Minister for Energy and Resources Lily D’Ambrosio has announced that the Australian Energy Operator (AEMO) can now progress with the VNI West project, which would better connect the Victorian and NSW energy grids.
VNI West is a 500kV transmission line that will connect the Victorian and NSW grids, ensuring reliable electricity access during peak demand periods and allowing for the construction of approximately 3.4 gigawatts of additional renewable generation across the solar-rich Murray River Renewable Energy Zone (REZ) and wind-rich Western Victoria REZ.
According to the Victorian Government, a Ministerial Order has been issued to advance AEMO’s preferred option, which connects VNI West to the planned Western Renewables Link (WRL) at a terminal station in Bulgana, Victoria’s west, before linking to a terminal station near Kerang, Victoria’s north central region, and crossing the Murray River north of Kerang.
“Progressing critical transmission projects like VNI West is necessary to deliver cheaper, more reliable renewable energy to Victorian homes and businesses,” Minister D’Ambrosio said.
VNI West still requires necessary planning and environmental clearances, providing community members and Traditional Owners further chances to voice their concerns about the project.
AEMO will continue ongoing consultations as it works to improve the route, and community feedback will be critical in helping build a path that has the least impact on landholders, the environment, and farming activities.
The State Government said recognising the critical role that the community plays in hosting transmission infrastructure, landholders will be entitled to $8,000 per year for every kilometre of transmission hosted for a period of 25 years. These payments are in addition to current compensation mechanisms, which compensate for any loss of land value.
Once a preferred path for VNI West has been selected, AEMO will assign a property Liaison Officer to landowners possibly hosting transmission lines, who will engage directly with landowners to minimise effects on their property, including interruptions to regular farming activities.
VNI West is just one component of Victoria’s electrical system transformation, which will see the State reach 95% renewables by 2035 and generate 59,000 jobs.
“There can be no energy transition without new transmission infrastructure – as Victoria moves towards 95 per cent renewables by 2035, we have a duty to modernise our electricity network,” Minister D’Ambrosio said.
