NSW 16 GW generation plan to get 7,000 GWh per annum kickstart in 2026

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The New South Wales (NSW) Electricity Infrastructure Roadmap 2025 Infrastructure Investment Objectives (IIO) report author and consumer trustee, AusNet Energy Services Limited (ASL), reveals plans to use tenders to incentivise fast delivery of 16 GW of new generation by 2030.

The target exceeds the 12 GW minimum objective, while the target of 42 GWh of new long-duration storage infrastructure by 2034 surpasses a 28 GWh minimum objective.

Drivers for the new targets are changes to the state’s market landscape, including the risk of earlier than anticipated retirement of coal-fired power stations and demand forecast variability, particularly in connection with the projected increased demand from data centres and consumer energy resources (CER).

The report also responds to ongoing supply chain challenges and delays to the delivery of network infrastructure projects.

“The Ambition scenario modelled for this IIO report forms the basis for the development pathway,” the report says.

“The development pathway and the 10-year tender plan are very ambitious and will require a step change in how both proponents and the broader industry accelerate development, including ASL in the way it uses its long-term energy service agreement (LTESA) tenders to incentivise fast-tracking of quality projects.”

The NSW LTSEA generation tenders will kick in to incentivise investment, after the NSW allocation of the Capacity Investment Scheme (CIS) is awarded.

“The next LTESA generation tender is planned for Q2 2026 and will seek 7,000 GWh per annum (p.a.) of generation. This will be followed by three additional 7,000 GWh tenders across 2026 and 2027, and annual tenders of 4,600 GWh p.a. from 2028 to 2035,” the report says.

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