TransGrid today welcomed the approval by the Australian Energy Regulator (AER) of the Regulatory Investment Test for Transmission (RIT-T) for Project EnergyConnect.
The proposed development of the 900 kilometre electricity interconnector by TransGrid and ElectraNet will enable the sharing of energy between NSW and South Australia, lower wholesale energy costs and support growth in renewable energy generation.
The AER statement can be viewed here and the decision document can be viewed here.
"With ElectraNet, TransGrid is committed to delivering the project at the lowest possible cost with the greatest benefit to energy consumers," said CEO Paul Italiano.
"We are continuing to advance the project and will lodge a Contingent Project Application (CPA) later this year."
TransGrid today announced it has shortlisted three bidders for the design and construction of the NSW section to be built from the South Australian border to Wagga Wagga. The tender will commence next month.
The shortlisted bidders are: CPB Contractors & UGL Engineering, Elecnor Australia & Seymour Whyte Constructions and Quanta Power Australia.
AEMO recognised the interconnector as an important element of the NEM roadmap that would deliver positive net market benefits. EnergyConnect has been identified as a priority project in both AEMO's Integrated System Plan and the NSW Government's Transmission Infrastructure Strategy.
Once approved, it would be built near identified Renewable Energy Zones, to enable the connection of future renewable energy projects to the grid.
TransGrid and Electranet have commenced preliminary works on the project, including preparations for cultural and geo-technical surveys and will work together on the submission of the CPA.
Construction of Project EnergyConnect is due to commence in mid-2021 and be fully commissioned by 2023. It will provide 800 regional jobs during construction and a 700 ongoing jobs.
For more information about Project EnergyConnect go to: http://www.projectenergyconnect.com.au
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