Easement Payments Overview

Our transmission lines are located on easements across public and private land throughout NSW and the ACT.

An easement is a property right that is registered on title and allows Transgrid to construct, operate, and access its transmission line infrastructure.

Private landowners* are compensated for hosting the easement in accordance with the NSW Government’s Land Acquisition (Just Terms Compensation) Act 1991 (Just Terms Act). Transgrid has also adopted the property acquisition standards and principles set out by the Centre for Property Acquisition.

We have developed this landowner compensation guide to help you understand Transgrid’s process for acquiring easements and how compensation is calculated and paid.

*For the purposes of this web page the term landowner(s) and landholder(s) are interchangeable. 

Strategic Benefits Payments

The NSW Government finalised its Strategic Benefits Payments Scheme (SBP) for eligible landowners following the approval to its SBP Guidelines, which are in effect from 1 July 2025. Under the SBP scheme, private landowners hosting new high voltage transmission projects critical to the energy transformation and future of the electricity grid will be paid $200,000 per kilometre of transmission line hosted, adjusted for inflation using the Consumer Price Index (CPI), paid in annual instalments over 20 years. 

The SPB is not eligible for landowners that are Public Authorities.

The SBP is an additional payment to any compensation paid under the Land Acquisition (Just Terms Compensation Act, 1991). The SBP scheme will apply to landowners hosting new transmission projects that are required for the energy transformation under the Australian Energy Market Operator’s (AEMO) Integrated System Plan (ISP) and the NSW Government’s Electricity Infrastructure Roadmap.

These payments acknowledge the vital role landowners play in supporting a modern electricity grid for NSW.

More information about the scheme is available from EnergyCo.

We have also developed Frequent Asked Questions to help landowners understand how the scheme benefits them.

Applicable Transmission Projects

The SBP Scheme applies to all new major transmission projects that are critical to the energy transformation and the future of the energy grid. Projects that meet this definition include priority transmission infrastructure projects, Renewable Energy Zone network infrastructure projects and transmission infrastructure projects identified in the AEMO’s ISP that are commissioned after the date of implementation of the SBP Scheme.

Examples of eligible projects that are underway or in early planning and development include EnergyConnect, HumeLink, and VNI West, Hunter Transmission Project, the New England Transmission Project, the Central-West Orana REZ Transmission Project, and the Mt Piper to Wallerawang Transmission Line Project. For eligible projects, SBP is required for:

  • new high voltage transmission lines

  • increasing the voltage of existing lines that involves significant new works such as increasing the width of easements to accommodate additional towers.

The SBP Guidelines do not allow SBP to apply for:

  • new substations

  • rebuilding existing transmission lines that do not involve significant new works, such as replacing existing towers

  • augmentations or upgrades to the existing transmission network, including existing substations

  • new transmission and distribution lines less than 220kV and any associated works

  • existing transmission and distribution lines.

For eligible projects and works, payments are based on the length of the line required for a single set of transmission towers for the transmission infrastructure. If the transmission project requires two sets of towers (and subsequently two lines or parallel lines), the landowner will receive a SBP for each set of towers/lines for the project (that is, two payments). There is no difference in payment for different voltages or different tower designs.

Strategic Benefit Payment Guidelines

Transgrid as a ‘Licence Holder’ must administer the SBP in accordance with the NSW Government’s Strategic Benefit Payment Guidelines (the Guidelines). Transgrid must make SBPs and comply with the Guidelines as a condition of its Licence. Some of the requirements of the Guidelines include the below.

Project Easement Register

Once a transmission line has been energised the property details will show in the project easement register. You can search using your property information found on the title deed.

Just click on the project easement register in the drop down below to download a excel spreadsheet.

*Transgrid must update the register at least 90 days prior to energisation. If you believe your property should be shown and you can’t see it yet, please reach out by emailing sbpayments@transgrid.com.au.

Project Easement Register

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Project Easement Register

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Information for eligible landowners

In accordance with Clause 19 of the Guidelines, Transgrid must prepare and publish, and keep up to date and accurate, information about SBPs.

The information which will be published includes:

  • information about how to contact the Licence Holder to submit enquiries about SBPs and typical response times

  • information to identify the Licence Holder’s Eligible Projects

  • the current Project Easement Register for each of the Licence Holder’s Eligible Projects

  • information about the Licence Holder’s procedures for identifying Eligible Owners and obtaining valid Payment Directions

  • the Licence Holder’s privacy policy relating to Landholder Information; and

  • the Complaints Handling Policy of the Licence Holder.

