29 November 2019
Regions on the threshold of a clean energy bonanza
The Nature Conservation Council welcomes NSW Government plans to make the Central West a clean-energy powerhouse supplying electricity to 1.3 million homes. [1]
The government’s NSW Electricity Strategy 2019 names the Central West as the location for a pilot Renewable Energy Zone where clean energy projects would be developed to generate 3,000 MW of electricity.
“This is a great way to help a region suffering one of the worst droughts on record diversity its economy while also reducing climate pollution that has fuelled the Big Dry,” said Nature Conservation Council Chief Executive Chris Gambian.
“NSW has incredible clean energy resources with the potential to generate 267 times more electricity than the state needs, all with zero emissions.
“Our analysis shows moving to 100% clean energy would create 22,000 full-time jobs in NSW, most of them in regional NSW.” [2]
The government has also announced that it will issue a tender to invite companies to supply electricity to power most NSW Government operations.
“The government is one of the state’s biggest electricity users – about 2.6% of total consumption – so this decision is potentially a significant milestone in the state’s progress to 100% clean energy,” Mr Gambian said.
“We’ve run the ruler over this proposal and concluded it could create 600 regional jobs building new solar and wind farms, which is a huge opportunity. A purchase of this size could underpin 680 MW of new clean generation.”
“The government tender is likely to be met by solar and wind, backed up by storage, as the cheapest option in the market. But rather than just leave that decision to the market, the government should make it a condition of the tender that the power comes from clean energy sources and storage.”
Key features of the pilot Renewable Energy Zone (see p11 of the Strategy)
- The NSW Government will ask the market for Expressions of Interest to invest in NSW Renewable Energy Zones, starting with a 3,000 MW pilot Renewable Energy Zone in the State’s Central-West.
- This pilot Renewable Energy Zone would produce enough energy to power up to 1.3 million homes each year.
- The NSW Government will set up a dedicated Renewable Energy Zone body that will bring together investors and undertake early planning so benefits for local communities are maximised.
Key features of the tender
- The announced tender of 1.8 TWh is equivalent to 2.6% of the State’s total energy consumption of 68 TWh (source: AEMO)
- If fulfilled with clean energy projects as expected, it would reduce carbon pollution by 1.5 million tonnes, equivalent to taking 480,000 cars off the road.
- The tender could create 600 construction jobs and 48 ongoing clean energy jobs in NSW.
REFERENCES
[1] NSW Electricity Strategy 2019
[2] Repower Our Regions
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Climate and energy
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