In 2020, the NSW Coalition government outlined a plan for a once-in-a-generation undertaking.
asserted
government → outline → undertaking
To power Australia's most populous state with renewable energy instead of coal, regional areas would be transformed into power stations.
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areas → power → stations
Renewable energy zones (REZs) would cluster solar, wind farms and batteries around shared transmission lines.
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zones → cluster → lines
But almost six years on, delivering the infrastructure is taking longer than planned and the state is racing to meet its own targets.
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state → deliver → targets
The agency responsible for the rollout, EnergyCo, has spent almost $1 billion less than budgeted over the past two years.
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agency → spend → years
Ty Christopher, who spent decades delivering grid infrastructure in NSW for the previous state-owned energy corporation, Integral Energy, said there was no "single cause" for the delay.
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who → spend → delay
He said it was the result of a "cumulative effect".
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it → say → effect
"I do think they are not proceeding at the pace that would be in the best interests of energy consumers in New South Wales," Professor Christopher said.
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Christopher → think → Wales
In 2025-26, EnergyCo had just over $1 billion to build the zones, but spent $686 million.
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EnergyCo → have → million
The year before, in its first year as a standalone agency, it spent $885 million of a $1.44 billion budget.
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it → spend → budget
Over the two years it has spent $939 million less than allocated, more than a third of its budget.
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it → spend → budget
An EnergyCo spokesperson said the gap between budgeted and actual spending "reflects the timing of project milestones, procurement and construction activities, and [is] not a direct measure of REZ delivery progress".
Zones at a glance
Capacity: 6GW initial with potential to reach 8GW by 2034.
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gap → say → 2034
Still in planning, the environmental impact statement for the revised transmission corridor is due in late 2026.
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statement → revise → 2026
The tender for a network operator to build the transmission lines is expected to close at the end of 2027.
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operator → build → 2027
The first transmission tower was erected in April 2026, and about $25 billion in private investment is expected.
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billion → erect → investment
Network operator ACEREZ apologised after an Indigenous rock shelter was destroyed in May 2026 during land clearing for transmission lines.
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shelter → apologise → lines
Capacity: 3.56GW
Work on the 700-kilometre transmission line connecting the NSW, Victoria and South Australian grids was completed in June 2026.
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Work → connect → June
In August, the NSW government confirmed $225 million to convert the Dinawan substation and transmission lines to 500 kV in preparation for the renewable projects associated with the REZ.
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government → confirm → REZ
Capacity: 1GW
Work in this zone involves upgrading existing power infrastructure in Newcastle and the Central Coast.
There are three coal-fired power stations within the zone, including Eraring, Australia's largest coal-fired power station.
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Work → involve → Eraring
Stage one of the upgrades was completed in May 2026, and the next phase will connect major regional hubs.
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phase → complete → hubs
Capacity: 1GW
The NSW government announced the Illawarra would become the state's first urban REZ after delays to large generation projects such as offshore wind.
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Illawarra → announce → wind
The zone will now focus on rooftop and community solar and batteries.
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zone → focus → solar
A community reference group convened in August 2026.
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group → convene → August
Professor Christopher, now the director of the Energy Futures Network at the University of Wollongong, said the money could not flow until the transmission routes are settled with the communities they pass through.
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they → say → communities
"If they haven't been able to lock in the line routes with local communities, they can't spend the money to buy the easements, or start procuring equipment and building the lines," he said.
"
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he → lock → lines
The delays in that first stage, community engagement and consultation, are what we're seeing now in the expenditure against budget."
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we → see → budget
NSW Energy Minister Penny Sharpe's office said the amount of large-scale wind and solar operating in NSW had risen more than 80 per cent since the 2023 election.
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amount → say → election
Its delivery agency, EnergyCo, is held up as a model for other states to follow.
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states → hold → model
But according to the independent agency tasked with monitoring whether the state is on track to meet its energy goals, NSW needs to be moving a lot faster.
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NSW → accord → goals
NSW is 7.9 gigawatts (GW) short of its legislated target of 12GW by 2030, and the amount of renewable generation commissioned each year must nearly double to close the gap, according to the NSW Net Zero Commission's latest progress report.
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amount → legislate → report
Slowest in the country
Most renewable projects proposed in NSW have drawn significant opposition.
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projects → propose → opposition
Eighty per cent of wind farm proposals and 60 per cent of solar farm proposals in the state have drawn more than 50 opposing submissions, triggering a referral to NSW's independent decision-maker, according to the Net Zero Commission.
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cent → draw → Commission
An Independent Planning Commission decision takes on average about 90 days, and objectors can then lodge an appeal, adding at least another year to the process.
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objectors → take → process
Over the five years to March 2026, NSW had the longest average planning-approval times in the country for wind, solar and batteries, according to analysis by the Clean Energy Investor Group (CEIG).
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NSW → have → Group
It currently takes on average almost four years to approve a wind farm in NSW, which compares to just five months in WA and is more than five times longer than in Queensland.
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which → take → Queensland
However, investors still rate NSW the most attractive state for renewable investment, according to the CEIG survey.
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investors → rate → survey
Speaking to reporters in August, Ms Sharpe acknowledged the process had "been way too slow".
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process → speak → August
She pointed to wind guidelines the government "inherited" that she said were "designed to make building wind farms as hard as possible".
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building → point → farms
"There's been a huge amount of work … to really try and streamline that," she said.
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she → be → that
"We are seeing more projects being approved and coming out of the system, which is very welcome."
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which → see → system
…and 44 more, not listed.
The Aporia