NSW swamped by 34GW of wind, solar and storage for new renewable zone

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New South Wales has again received an overwhelming response from aspiring developers of wind, solar and storage projects, with more than 34GW of proposals for the South-West Renewable Energy Zone, more than 10 times its likely capacity.

The state government, through its newly formed Energy Corporation of NSW, ran a registration of interest process in October and November for the south-west region, one of at least five REZs planned to help replace the ageing coal fleet over the coming decade.

“There were 49 registrations totalling over 34 gigawatts from potential generation and storage projects – thirteen times the intended capacity for the South-West REZ, which will be no less than 2.5 gigawatts,” James Hay, the CEO of Energy Corp, said in a statement on Friday.

“This project will bring an economic boost to the region and with interest from a variety of established and innovative technologies including wind, solar, battery and hydrogen projects.

It’s not the first time that a request for information for one of the state’s proposed REZs has elicited an overwhelming response, but this is clearly the most dramatic.

The Central-West Orana zone, based around Dubbo and Wellington and likely the first to be developed, received 27GW of proposals when it sought 3GW, while the New England REZ, based around Armidale, received 34GW of proposals for a likely capacity of 8GW.

Other zones are to be created in the Hunter Central Coast region, and the Illawarra region, with more likely to follow to encourage offshore and floating wind farms.

In total, NSW has already received nearly 100GW of wind, solar and storage proposals to choose from, and to help it tailor the roll-out of renewables and storage across the state under its new central planning regime.

Those wanting to be part of the newly formed REZs will bid for access rights, which will more or less guarantee no network curtailment, and may also be rewarded with a minimum guaranteed payment for their output.

The South-West REZ is based around Hay and is located on the lands of the Wiradjuri, Yorta Yorta, Baraba Baraba, Wemba Wemba, Wadi Wadi, Madi Madi, Nari Nari, and Yitha Yitha people.

It was chosen because of the abundance of potential solar projects in the area, as well as wind, and will be supported by the new transmission line, Project EnergyConnect, that will link South Australia and NSW and pass through the region.

“The number of responses to the ROI reflects the strong level of interest in the South-West and helps ensure only the best projects which benefit the community and maximise local renewable jobs and investment in the region will be picked,” Hay said.

“Timing, capacity, design and location of the new South-West REZ will be considered alongside ongoing consultation with local stakeholders through the South-West Regional Reference Group, project partners and local stakeholders including local councils and First Nations representatives,” he said.

Hay said the South-West REZ is a significant undertaking and will take several years to plan, design and build and will most likely be delivered in stages.

 

Giles Parkinson is founder and editor-in-chief of Renew Economy, and founder and editor of its EV-focused sister site The Driven. He is the co-host of the weekly Energy Insiders Podcast. Giles has been a journalist for more than 40 years and is a former deputy editor of the Australian Financial Review. You can find him on LinkedIn and on Twitter.

Giles Parkinson

Giles Parkinson is founder and editor-in-chief of Renew Economy, and founder and editor of its EV-focused sister site The Driven. He is the co-host of the weekly Energy Insiders Podcast. Giles has been a journalist for more than 40 years and is a former deputy editor of the Australian Financial Review. You can find him on LinkedIn and on Twitter.

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