wednesday, once the state parliament passes legislation to allow the capping of gas prices after Canberra’s plan to put downward pressure on energy prices passed through federal parliament last week.

The federal government has committed $4.7bn to the plan, which is the latest announcement from its “rewiring the nation” commitment to connect more renewable power generation into the national electricity grid.

The prime minister said thousands of jobs in the renewable energy sector will be created under the plan, as well as more reliable and affordable energy along the eastern seaboard.

“The commonwealth has worked hand in glove with the states and territories to shield Australian households and businesses from the worst impacts of the energy crisis caused by Russia’s illegal invasion of Ukraine,” Albanese said.

“But as well as that critical short-term action, the Australian economy can seize the opportunity of more affordable and reliable renewable energy over the long term – creating jobs in the regions that have always powered Australia and insulating ourselves from global fossil fuel shocks at the same time.”

He said support for critical infrastructure, like the Sydney Ring transmission link, the VNI West interconnector and HumeLink line – which are all included in the scheme – would help to “transform Australia into a renewable energy superpower”.

Also included are the central-west Orana, Hunter-Central Coast and south-west renewable energy zones.

Perrottet said the plan would support projected private investment in regional energy infrastructure of $32m over the next eight years.

“This is our opportunity to invest in our future industries that will drive jobs and wealth creation in our state,” the premier said.

Government modelling predicts the plan would support almost 4,000 jobs in regional NSW. The deal follows similar joint agreements made with Tasmania and Victoria.

The NSW treasurer and energy minister, Matt Kean, described the deal as a “huge win” for the state.

“This investment will support the delivery of our electricity infrastructure roadmap through fast-tracking the development of renewable energy zones and transmission infrastructure,” he said.

The federal energy minister, Chris Bowen, said making these investments now would save consumers into the future.

“The best way to lower energy prices for Australian households and businesses is by increasing firmed renewables across our grid; it is the cheapest and most abundant form of energy across our vast continent,” he said.

“Today’s announcement helps make that a reality by supporting the projects to plug Snowy 2.0 into the grid and linking renewable energy zones to ensure … energy can be supplied from wherever the wind is blowing and the sun is shining to where it’s used by households and industry.”

The federal government has promised $20bn to “rewire the nation” by quickly building new electricity transmission links between states and regions to support the east coast’s transition from running predominantly on coal power to renewable energy.

Perrottet will return from a short Christmas break to pass the energy laws in a special sitting of parliament on Wednesday before resuming his leave.

No comments:

Post a Comment