NSW pumps $128m into community benefits for first green energy zone
The NSW government will pump $128 million into communities hosting transmission lines and power plants for the state’s first Renewable Energy Zone as it seeks to prevent further delays to infrastructure deemed critical for the transition to low-carbon energy.
The funding will be distributed over the next four years in what NSW Energy Minister Penny Sharpe described as an initial “down-payment” to bring forward community and employment benefits from the Central-West Orana REZ.
The Dubbo region has abundant solar power capacity. Janie Barrett
She rejected suggestions from journalists the government was seeking to buy support for its controversial renewable energy rollout, which has divided communities impacted by major new power lines and large wind and solar generation projects needed to replace ageing coal power plants.
“It’s absolutely not about that,” Ms Sharpe said in Dubbo. “This is an opportunity for community legacy building, as there is this huge regional development opportunity through the Renewable Energy Zones.”
At roughly the same size as Wales – about 20,000 square kilometres – the zone will host up to 4.5 gigawatts of clean energy generation capacity in the first stage, due online in 2027-28, and up to 6GW by 2038 once the second stage is completed.
Costing more than $3 billion for the transmission, the Central-West Orana REZ is the first of at least five proposed REZs in NSW intended to support new clean energy generation and storage capacity of 14 GW by 2033. Originally intended to come online in 2025, it is now anticipated only in the second half of 2027, contributing to the squeeze on NSW’s power supplies that prompted the decision to extend the life of the Eraring coal power generator.
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