For several years, the Hunter Transmission Project has been known as one of NSW’s most closely watched energy infrastructure proposals. With planning approval now granted, the focus shifts from route selection, environmental assessment and community consultation to the practical work of building the infrastructure that will strengthen the state’s electricity network.
The Minister for Planning and Public Spaces has issued the project’s Conditions of Approval following an independent assessment by the NSW Department of Planning, Housing and Infrastructure. The approval allows construction to begin in late 2026 on a new 110 kilometre, 500 kilovolt transmission line between Bayswater, near Muswellbrook, and Olney, near Eraring.
While renewable generation projects often attract the attention, the transmission network is crucial in that it determines whether that electricity can reach homes, businesses and industry. The Hunter Transmission Project has been designed to add five gigawatts of transfer capacity to the network, connecting electricity generated in the Central-West Orana and New England Renewable Energy Zones with the parts of NSW where demand is greatest.
Planning changes shaped the final project
The approved alignment reflects years of consultation with landowners, communities and government agencies.
According to EnergyCo, around 90 percent of the corridor now passes through mining, energy and government land, reducing the number of directly affected private properties from around 70 to fewer than 20.
The project has also been modified to reduce environmental impacts, including avoiding nearly all known breeding ponds used by Littlejohn’s Tree Frog where possible. The Conditions of Approval include requirements covering biodiversity, Aboriginal cultural heritage, social impacts, construction management, local business participation and ongoing engagement with affected communities.
Minister for Planning and Public Spaces Paul Scully explains:
“The final project design reflects community feedback, reducing impacts on private land while delivering a piece of infrastructure that will help to provide NSW with more affordable, reliable and secure energy system for generations to come.”
Attention turns to procurement
Planning approval marks the point where the project moves from assessment into delivery.
Alongside the transmission line, the works include two new switching stations, upgrades to existing substations, access roads, construction tracks and temporary support sites.
Transgrid, which was appointed preferred network operator in January 2025, is working with EnergyCo as preparations continue for construction and contractor procurement.
The NSW Government estimates the project will support around 830 construction jobs, including more than 160 in the Hunter, while creating approximately 1,500 direct and indirect jobs across the state.
EnergyCo says a guiding principle for the project is Hunter-first, with the aim of creating opportunities to build on the Hunter region’s diverse economic skill base and grow local jobs during planning and construction.
EnergyCo has also invited local businesses to register their interest in working on the project, with tenderers assessed on their commitment to using local goods and services.
A project with a statewide role
The Hunter Transmission Project has been declared a Priority Transmission Infrastructure Project under the NSW Electricity Infrastructure Investment Act 2020 and is identified as an urgent actionable project in the Australian Energy Market Operator’s 2024 Integrated System Plan. It also forms part of the NSW Electricity Infrastructure Roadmap and will receive support through the Australian Government’s Rewiring the Nation program.
Minister for Climate Change and Energy Penny Sharpe said:
“This project is the missing link between the renewable energy being built in Central-West Orana and New England and the millions of homes, businesses, schools and hospitals that rely on affordable and reliable electricity every day.”
Construction is scheduled to begin in late 2026, with completion targeted for late 2029. For engineering firms, manufacturers, transport operators, equipment suppliers and civil contractors, planning approval signals the point at which one of NSW’s largest transmission projects begins generating work across the infrastructure supply chain, as the state’s electricity network expands to meet future demand.
