Renewable Energy Zones

Some places are better suited to renewable energy production than others. This is due to weather patterns, existing land uses, proximity to grid infrastructure, or a combination of these factors.

Renewable Energy Zones (REZ), are high-quality resource areas where clusters of large-scale renewable energy projects can be developed using economies of scale.

The establishment of REZs will coordinate access to existing and new transmission lines to areas with excellent renewable energy resources. REZs are expected to play a key role in minimising the cost of build out for Tasmanian customers and connecting generators through optimising the design of the power system.

In 2022, Australian Energy Market Operator identified three candidate REZ and two Offshore Wind Zones (OWZs) in Tasmania.

The North West

Announced in December 2022, the North West will be to be the first region to be explored for the development of a REZ. Throughout 2023, community engagement processes will be conducted within this region alongside more detailed technical, environmental, and economic studies. If you would like to know more or get involved, please visit renewableenergyzones.tas.gov.au.

Role of ReCFIT

Renewables, Climate and Future Industries Tasmania (ReCFIT) is the REZ Coordinator and provides a single and consistent point of contact for industry and the community. After announcing the North West as a region for further investigation, ReCFIT will continue to lead the process to determine the potential for this region to be Tasmania’s first REZ, and coordinate processes for its establishment.

ReCFIT is well placed to ensure that the most viable energy zones are identified by aligning location with state sustainable development priorities and community needs. ReCFIT will continue to work with TasNetworks, as the body responsible operating, maintaining, and planning the state’s transmission system, as part of the process on those aspects related to the energy system.

Objectives

ReCFIT's function as the REZ coordinator is guided by the following key State objectives and outcomes sought from its REZ approach.

Primary objectives

1. Assist TRET Achievement

The ambitious 2030 and 2040 targets for the establishment of new renewable generation guide the Government’s aims in the renewables sector. The coordinated approach under the REZ model is seen as a more efficient enabler of progress towards the targets. The delivery of the TRET supports the strategic objectives of emissions reduction nationally/internationally, and State and regional economic development.

2. Supporting Marinus Link and New Load Growth

Marinus Link and new load growth, particularly the development of a green hydrogen industry, both have the potential to unlock new demand for Tasmanian generation. REZ are seen as a more efficient enabler of the creation of new generation to meet those load opportunities.

3. Build Community and Stakeholder support for renewables development in Tasmania

If a REZ has been determined to have the best balance of land use, heritage, and other values, it is expected that renewables development in the REZ will have a greater chance of securing a positive social licence. Further, it is expected that community engagement guidelines will be established which will ensure all proponents and other developers within a REZ are working to a single, defined set of parameters. Engagement strategies developed by the REZ Coordinator and REZ Planner will guide REZ consultation and identify opportunities for community and stakeholder input.

The above objectives are also supported, and have consideration to:

• Deliver investment at least cost and support NEM/ISP objectives
• Incentivise generation in optimal locations
• Optimise build out to meet demand / deliver scale efficient network planning
• Complement existing interest and development pipeline
• Community benefit-sharing
• Maintain energy self-sufficiency
• Maintain system security and reliability

For more information visit: renewableenergyzones.tas.gov.au