An initial $60 million will soon begin flowing to communities in the South West Renewable Energy Zone to deliver local infrastructure, services and employment opportunities that will support long-term regional prosperity.
The Minns Labor Government is making funding available through the Community and Employment Benefit Program so it can be invested in priorities that matter to local communities to create lasting benefits that support long-term regional prosperity alongside renewable energy development.
EnergyCo will get input from councils and the community on the design of the funding program.
The Minns Labor Government is also announcing that the eligible funding area has been expanded, so benefits can reach towns and centres that are outside the REZ boundary but still impacted by new infrastructure. They include Coleambally, Jerilderie and Deniliquin.
Contributions will continue in years to come from access fees paid by renewable energy projects with an agreement to connect to the new transmission lines in the REZ - BayWa r.e., Origin Energy, Someva and AGL, and Spark Renewables.
The funding builds on the approach of the Central‑West Orana REZ, where community benefit funding has been provided to projects including key worker accommodation in Mudgee, water security initiatives in the Warrumbungle Shire and early education services for children in Dunedoo. It has also supported targeted employment initiatives for young people, returning workers, and people transitioning into renewable energy careers.
These investments help to ensure host communities are well‑placed to benefit from the jobs and economic opportunities generated by renewable energy development.
The South West REZ will power up to 1.6 million homes and businesses across NSW and create hundreds of ongoing jobs.
The Minns Labor Government is delivering the REZ as part of a once-in-a-generation transformation of NSW's power system, to keep the lights on and put downward pressure on prices when coal-fired power plants retire.
For more information, visit energyco.nsw.gov.au/cebp.
Minister for Energy, Penny Sharpe said:
"The Renewable Energy Zone will deliver meaningful and lasting benefits for regional communities in the South West as investment starts to flow into communities well before projects come online.
"This $60 million in funding from the Minns Labor Government is just the beginning. It will be amplified by renewable energy projects in the REZ and deliver initiatives that will continue to support the region long after construction has finished."
EnergyCo Chief Executive Officer, Hannah McCaughey said:
"EnergyCo is working to ensure the best outcomes for communities hosting new infrastructure, and South West communities are playing a critical role in keeping the lights on in NSW.
"By supporting regional development across the South West, we hope to bring exciting new opportunities to local communities."
About the South West REZ:
The South West REZ stretches from west of Jerilderie to the Victorian border near Mildura. It includes Buronga, Gol Gol, Balranald and Hay, and will include four renewable energy projects and two new transmission lines.
It will unlock 3.56 gigawatts of clean energy generation capacity within the next decade, with the capability to power up to 1.6 million homes.
It is expected to support about 1,690 direct local jobs per year during construction and hundreds of ongoing operational jobs from 2031. It will also create additional demand for workers in local manufacturing, retail, transport and the supply of goods and services.
