Wedoany.com Report-Dec 24, The $4.89 billion HumeLink transmission project, a critical component in connecting the Snowy 2.0 expansion to Australia’s electricity grid, has received final approvals. Construction is set to begin early next year, following the Final Investment Decision (FID) by Transgrid’s Board.
HumeLink will deliver 365km of 500-kilovolt high-voltage transmission lines across New South Wales, linking Wagga Wagga, Bannaby, and Maragle. Once operational, it will unlock 3GW of renewable energy, including 2200MW of on-demand power from Snowy 2.0 – enough energy storage to power three million homes for a week.
The project is expected to provide more than $1 billion in net benefits to Australian consumers while playing a pivotal role in enabling the Snowy Hydro Scheme to integrate more renewable energy into the grid.
Financial and industry support
The Clean Energy Finance Corporation (CEFC) is backing the project with approximately $450 million in concessional-loan financing and $1 billion in subordinated notes. Transgrid security holders are contributing $1.5 billion, following their earlier $690 million investment in the VNI West project.
Transgrid Group CEO Brett Redman emphasized the importance of Snowy 2.0 to the project’s success. “HumeLink will reinforce the southern NSW electricity grid and enable the integration of new renewable generation, particularly from Snowy 2.0, which is a cornerstone of Australia’s renewable energy transition,” he said.
Redman added: “Bringing this energy online will benefit millions of Australians on the eastern seaboard by providing access to cheaper renewable energy. HumeLink and VNI West are essential to achieving the Australian and NSW Governments’ net zero targets.”
Construction and timeline
Following detailed design and preparatory work, major construction is expected to commence in early 2025, with completion slated for late 2027. HumeLink will generate 1,600 construction jobs and more than 60 ongoing roles, while creating significant opportunities for regional and national suppliers.
The project includes over $11 million in community investments to deliver lasting benefits, including local employment, training, and skills development. Most of the new transmission lines will be built within existing corridors to reduce environmental impacts, and strict conditions are in place to protect ecosystems.
Snowy 2.0 and the renewable energy future
Snowy 2.0’s integration through HumeLink will play a central role in Australia’s renewable energy goals, delivering clean, reliable energy storage for millions of homes. This aligns with the Albanese Government’s Rewiring the Nation initiative, which aims to expand renewable capacity and stabilize electricity prices.
Minister for the Environment and Water Tanya Plibersek reinforced the government’s commitment to renewable energy. “Labor is getting on with the job of transforming Australia into a renewable energy superpower. I’ve approved almost 70 renewable energy projects – enough to power more than seven million Australian homes,” she said.
“HumeLink is vital to unlocking Snowy 2.0 and boosting renewables in the grid. Australians have a choice between an energy transition that’s already driving down prices or Peter Dutton’s risky and expensive nuclear plan,” Plibersek added.
