Local government leaders say they were in the dark over the New South Wales Liberal and National Party plan to “review and revise” the New England Renewable Energy Zone, and have raised concerns that it will cancel out “huge economic upside” for the region.
The NSW Coalition opposition on Wednesday announced a new energy plan that effectively ended longstanding bipartisan consensus on the state’s energy transition, scaling back regional renewable energy zones (REZs) in favour of REZs in major cities, including Sydney, Newcastle and Wollongong.
Firmly in the LNP’s sights is the New England REZ, and plans to “remove the need for the proposed 500kV transmission line” that would link it to the main grid at the existing Bayswater Power Station near Muswellbrook – and that was just last month refined by EnergyCo to avoid a further 50-odd properties.
As Renew Economy has reported, this is a significant about-face for the NSW Coalition, which itself established the New England REZ in law back in 2020, as the state’s largest renewable energy zone, at 8GW.
The party argues the backflip is justified by the fact that the New England REZ is running over time and over budget – but it also claims that the REZ has failed to win the support of the communities that will host the new infrastructure, including the 250 km transmission upgrade.
But a report published in a local newspaper on Wednesday – and quoted extensively by NSW Premier Chris Minns during question time in parliament on Thursday – suggests there were some major holes in the Coalition’s engagement with key locals, too.
It turns out that three local councils in the New England region were not consulted about the LNP’s change of tune on the REZ and – if they had been – would not support the proposed changes.
“Armidale Regional Council was not consulted by the National Party about their position to effectively ‘scrap’ the New England REZ by cancelling the transmission line from Bayswater,” the council’s mayor Sam Coupland told the New England Times on Wednesday.
“For something as complex as the energy transition the devil is always in the detail, however if this plan by the Nationals were to be implemented there would be a significant knock on effect as the huge economic upside for our wider region would evaporate.”
“Glen Innes Severn Council was not consulted on this announcement,” that council’s mayor Margot Davis told the same paper.
“As Mayor, I believe major policy decisions affecting regional communities should be informed by meaningful consultation, evidence, and a clear understanding of both the opportunities and impacts for local residents.
“Our community has experienced both the opportunities and the challenges associated with renewable energy development. Council’s role is to advocate for the best possible outcomes for our residents, businesses and landholders, regardless of the policy settings of the day,” Davis said.
“Uralla Shire continues to regard the REZ as a significant opportunity for the community and is well positioned to play a central role in the state’s renewable energy future,” Uralla Shire mayor Robert Bell told the New England Times.
“Council recently put its draft Renewable Energy Action Plan out for public exhibition and is currently assessing all feedback before Council considers adopting the plan.
“The challenge, and opportunity, will be to ensure that the benefits are shared locally, and that communities like Uralla remain at the centre of decision-making as the New England takes its place as a cornerstone of NSW’s energy future,” he said.
Premier Minns, who took great joy in quoting the three New England region mayors in Parliament on Thursday, said the question had to be asked of the LNP: “Who did you talk to?”
“We’re left with this situation where the Member for Hornsby [the Liberal Party’s James Wallace, shadow minister for industrial relations] and … Willoughby [Liberal Tim James, shadow minister for local government] were presumably told to junk a respected and popular policy in relation to renewable energy for the National Party, only to be told that they want the policy in the National Party area,” Minns said during Question Time.
“Let me tell you something, don’t listen to [shadow minister for energy] James Griffin, he doesn’t know what he’s doing and he’s not up to the task of running renewable energy, private sector investment or economic management in the great state of New South Wales.”
Meanwhile, local governments have not been alone in their criticism of the LNP’s plan.
“From my experience in Armidale, the answer is not to scrap the REZ, but to make sure it is done properly,” says Trevor Brown, Emeritus Professor of Chemistry at the University of New England and project lead for Electrify Armidale.
“We are already facing an energy crisis made worse by climate change. Demand will only increase as homes, transport and industry electrify, and as data centres and AI grow rapidly.
“Abandoning [the REZ] now would put upward pressure on bills, slow emissions reduction, and undermine regional jobs and investment,” Brown said in a statement on Friday.
“That means genuine consultation, fair benefits for local communities, careful environmental planning, and support for households already struggling with energy costs.”
Solar Citizens said on Friday that while it was pleased to see the LNP’s focus on bolstering urban solar through a stronger focus on commercial and industrial rooftop solar and storage, this shouldn’t come at the cost of progress on critical large-scale renewables development.
“We’re pleased to see recognition that warehouses, factories, and commercial buildings, have enormous untapped potential to generate and store electricity close to where it’s used,” Solar Citizens senior campaigner Alia Armistead said in a statement. “That’s a new frontier … [that] must be progressed.
“Consumer energy resources are critical to the transition but cannot replace the need for regional wind and solar farms entirely. We still need well-planned Renewable Energy Zones and transmission to deliver a reliable electricity system.”
If you would like to join more than 29,000 others and get the latest clean energy news delivered straight to your inbox, for free, please click here to subscribe to our free daily newsletter.
