A new feasibility study by a New South Wales parliamentary committee has found that the state government’s “big energy plan” had not considered better alternatives, with local communities near overland transmission lines calling for a review of one major project.
The state parliament’s select committee, which included representatives from each major party, and an independent member, is calling for a new independent assessment of a number of state government initiatives developed as part of the federal government’s $20 billion Rewiring the Nation plan.
The plan calls for financial concessional rates for energy companies willing to invest in new transmission lines to deliver affordable renewable energy to metropolitan and regional communities.
However, the committee said that the state government should back community calls to move developments such as the HumeLink project and the Central West Orana project at least partially underground.
Cate Faehrmann, the committee chair and member of the legislative council for the Greens, said that while an upgrade to electricity transmission across the state was necessary, “it is also undeniable that this is putting significant strain on those regional communities who will be required to accommodate the bulk of the renewable energy infrastructure required for this ambitious, and necessary, transition.”
The committee recommended that the government “commission an independent assessment into the costs and benefits of undergrounding transmission infrastructure technology and to understand the existing capacity of the domestic workforce skills and manufacturing industry.”
Rising tension
The HumeLink project proposes construction of 360 kilometres of double circuit 500 kilovolt transmission lines, which would involve an upgrade of substations at Maragle and Bannaby and a new substation being built near Wagga Wagga. According to its website, the connection will enable a high volume of energy transfer around the national electricity market, making access more affordable for residents.
However, the local community has called on developer Transgrid to investigate the feasibility of building the HumeLink project via underground cable instead of overhead transmission lines.
Transgrid said this would cost about $ 11.5 billion, “at least three times more than the entire project’s current cost of $3.3 billion,” Which was unsustainable and costs likely passed onto consumers already concerned about escalating electricity prices.
The costs would also “curtail other projects essential for connecting alternative, renewable energy to consumers” and delay the project by up to five years.
However, protest group Stop Rethink HumeLink has urged the government to pause and rethink the project.
“Globally, we are seeing most advanced countries turning to underground transmission as the default solution to large renewable energy transmission opportunities,” campaign spokesperson, Michael Katz said.
The parliamentary committee noted that “it is resoundingly clear that transmission infrastructure providers are failing to secure the social licence necessary for their proposed new projects in regional areas”.
Instead, it urged the government to provide “more information to adequately explain the options to the community, relating to undergrounding transmission lines versus overhead transmission lines, in the broader context of the NSW government’s legislated Net Zero and renewable energy targets.”
“The committee came to the view that there is merit in exploring a hybrid approach to transmission infrastructure projects to better address sensitivities, from environmental to cultural to social, wherever practicable. To this end, the committee recommended that the NSW government work with Transgrid… to consider opportunities for a hybrid approach when completing transmission infrastructure projects,” wrote chair Faehrmann.
The committee said passing costs of undergrounding to consumers was “unfair and should be remedied”.
Instead, the government should spread costs to a broader base.
Calls to “stop and rethink” is growing stronger
Following the committee report, the Stop Rethink HumeLink campaign has grown stronger.
Katz said the report showed that there were “damning deficiencies” in the government’s approach to transmission, including planning, community consultation, environmental impacts, bushfire risks and a failing regulatory regime.
“As the report highlights, the current regulatory approach is broken in so many ways. While action needs to be taken to power this country, we can’t keep forging ahead to deliver energy to the detriment of communities, the environment, and the electricity users for future generations,” Katz said.
Community members also argued that undergrounding was a better option and offered:
- lower maintenance costs over an expected 50 year
- no bushfire risks no impediment to the management of bushfires
- narrower easement 20 metres to and 30 metres, compared to 80 metres to 160 metres in width
- greater security
- landscape not scarred
- agriculture largely unaffected