The state government of New South Wales (NSW) in Australia has received a massive response to the South-West Renewable Energy Zone’s registration of interest (ROI) procedure. More than 34 GW of wind-solar PV and energy storage projects have been proposed, more than ten times the zone’s projected capacity. In October and November 2021, the NSW government conducted an ROI process for the South-West REZ, one of five designated clean energy areas detailed in the state government’s electricity roadmap, which is expected to support more than $32 billion in renewable energy generation, storage, and transmission investment.
The South-West REZ is one of five REZs that will assist the state in replacing its old coal-fired power plants. Starting with the 1,680 MW Liddell Power Station in 2023-24, four of its five fossil-fuelled power plants are projected to shut in the next 15 years. REZs will be built in the New England, Hunter-Central Coast, Illawarra, and Central-West Orana areas, with a total capacity of 12 GW of renewable energy and 2 GW of storage.
The Central-West Orana REZ, focused on the inland town of Dubbo, was the first of the REZs to be established, with a call for registers of interest in 2020 generating 27 GW of proposals, although it only needed 3 GW. The ROI process for the New England REZ, which is headquartered in Armidale, was likewise overwhelmed with interest, with investors submitting 34 GW of bids for an estimated capacity of 8 GW.
REGlobal’s Views: Australia is emerging as an attractive investment destination for global energy players owing to its high potential for renewable energy development and an enabling policy environment with government intent.
