First Agreement Under Reformed Planning Framework Sealed
A landmark community benefit agreement has been signed for a 1.2 GW wind, solar and battery storage project in New South Wales, making it the first to comply with the state's stringent new planning regime.
Developer Green Energy Partners confirmed the deal with local councils on Tuesday, pledging an initial $15 million in direct payments and infrastructure upgrades for surrounding communities.
"This agreement sets a benchmark for how large-scale renewables can deliver tangible local benefits," said CEO Dr. Sarah Jennings. "We thank council for helping us navigate this evolving regulatory landscape."
Background: What the New Rules Require
Introduced in early 2024, the Community Benefit Scheme mandates that all renewable projects above 50 MW must negotiate binding benefit pacts before construction approvals can be issued.
Previous guidelines were voluntary, leading to inconsistent outcomes. Under the new law, developers must contribute at least $10 per megawatt-hour of expected annual generation into a community fund.
The project, named Riverina Energy Hub, includes 800 MW of wind turbines, 300 MW of solar panels, and a 100 MW/400 MWh battery storage system near Griffith, NSW.
Council Praises Collaborative Process
Griffith City Council mayor John Daley said the agreement "proves the system works." The deal includes funding for local road upgrades, a skills training centre, and a community health clinic.
"We didn't want a project imposed on us. The process gave us a real seat at the table," Daley added.
What This Means for Future Projects
The success of the Riverina deal could accelerate approvals for other stalled renewables, as developers now have a clear template for compliance.
However, some industry groups warn that costs may rise, potentially slowing investment in rural areas with less capacity to negotiate.
"If every council demands a bespoke package, it could create complexity," noted energy analyst Mark Tran of the Australian Energy Institute.
Long Term Impact on Net-Zero Goals
The NSW Government sees the agreement as a test case for its Electricity Infrastructure Roadmap, which targets 12 GW of new renewables by 2030.
Energy Minister Penny Sharpe said the deal "shows that community-first planning can unlock the pipeline we need for reliable, cheap power."
Construction is expected to begin in early 2026, with full operation by 2028. The project will supply around 400,000 homes.
Key Details of the Agreement
- $15 million upfront payment to a community trust
- $2 million per year for local environmental projects
- Guaranteed local hiring targets (30% of construction workforce)
This story is breaking and will be updated. For more on the new planning regime, see our background section.