Marinus Link has come to a capacity reservation agreement with Prysmian Powerlink for a high-voltage direct (HVDC) current cable, following a competitive tender process.
There is high demand in the global market for HVDC cable systems, as they form a critical component of subsea electrical interconnectors.
This agreement ensures production and offshore installation capacity for one cable of the Marinus Link project, a 750MW cable system, with negotiations continuing for the second 750MW phase.
The capacity reservation agreement has been made possible through an underwriting agreement with the Federal Government.
Marinus Link is a cornerstone project as part of the Federal Government’s Rewiring the Nation plan.
It will deliver more renewable generation development in Tasmania and the mainland, as well as more energy security to both Tasmania and the mainland.
Marinus is expected to help keep power prices lower for customers in the long term and enable more movement of energy sources through the national market.
The project hopes to unlock new storage and renewable investment in Tasmania and support the research, development, advanced manufacturing and operations of the industry, as well as deliver increased data capacity through bundled fibre optic cables.
The construction and operations of Marinus Link and its induced investment is expected to support jobs across a wide range of industries, education levels and occupations, particularly in regional areas.
Updated economic analysis from Marinus Link demonstrates that stage one is projected to deliver economic stimulus of over $2 billion and over 2,400 jobs, with around 1,400 in Tasmania.
Tasmanian Minister for Energy and Renewables, Guy Barnett, said the agreement was another significant step forward for Tasmania’s renewable future, vital to enhance energy security and will help ensure Tasmania continues to have among the lowest electricity prices in the country.
“This agreement ensures production and offshore installation capacity for one cable of the Marinus Link project, a 750MW cable system, with negotiations continuing for the second 750MW phase,” Mr Barnett said.
“The capacity reservation agreement has been made possible through an underwriting agreement with the Federal Government.
“Marinus Link will also unlock new renewable investment and support jobs across a wide range of industries, education levels and occupations, particularly in regional areas.
“Updated economic analysis from Marinus Link demonstrates that stage one is projected to deliver over $2 billion in economic stimulus.”
Mr Barnett said that while contracts for the Marinus Link project are conditional upon successful conclusion of the Final Investment Decision, this is a clear indication that Tasmania is on the verge of a renewables revolution that will benefit all Tasmanians.
Project contracts for the Marinus Link project are conditional upon successful conclusion of the commercial negotiations and final investment decision in 2024.
