Transgrid ticks off first ISP job: Queensland-NSW interconnector upgrade

Transgrid has completed the $236 million upgrade to the Queensland-New South Wales Interconnector to increase the flow of electricity between the two states and reduce constraints on the NSW transmission network.

The upgrade to the Interconnector, or QNI, marks Transgrid’s first successful delivery of a project enshrined in the Australian Energy Market Operator’s Integrated Systems Plan (ISP), AEMO’s roadmap to a net-zero grid.

Transgrid says the upgrade of 300km of transmission lines and four substations, and the replacement of 57 transmission towers between Tamworth, Muswellbrooke and Liddell will allow 460MW more power to flow into Queensland and 190MW more into NSW and the ACT.

QNI is one of a number of major transmission upgrade projects that Transgrid is either leading or contributing to, including the VNI West link between NSW and Victoria, on which AEMO’s Project Assessment Draft Report is due for release this week.

Indeed, as RenewEcomomy has reported, Transgrid will likely be one of the biggest beneficiaries of AEMO’s 2022 ISP because most of the priority projects lie within its geography.

But it won’t all be upside. A recent report from the Australian Energy Infrastructure Commissioner revealed that major transmission projects and upgrades were the biggest source of complaints from the community in 2021.

Speaking at an event marking the completion of the QNI project on Thursday, Transgrid CEO Brett Redman said the interconnector upgrade had come in “on time and on budget,” to make a significant difference to the National Electricity Market.

“Transgrid is leaning into the acceleration of the energy transition by building the major projects which will enable the integration of renewables, increase competition among generators, drive down electricity prices and support the decarbonisation of Australia’s economy,” Redman said.

NSW energy minister Matt Kean, whose Coalition government contributed $102 million jointly with the federal government towards the QNI upgrade, said the project was vital to the state’s goal of phasing out coal power.

“We identified the QNI project as a priority in the NSW Transmission Infrastructure Strategy because it supports our vision to provide affordable and reliable energy for NSW households,” Kean said at the same event in Tamworth.

“QNI will support the development of Renewable Energy Zones which will be vital to ensuring the future of electricity in NSW as coal fired power stations retire.

“NSW is leading Australia’s action on climate change and this project is an important step in shifting to cleaner, greener energy and helping us to secure our economic prosperity for decades to come.”

In a video on the project, Transgrid says part of the upgrade was to install new and taller towers to improve system performance, enabling the transmission of more energy as new generation comes online.

Substation upgrades, meanwhile, included the introduction of system strengthening technology that provides greater voltage stability and regulation of the system, the video says.

Transgrid says roughly 150 jobs were created during the project and – on that vital subject of social licence – community grants were awarded to support the work of local not-for-profit groups along the project route.

Elsewhere, Transgrid is building the 700km NSW section of EnergyConnect, from Wagga Wagga to the South Australian border, that will enable the sharing of energy between NSW, SA and Victoria, as well as HumeLink and VNI West Kerang.