Summary

With up to $10 million of funding from ARENA, TasNetworks is investigating how further Bass Strait interconnection might form a key part of Australia’s future electricity and telecommunications grid.

Interconnection between Tasmania and the rest of Australia could unlock further dispatchable hydro electricity and enable pumped hydro energy storage and significant wind generation opportunities. Such potential could see an abundance of low cost, reliable and clean energy moving between Tasmania and Victoria, helping the National Electricity Market (NEM) transition to a low carbon future.

The National Electricity Market (NEM) is undergoing significant transition. Wind and solar development is increasing but is variable in nature which creates power system stability and reliability challenges. As more wind and solar comes into the market, it is critical that generation types (like hydroelectricity, pumped hydro energy storage and gas) are in place to support system stability and ensure reliable supply to keep the lights on. Interconnection does and will increasingly play a major role to meet the needs of a future Australian power system. In Tasmania, increased transmission capacity (in the order of 600-1200MW) from Marinus Link could unlock more low cost, reliable and clean energy.