An $880-millon solar farm near Merriwa has been given the green light by the NSW government and will generate more than enough energy to power the entire region.
The 450-megawatt Goulburn River Solar Farm, which will include a battery energy storage system, is expected to create 350 construction jobs.
It will generate enough electricity to power about 191,000 homes each year. Excluding Newcastle, there are about 130,000 private dwellings in the Hunter Valley, according to the most recent census data.
The project's proponent Lightsource BP - half of which is owned by petroleum giant BP - expects construction to take about two years.
In response to community feedback, Lightsource BP amended the project to include additional road upgrade works and construction of a workers accommodation facility onsite, and revised the project area to avoid potential biodiversity impacts.
The solar farm is located 28 kilometres southwest of Merriwa, between the Central-West Orana Renewable Energy Zone (REZ) and the Hunter-Central Coast REZ, and will have direct access to the existing electricity transmission network.
Lighthouse BP said the battery system would store solar energy for dispatch to the grid outside of daylight hours and during peak demand, increasing grid stability and energy security for local communities.
NSW Planning Minister Paul Scully said it was the ninth solar farm approved under the Minns government.
"Under our government, we have a planning system that is supporting the renewable energy transition, approving projects that will support our communities, energy security and emissions reductions," Mr Scully said.
"With 350 jobs generated during construction and operation, this project will benefit the local economy, local communities and provide indirect benefits to local services throughout the life of the project."
Lightsource BP conceded that a large proportion of the peak construction workforce come from outside of the local community, hence the alterations to include temporary on-site workers accommodation.
"It is clear that any use of existing short-term and rental accommodation would need to be sensitive to the competing demand on facilities from the local tourism and rental market," planning documents state.
Once completed the company anticipates needing an ongoing workforce of up to 10 operational staff over the next 40 years.
Minister for the Hunter Yasmin Catley said the major capital investment would sure up the region's credentials as a renewable energy powerhouse that would "power communities for decades to come".