Central-West Orana Renewable Energy Zone
Preferred bidder announced
Greenfield (construction) or brownfield (government asset divestment) projects needed or likely to occur within the next five years, but is not formally proposed by a state, territory or major local government.
The project or divestment is supported by a state, territory or major local government, is subject to studies or other processes (such as pre-feasibility or scoping studies or business case development), and is likely to proceed to formal announcement.
The project has a firm commitment and timeline from a state, territory or major local government, but has not yet entered the market.
The project or transaction is under procurement (such as a call for Expressions of Interest, requests for tender, or another offer to the market).
Preferred bidder announced
A preferred bidder has been selected and is in exclusive negotiations.
Projects that have progressed to contractual close remain on ANZIP for 12 months.
ANZIP is focused only on major infrastructure activity, above the following thresholds:
Construction projects: > AUD$300m
Investable greenfield & brownfield: > AUD$100m
All greenfield and brownfield projects and divestments: > NZD $100 million
The Central-West Orana Renewable Energy Zone (REZ) aims to unlock up to 3,000 megawatts of new renewable generation.
The Central-West Orana region was selected as the first REZ due to level of planning and investment in renewable energy projects already underway, with around 4,500 megawatts of renewable projects either approved or in the planning system. The region is also has a mix of solar and wind resources.
The precise location of the Central-West Orana REZ will be determined through industry and community consultation, and further input gained during the tender process.
Transmission upgrades will be required to support the increase in renewable generation and storage in the REZ. The scope and timeline for these upgrades will be determined following a feasibility study being developed by Transgrid with support from the Australian Renewable Energy Agency.
The Australian Energy Market Operator's (AEMO) 2020 Integrated System Plan (ISP) estimates that the Transmission Link component of the Central-West Orana REZ has a cost of between $450 million and $850 million, with a modelled cost of $650 million.
Late 2022: Construction on projects in the REZ expected to commence
May 2020: ROIs opened for development of projects in the REZ, closing in June 2020.
2024-25 - Scheduled delivery of Transmission Link
Federal Government: $5,000,000 AUD (towards feasibility study)
NSW Government: $40,600,000 AUD
NSW has committed $40.6 million funding to the development of the REZ, including the establishment of the Energy Corporation of NSW, which will coordinate development of the REZ.
The Federal Government, through ARENA, has committed $5 million towards a $16.2 million feasibility study, to be undertaken by Transgrid, which will assess the technical and commercial options for the development of new high voltage transmission lines to enable the REZ.
May 2020: ROIs opened for renewable generation and storage projects in the REZ.
June 2020: NSW Government revealed 113 Registrations of Interest (ROIs) received, with proposals representing an estimated 27 gigawatts of total capacity.
July 2020: In its 2020 Integrated System Plan, AEMO identified the Central-West Orana REZ Transmission Link as a critical project and provided updated costings for the Transmission Link.
Last reviewed: 14/08/2020