Payment process

Transgrid will employ a staged approach to identify and pay eligible landholders which involves:

  1. Ownership verification: using the current Certificate of Title and Transgrid systems, affected landholders will be identified and evaluated for eligibility based on the SBP guidelines.

  2. Payment direction: verified landholders will be contacted to provide a signed payment direction form which includes payment information and enables payments to be made

  3. Verbal confirmation: initial payments and the updating of any payment direction details will require verbal confirmation from verified landholders.

Contact us

Landholders with enquiries about SBPs can contact Transgrid by emailing sbpayments@transgrid.com.au. Your enquiry will be acknowledged within 2 business and responded to within 10 business days.

Feedback and complaints

If a complaint or dispute cannot be resolved, eligible landholders can contact the Energy & Water Ombudsman NSW (EWON) who has a list of dispute resolution services. More information can be found on the EWON website at https://www.ewon.com.au/.

Frequently Asked Questions

What is the Strategic Benefit Payments Scheme?

The Strategic Benefit Payments (SBP) Scheme is a payment of $200,000 per kilometre of transmission line hosted for new major transmission projects critical to the energy transformation and future of the electricity grid, paid out in annual instalments over 20 years.

The payments begin once the relevant project is energised (i.e. the line becomes operational). This means that each year, a landowner hosting one kilometre of transmission line would be paid $10,000 by Transgrid every year for 20 years once the line is switched on. The payment is adjusted each year for inflation, based on the Consumer Price Index.

SBP is separate to compensation for the acquisition of easements for new transmission projects, which will still be governed by the Land Acquisition (Just Terms Compensation) Act 1991.

The new line has been energised, and I am eligible to receive a SBP, what happens next?

Eligible landowners will not have to ‘apply’ to receive SBP. Transgrid will contact you by email, letter or phone with details on next steps. A follow-up phone call will be made to you to confirm you have received our correspondence and answer any questions you may have about your payment. After this, we will take steps to begin the payment cycle.

Why are these payments being introduced?

These payments are an acknowledgement of the important role private landowners play in supporting the transition to a low-emissions electricity system. New transmission infrastructure is critical to connecting renewable energy sources to where they are needed the most across NSW. SBP will ensure that landowners who host new vital major transmission projects receive tangible benefits for participating in building an energy grid that supports the future of all people in NSW.

Was Transgrid involved in developing SBP?

The NSW Government consulted with Transgrid and other key stakeholders in the development of SBP.

What is Transgrid’s role in the SBP Scheme?

For its eligible projects, Transgrid is responsible for:

  • contacting eligible landowners once a transmission line is energised to start the payment process
  • making the SBP to eligible landowners
  • maintaining a register of eligible landowners
  • maintaining accurate bank details for eligible landowners.

What are the NSW Government’s Strategic Benefit Payment (SBP) Guidelines?

The NSW Government’s SBP Guidelines, effective from 1 July 2025, outline the framework for compensating eligible landholders who host transmission infrastructure as part of major energy projects. These guidelines are issued under the Electricity Supply Act 1995 (NSW).

Who is eligible for these payments?

SBP will only be paid to eligible landowners whose properties are hosting new major transmission projects critical to the energy transformation and future of the electricity grid. This includes transmission projects identified in the AEMO’s Integrated System Plan (ISP) such as HumeLink and EnergyConnect, Renewable Energy Zone network infrastructure projects and priority transmission infrastructure projects under the NSW Government’s Electricity Infrastructure Roadmap.

SBP will be made to private individuals or corporate entities that own land in NSW. Private holders of a Western land lease granted under the Western Lands Act 1901 are eligible to receive SBP. Native Title holders and holders of Aboriginal Land Rights are also eligible for SBP.

A full list of eligible landowners can be found in the NSW Government’s SBP Scheme Guidelines available via https://www.energyco.nsw.gov.au/publications/strategic-benefit-payments-scheme-guidelines.

What transmission line projects are eligible?

Eligible projects include priority transmission infrastructure projects, Renewable Energy Zone network infrastructure projects and transmission infrastructure projects identified in AEMO’s ISP that are energised after the date of implementation of the SBP Scheme.

Examples of eligible projects that are underway or in early planning and development include EnergyConnect, Humelink, VNI-West, Hunter Transmission Project, New England Transmission Project and the Central-West Orana REZ Transmission Project.

SBP apply for:

  • new major transmission lines with a voltage of at least 330 kV
  • projects that increase the voltage of existing lines that involves significant new works such as increasing the width of easements to accommodate additional towers.

SBP do not apply for:

  • new substations
  • rebuilding existing transmission lines that do not involve significant new works, such as replacing existing towers
  • augmentations or upgrades to the existing transmission network, including existing substations
  • new transmission and distribution lines and any associated works with a voltage of less than 330kV
  • existing transmission and distribution lines.

