Access schemes

Introduction

Access schemes are a key part of the NSW Government’s plan to coordinate and encourage renewable energy and storage investment in Renewable Energy Zones (REZs) and realise the objectives of the NSW Electricity Infrastructure Roadmap (the Roadmap) and the Electricity Infrastructure Investment Act 2020 (the Act).

Generation and storage projects that wish to connect to network infrastructure which is subject to an access scheme will need to apply for an access right – either through an application process or a competitive tender. Access right holders will contribute access fees that include funds for community benefit and employment purposes in the region.

REZ access schemes may:

• govern the volume of projects that may be granted access rights to connect to REZ network infrastructure and define the terms and conditions of the access rights
• enable investment in new, low-cost generation and storage projects by providing increased certainty of curtailment risks for access right holders while maintaining an efficient level of utilisation of the REZ scheme infrastructure
• create a streamlined connection process for projects that will improve connection timeframes, provide greater certainty and reduce re-work and costs compared to the open-access connection process.

Guidelines for Access Scheme Declarations

The Minister for Energy published updated Guidelines for Access Scheme Declarations in April 2024. The Guidelines provide information on how the Minister for Energy exercises the function of making access scheme declarations.

View the Guidelines for Access Scheme Declarations

The Guidelines are intended to be flexible to allow the Minister to declare an access scheme for each REZ that provides the best outcome for local communities and NSW electricity consumers.

The initial Guidelines were published in July 2022. The updated Guidelines were published following consultation on the Draft Guidelines for Access Scheme Declarations between 22 February and 20 March 2024.

The updated Guidelines were part of the reforms to enable EnergyCo to allocate the initial tranche of access rights under the Central-West Orana REZ Access Scheme. The updates are in line with the market information notice published in January 2024.

Supporting materials

• Guidelines for Access Scheme Declarations (April 2024)
• Draft Guidelines for Access Scheme Declarations (February 2024)

Central-West Orana REZ Access Scheme

The Central-West Orana REZ Access Scheme is the first of its kind in the National Electricity Market. The Access Scheme was formally declared by the Minister for Energy on Monday 19 December 2022. Following consultation, an amended Access Scheme was declared on Friday 5 April 2024.

View the Central-West Orana REZ Access Scheme Declaration

The amended declaration was part of the reforms to enable EnergyCo to allocate the initial tranche of access rights under the Central-West Orana REZ Access Scheme. The updates are in line with the market information notice published in January 2024.

For details on the timing and form of the application process, visit Central-West Orana REZ Access Rights Application Process.

Consultation on the Central-West Orana REZ Access Scheme

Public exhibition of both the Access Scheme Declaration and 2024 update were conducted in line with the statutory process for the declaration of access schemes under Section 24 of the Act.

South West REZ Access Scheme

The Renewable Energy Zone (South West) Access Scheme Order 2024 (South West REZ Access Scheme) was formally declared by the Minister for Energy under section 24(1) of the Act on Friday 12 April 2024. The Access Scheme Declaration is available in the NSW Government Gazette.

View the South West REZ Access Scheme Declaration

Key features of the South West REZ Access Scheme include:

• a community benefits program funded through fees paid by renewable energy and storage developers for community and employment purposes 

• a target transmission curtailment level of 3.86 per cent and initial aggregate maximum capacity cap of 3.98 gigawatts to ensure higher utilisation of the network infrastructure

• flexibility on the location of projects not located wholly within the REZ geographical area to provide more opportunity for investment.

The scheme applies to significant components of the NSW-side of Project EnergyConnect, including infrastructure between Buronga and Wagga Wagga, and incorporating the planned substation at Dinawan. It will also incorporate the NSW-side of the proposed VNI West.

Projects will be able to bid for access rights as part of a tender run by AEMO Services commencing in Q2 2024.

Consultation on the South West REZ Access Scheme

This public exhibition was conducted in line with the statutory process for the declaration of access schemes under Section 24 of the Act.

Connection process for the South West REZ Access Scheme

Generation projects will need to hold an access right to make an application to connect to the access rights network, specified in the South West REZ Access Scheme Declaration.

New England REZ Access Scheme

EnergyCo is currently developing an access scheme for the New England REZ and will consider how this access scheme could be applied to the New England REZ. We will consult with industry and other stakeholders as part of this process.