AEMO develops VNI West to secure Australia's energy supply
Providing essential infrastructure for the net zero transition
CEFC finance to the Australian Energy Market Operator (AEMO) backs early works in Victoria on the VNI West transmission infrastructure project to support Australia’s clean energy transition.
$120 million
CEFC commitment
Early works
consultation
Enhancing
grid reliability
With this investment the CEFC is supporting the delivery of an actionable ISP project, which will have flow on benefits across the network, for Australia’s clean energy transition and for energy users.Ian LearmonthCEO, CEFC
Our investment
The CEFC has committed $120 million via its Rewiring the Nation (RTN) Fund to AEMO to develop the Victorian component of VNI West – a new transmission link connecting the Victorian and NSW energy grids.
The link will increase the transfer of clean energy between Victoria and NSW and improve the reliability and security of electricity supply in both states.
AEMO will use the CEFC finance to undertake early works in Victoria, including community, landholder and Traditional Owner consultations and ongoing investigations into the corridor and ultimate route.
Separately, the CEFC through the RTN Fund, has committed $140 million to Transgrid to progress early works on the NSW section of the nation critical project.
Read more about the RTN Fund
OUR IMPACT
The AEMO 2024 Integrated System Plan (ISP) has identified that Australia needs to add some 10,000 km of new and upgraded transmission by 2050 to deliver the lowest cost pathway for secure and reliable energy in the National Electricity Market.
AEMO has identified VNI West as an actionable project, which will connect renewable energy zones in NSW and Victoria to the national electricity grid, delivering cleaner and cheaper electricity to families and businesses.
The CEFC RTN Fund investment priorities include transmission projects identified in the ISP, distribution network and long-duration storage Australia-wide.
Unlocking renewables in Victoria
The $3.6 billion1 infrastructure project will help unlock some 3.4 GW of additional renewable generation in Victoria and facilitate an estimated additional 1.9 GW of transfer capacity between Victoria and NSW. The project will also enhance the energy reliability of Victoria by enabling access to Snowy 2.0.
1 AEMO 2024 Integrated Systems Plan p62
