The New South Wales Government has unveiled its 2025–26 Budget, providing the financial backing to transform the state’s electricity system to provide clean, reliable and affordable energy.
The State Government said reliable, renewable and affordable energy is key to New South Wales’ economic future with increased productivity, higher standards of living and lower emissions.
The 2025–26 Budget includes continued investment of $2.1 billion over the next four years in the Transmission Acceleration Facility. This will primarily support the five renewable energy zones (REZ) at Central-West Orana, New England, Hunter-Central Coast, Illawarra and South West, and builds on the $1.1 billion invested to date on these critical projects.
The New South Wales Government said this investment completes the financing arrangements of the Central-West Orana REZ transmission project, unlocking $20 billion in private investment into the region by 2030 and supporting more than 5000 construction jobs at its peak.
To support the construction of the Central-West Orana REZ, the State Budget will invest an additional $115.5 million to build a logistics precinct at the Port of Newcastle that will facilitate storage and transportation of critical components.
This critical new hub will provide portside storage for the equipment, including wind turbines and transformers, that is needed to build renewable energy projects across the state.
The New South Wales Government said it is important that the benefits of REZ are realised by local communities, which is why it is continuing the Community and Employment Benefit program. The 2025–26 State Budget allocates $128 million to communities that will host the Central-West Orana REZ, with future funding for the other REZ host communities.
The Budget also includes an additional $579.0 million from the Federal Government to extend the national Energy Bill Relief payment, providing all households and eligible small businesses with energy bill rebates up to $150 between 1 July and the end of 2025.
