The route of the Hunter Transmission Project, which will connect Eraring and Bayswater power stations, will mostly run over mining and public land, the government's renewable energy authority said.
The project involves building a new above-ground 500 kilovolt transmission line between the power stations to connect the state's existing 500 kV transmission lines.
This will help create a 500 kV ring of transmission infrastructure that will provide the backbone of the state's clean energy electricity grid.
The government has classified the project as urgent and is aiming for it to be operational by 2027/2028.
EnergyCo is yet to release the route for the 115 kilometre project, but in a project update released this week confirmed it had identified a preliminary corridor.
"After extensive investigations, we've identified a preliminary corridor where the HTP could be located that seeks to strike a reasonable balance between different land uses in the Hunter. We'll publish the preliminary corridor soon and seek community feedback to inform the final decision on the corridor," the update said.
"Most of the corridor crosses mining and suitable public land like State forests. It also avoids sensitive areas such as major towns and villages, the Pokolbin wine/tourist area and national parks.
"While some impacts on private land can't be avoided, the preliminary corridor affects as few private properties as possible. It also provides flexibility to avoid environmentally sensitive areas important for biodiversity and Aboriginal cultural heritage."
A draft EnergyCo Network Infrastructure Strategy report released earlier this year said the project would help address shortfalls during peak demand periods following the closure of coal-fired power plants (Liddell 2023, Eraring 2025 and Vales Point mid-2030s).
"The HTP will enable generation from outside the Sydney, Newcastle Wollongong region to reach NSW's biggest and most populated demand centre during these periods. In the interim, the Waratah Super Battery will provide an innovative non-network solution ahead of Eraring's scheduled closure to ensure NSW electricity supply remains stable," the draft strategy says.
EnergyCo will work with the community over the next 18 months to improve the Hunter Transmission Project's design and to minimise impacts on people and the environment.
The project will also complement the 700 megawatt Waratah Super Battery, that is under construction on the site of the former Munmorah Power Station.
The battery project will create up to 150 construction jobs and approximately 10-15 permanent jobs. It is due to be completed by mid-2025 in advance of Eraring Power Station's earliest closure date.
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