Transgrid encourages feedback on HumeLink application

CEO Brett Redman said: “As we approach the final stage in the regulatory process for HumeLink, we invite everyone, including landowners, communities and business owners, to review the document and provide their feedback.

“HumeLink will provide NSW energy consumers with access to cheaper, cleaner renewable energy as ageing coal-fired power stations retire, supporting the Federal and NSW governments’ vision for Australia’s clean energy future.

“We recognise the urgency of the energy transition, and we stand ready to begin delivery of HumeLink, which the Australian Energy Market Operator (AEMO) considers to be in the long-term interests of energy consumers and critical to securing cheaper, cleaner, renewable energy for more than eight million people across NSW.”

The CPA2 provides details on the specific costings to deliver the HumeLink project, and the significantly increased market benefits to consumers from $491 million to more than $1 billion. It also details $412 million of cost savings to consumers through innovative procurement and project integration planning, comprising:

• $85 million for securing long lead equipment (LLE) such as reactors, transformers and conductors through Transgrid’s Powering Tomorrow Together (PTT) program
• $237 million in savings for the design and construction of substations and transmission lines including access tracks under an innovative contracting approach, and
• $90 million in delivery efficiencies by undertaking the Gugaa Substation integration as part of the VNI West project.

Subject to the AER’s revenue determination and completion of finance arrangements, the delivery of HumeLink will involve the construction of about 365km of backbone energy infrastructure in two sections (east and west) including new transmission lines and four new or upgraded substations.

Mr Redman said: “Transgrid acknowledges the sensitivities of communities and landowners given the scale of this project and that’s why we have undertaken significant community, stakeholder and consumer representative engagement and selected the route that appropriately balances consumer costs, environmental protection and amenity for local communities.”

Publication of the CPA2 starts AER’s official four-week consultation process for this part of the process and will run in parallel with the three-week consultation period for Transgrid’s Response to the Material Change in Circumstance (MCC) assessment, which demonstrates that the project remains the preferred option. Feedback received on the draft CPA2, published on Transgrid’s website since December 2023, will also be considered by the AER in making its determination.

All project determinations and the final investment decision are expected to occur in mid-2024. CPA2 can be accessed on the AER’s website. Submissions are invited and can be made until April 3. Transgrid also welcomes feedback on the MCC assessment by March 21.

For more information about the project, visit: https://transgrid.com.au/humelink

HumeLink project map

HUMELINK FAST FACTS

• Up to 1,600 jobs
• More than $1 billion in market benefits
• More than $15 million in community investment, subject to regulatory approval
• Local workforce and local industry participation targets of 5-10%
• Indigenous Participation Target of 2.5% of the total project cost, including employment and procurement
• Securing energy reliability for more than three million households and businesses

Transgrid media contact:

Michelle Stone 0438 293 917