The New South Wales Labor government is introducing new laws to speed up the delivery of key wind, solar and network projects, and is also looking at a major change to planning rules that will prevent long distance objectors holding up the system.
NSW still has the biggest coal fleet in the country, and a relatively low renewable energy share of around 36 per cent, and now finds itself in a race to build enough capacity to replace its ageing coal fired generators.
Already the failure to build enough new wind and solar capacity – only one wind farm is under construction at the moment – has been used as a reason to delay the planned closure of the country’s biggest coal plant at Eraring and raise questions about the timing of other coal exits.
The state is also scrambling to ensure enough new capacity is available to provide cheaper and cleaner energy to big industrial users, such as the giant Tomago smelter whose coal supply contract runs out in a few years, as well as emerging data centre demand.
Until the arrival of the openly anti-renewable LNP government in Queensland, NSW had been regarded as the most difficult region to secure planning approvals, particularly for wind farms that have been trapped in the process for years.
Now the state is enacting new laws that it says will “identify the highest-priority renewable energy projects” in the planning pipeline, and prioritise them for streamlining.
It says it will in more streamlined approvals for generation, storage and network projects, but will not remove any environmental or community assessment requirements. Developers will still need to meet all relevant planning, environmental and consultation obligations.
The state’s energy and planning ministers say further reforms are also in development to improve the way projects are referred to the Independent Planning Commission for determination.
Currently, any project that attracts 50 complaints, even if none are from the local area, must go before the IPCN, adding potentially many month to the already drawn out planning process.
“These reforms will also make sure critical projects are not being delayed by objections from people thousands of kilometres away who will never be impacted by them – NSW locals should and will have the loudest voice,” minister for planning Paul Scully.
“These reforms build on that success by enshrining the community benefit scheme and streamlining prioritised projects in the planning system with the most potential to power our state’s future, making sure the right projects are delivered at the right time in the right places in line with our energy goals.”
The state has it has already cut assessment times by around 20 per cent, but more needs to be done and the new rules – under the Energy Legislation Amendment (Prioritising Renewable Energy) Bill 2026 – will allow energy minister Penny Sharpe to draw up a list that will get priority assessments.
“The Minns Labor Government is committed to ensuring reliable, affordable energy for our heavy industries like the Tomago aluminium smelter, and to power economic growth across the state,” Sharpe said in a statement
“This new legislation will mean infrastructure projects that are critical for manufacturing jobs, economic growth and energy affordability don’t get stuck in the queue.”
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