The AER has today published its revenue determination on the amounts payable to Transgrid for the Enabling Central-West Orana Renewable Energy Zone network infrastructure project (the CWO Enabling Project) for the 2026–31 regulatory period.
The CWO Enabling Project will enable the CWO Main Project to connect to the NSW transmission network. It also comprises upgrades to the existing transmission network to alleviate network constraints so that renewable electricity generated in the Central-West Orana Renewable Energy Zone can be transported to consumers throughout NSW.
We made a determination for the CWO Enabling Project on 22 January 2026. Consistent with the requirements of clause 53(4) of the NSW Electricity Infrastructure Investment (EII) Regulations, we have published the determination as soon as reasonably practicable, following EnergyCo (as the Infrastructure Planner) notifying us on 10 April 2026 that financial close for the project has been achieved.
Our final decision on Transgrid’s CWO Enabling Project allows for $128.9 million in revenue to be recovered over the 2026–31 period via a schedule of quarterly payments to be paid to Transgrid. This is a decrease of $36.2 million (–21.9%) from Transgrid’s proposed revenue which reflects our lower alternative capex forecast, our decision to remove accelerated depreciation for financeability and to reprofile the recovery of Infrastructure Planner Fees. The latter two components are not a persistent reduction to Transgrid’s revenues, instead, they delay revenue recovery into later regulatory periods.
The revenue determination also includes mechanisms to adjust revenues annually over the regulatory period and for Transgrid to potentially acquire the Barigan Creek Switching Station from the CWO Main Project.