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Hon Dan van Holst Pellekaan MP, Minister for Energy and Mining

In another significant step towards the SA-NSW interconnector the Australian Energy Market Operator (AEMO) has classified it a Priority 1 project under its Integrated System Plan and labelled it a ‘no regret’ investment.

“In essence AEMO has labelled the SA-NSW interconnector a ‘no brainer’ to deliver cheaper, more reliable electricity for South Australian households and businesses,” said Minister for Energy and Mining Dan van Holst Pellekaan.

“The SA-NSW interconnector delivers an average $66 savings for households and will deliver a raft of renewable energy projects and hundreds of local jobs along its proposed route.”

Modelling released earlier in the year showed that small and medium businesses with significant electricity consumption will save many thousands of dollars each year when the interconnector is energised.

Business Annual consumption
(KWh)
Saving (wholesale) Saving (net)
A suburban hotel in Adelaide 798,000 $12,000 $10,500
A suburban supermarket 674,000 $10,000 $8,900
A Barossa winery 656,000 $9,900 $8,650
A fast food restaurant 743,000 $11,200 $9,800
An Adelaide plains farmer who irrigates 270,000 $4,000 $3,560
A suburban service station 509,000 $7,680 $6,710
    

“South Australia currently only has interconnection with Victoria which puts us at the end of the line and vulnerable to the type system risks that saw the entire state blacked out in 2016,” said Minister van Holst Pellekaan.

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Thursday 12 December 2019