Australia invests $295 million into Project EnergyConnect
The Australian Government invests $295 million through the Clean Energy Finance Corporation (CEFC) to help finance Project EnergyConnect, providing additional energy supply and cheapening costs across the National Electricity Market (NEM).
Project EnergyConnect is a priority transmission project in the Australian Energy Market Operator’s 2020 Integrated System Plan.
The financial support helped reinforce Transgrid’s investment decision on the project, pushing through the creation of a new 330-kilovolt transmission line that will connect South Australia to New South Wales.
Project EnergyConnect will deliver an economic boost across the states of South Australia, New South Wales and Victoria. It will also create up to 1,700 jobs during its construction.
Aside from boosting the local economy, households and businesses in South Australia and New South Wales will also be expected to save up on their electricity bills.
“Project EnergyConnect is yet another initiative we’re backing to maintain pressure on prices and keep the lights on for Australians,” Minister for Energy and Emissions Reduction Angus Taylor said.
“As record levels of renewable energy come online, we are continuing to ensure Australia’s energy system remains reliable and affordable.”
Minister Taylor said interconnector projects such as Project EnergyConnect can provide support for a more reliable energy system while reducing the risk of blackouts and electricity price volatility.
Project EnergyConnect is part of the Government’s action to stabilise the grid and get the energy generation balance right, ensuring that Australians can easily access reliable and affordable power.
The Australian Government has a clear plan to deliver reliable, secure and affordable power by backing new generation, transmission and storage projects across Australia. This plan has included the following projects:
- delivering a 2,000 MW pumped hydro expansion to Snowy Hydro scheme
- supporting all major priority transmission projects identified in AEMO’s Integrated System Plan
- creating the Underwriting New Generation Investments program to support new firm generation capacity and increased competition
- building a new 660 MW open cycle gas turbine at Kurri Kurri in the Hunter Valley through a $600 million equity commitment to Snowy Hydro
- establishing a $1 billion Grid Reliability fund to be administered by the Clean Energy Finance Corporation