Proposal: Upgrade and relocate
Apreference to upgrade and relocate planned construction of two key energy-transmission projects could ensure the energy future of Wimmera and southern Mallee industries.
The Australian Energy Market Regulator, AEMO, released its consultation report last week on the planned construction of Victoria-new South Wales Interconnector, VNI West, and has preferenced more than doubling its transmission capacity, as well as a relocation of its intersection with the Western Renewables Link, WRL, at Bulgana, near Great Western.
The at-times polarising plans for the location of the WRL and VNI West connection has drawn criticism from several farming communities the transmission line might affect.
However, Wimmera Development Association chief executive Chris Sounness highlighted the need for greater transmission throughout the region to sustain business investment across the Wimmera and southern Mallee. He said AEMO’S preference to increase the transmission capacity of VNI West from 220kilovolts to 500kv, and re-route its connection to the proposed WRL at Bulgana, rather than at Ballarat, would secure ‘thousands of new jobs’ across the region.
“Not only will the Wimmera and southern Mallee finally have the reliable power it needs, but we will have contributed to achieving critical steps on the road to meeting Victoria and Australia’s clean energy transition,” he said.
“Building the essential transmission, at 500kv and in the right places, will support meeting the legislated netzero energy targets, ensure electrification of the nation can occur, and enable a community to thrive and realise its economic potential.
“These projects will cost billions of dollars, but the benefits now and in the future are many multiples of the outlay, including thousands of new jobs in the Wimmera and southern Mallee.”
Grampians New Energy Taskforce chair Stuart Benjamin said ‘transmission confidence’ was crucial for the region’s energy stability once the state’s second-largest power station closed.
“Yallourn power station is scheduled to close in 2028, removing four gigawatts of generation from the national grid,” he said.
“There is no way the replacement generation can become a reality without confidence in transmission capacity. The power in the region is already unreliable, impacting families and businesses.
“If the right decisions are not made now, in 2028 the lights will go out.”
AEMO’S consultation report highlighted its latest preferences would harness ‘more renewable generation in western Victoria’ from as early as 2027.
The report also suggested construction of the VNI West and WRL connection point at Bulgana had the ‘fewest’ environmental and social constraints in comparison with other suggested locations.
Wimmera Development Association’s support for AEMO’S VNI West preferences follows the release of its own report emphasising transmission upgrades and terminal relocation would alleviate future transmission limitations, ease investor uncertainty and the project’s social licence.
The new report, ‘Keeping the lights on and enabling a renewable energy revolution in the Wimmera Southern Mallee’, extensively touts increasing energy transmission as a solution to the Wimmera and southern Mallee’s energy unreliability, as well as the region’s capacity to contribute to the state’s renewable-energy generation.
Tony Goodfellow, co-ordinator of the Victorian and Tasmanian arm of regional not-for-profit renewableenergy advocate organisation Realliance, said ‘it was good to see’ AEMO had listened to community feedback on the VNI West project, and Wimmera Development Association’s support for its latest proposal had shown the regulator’s engagement had ‘improved’.
“Communities should have a central say in major developments such as VNI West,” he said.
“We welcome AEMO’S more thorough engagement plan for all stakeholders.
“Support for the new route from regional stakeholders such as the Wimmera Development Association shows AEMO’S engagement is improving.”
The State Government has announced a $200,000 per kilometre compensation scheme for landholders who would host VNI West transmission lines, to be paid across 25 years.
Re-alliance national director Andrew Bray said ‘proper’ payment for landholders was crucial, however was not a silver bullet for overcoming landholder opposition to the project.
Victorian Farmers Federation president Emma Germano has called for ‘clear’ landholder appeal guidelines, while several community alliances opposing the project have criticised the State Government’s financial compensation for affected landholders as insufficient.