For eligible projects and works, payments are based on the length of the line required for a single set of transmission towers for the transmission infrastructure. If the transmission project requires two sets of towers (and subsequently two lines or parallel lines), the landowner will receive a SBP for each set of towers/lines for the project (i.e. two payments). There is no difference in payment for different voltages or different tower designs.

Do these payments replace compensation agreed under the Land Acquisition Just Terms Compensation Act (1991)?

No. These payments will be in addition to the compensation paid to landowners for transmission easements under the Land Acquisition (Just Terms Compensation) Act 1991.

When do the payments come into effect?

Payments will come into effect after construction of transmission infrastructure is complete and the line is energised. It is proposed that the first payment would be made no later than 90 days after energisation of the new transmission line project. Subsequent years will be paid annually in the first three months of the financial year.

What if energisation occurred before the NSW Government’s Strategic Benefit Payments Scheme Guidelines were published?

As set out in the SBP Guidelines, eligible project sections energised before the scheme started will receive payment within 90 days after July 1 2025.

How has the rate of payment been determined?

The payment amount of $200,000 per kilometre over 20 years was set after evaluating:

  • the critical importance of timely rollout of transmission infrastructure
  • the costs of payments to landowners
  • the benefits to consumers from efficient infrastructure delivery
  • the need to ensure private landowners share in the benefits of hosting transmission infrastructure.

Why are the payments for a 20-year timeframe?

The 20-year period is generally consistent with the access rights that will be granted to renewable energy generation and storage projects to connect to the new transmission infrastructure in Renewable Energy Zones under the NSW Roadmap and Electricity Infrastructure Investment Act 2020.

It is structured to ensure that the private landowners hosting new transmission infrastructure will receive a share of the benefits of the infrastructure, and that if the ownership of land changes over time, then the new landowner will continue to receive any future SBP. If the land is sold or transferred to a public entity within the 20-year period, SBPs would no longer be paid.

What is the Project Easement Register?

Transgrid must publish a ‘Project Easement Register’ for each of its eligible projects. The registers must be completed at least 90 days before the energisation date and be updated as required to ensure the information is accurate.

Eligible landowners will be placed on a scheme register managed by Transgrid. You will be able to access the register online via the Transgrid website to make sure you are listed.

Who will make the payments and how is the scheme being funded?

Payments will be made by network operators, including Transgrid. The cost of implementing SBP will be included as part of the cost of delivering the new transmission infrastructure, which is currently recovered from consumers.

The implementation of the SBP Scheme will ensure that landowners, communities and consumers mutually benefit from the timely and efficient delivery of transmission infrastructure that supports the future security of the electricity network.

Does the payment apply to existing transmission assets? If not, why not?

The payments do not apply to existing transmission assets. They only apply to major new high voltage transmission projects proposed under the ISP or the NSW Roadmap that are critical to the energy transformation and future of the electricity grid. The Minister may include new major transmission projects or amend the SBP Guidelines at their discretion.

Are the payments registered on property title, or linked to the property in some way?

The payments are not registered or linked to the property title. The NSW Government has released the SBP Guidelines which provide for administrative arrangements to ensure that the SBP Scheme is being appropriately and effectively implemented by the network operator (Transgrid).

I am still negotiating compensation with Transgrid for an eligible project – will I still receive SBPs?

Transgrid will continue to seek negotiated compensation agreements in line with the Land Acquisition (Just Terms Compensation) Act 1991, and the SBP Scheme will be applied in addition to negotiated compensation.

I have already agreed compensation with Transgrid for a current eligible project – what happens to me?

The SBP Scheme will be applied independent of, and in addition to, negotiated compensation.

The rate is described as being per kilometre – how does it apply to parts of a kilometre?

The SBPs payment will be pro-rated. For example, if a property has 1.5 km of transmission lines, the annual payment will be approximately $15,000 for each year for 20 years plus adjustments each year based on the Consumer Price Index. If a transmission line length is shorter than 100 metres the relevant line length is taken to be 0.1 kilometres.

Are the payments subject to Capital Gains Tax, or any other tax?

Many factors can affect applicable tax, such as the ownership of a property and the operation of any business on the property. Each individual case will be different. We encourage landowners to seek independent tax advice about the treatment of the SBPs Scheme.

How do I make sure my contact and bank details are correct?

Contact Transgrid via email sbpayments@transgrid.com.au or by phone 1800 222 537 to ensure your details are up to date.

Are neighbour payments included in this scheme?

No, neighbour payments have not been approved as part of the NSW Government scheme.