There is an energy boom reshaping the economy and the landscape in regional New South Wales but some rural communities say they’re not getting a fair share of the money.
Key points:
- Massive renewable energy projects are reshaping regional areas
- Some farmers and local councils say they are not being fairly compensated and funding
- Access payments from big energy companies are set to flow soon
Farmers are at the forefront of the renewable energy boom because new solar plants, wind farms and transmission lines are being built on their land.
Some say they’re not being compensated properly and fear they will have their land compulsorily acquired if they don’t agree to the compensation being offered.
Some want a pause on development until the impact on landholders and communities is properly investigated.
But the clock is ticking on the life of the state’s coal-fired power plants, and renewable energy is needed to fill the gap when those plants close in just a few years.
Earning big money from renewables?
Josh Carmody is a farmer at Wellington in the state’s central west, but he worked in Asia for 20 years building renewable energy projects.
He sees the renewable energy boom as a great opportunity for rural areas and farmers in particular.
He has five transmission lines already running through his property, but he is leasing more of his land for Transgrid to establish a connection point to the grid for a big solar project nearby.
He has another lease arrangement with a global energy company to build a big battery on his land.
He gets an income from hosting those energy assets, enough to survive even if he had to de-stock completely in the next drought.
“Even if I didn’t have a sheep of cow on my farm I would be able to support my family from the rent I collect.”
He has leased just 11ha of the 500ha he owns so he can still run 4,000 ewes and 300 cattle.
“I’m excited about the transformation,” he said.
Transmission lines cut farm in half
But not everyone is happy with the spread of renewables.
Stuart Hackney is a spray contractor who also has a property in the central west near Dunedoo, where he runs sheep and cattle and grows crops.
He is negotiating with EnergyCo, the state government organisation responsible for planning the grid, to put three high-voltage transmission lines through his property.
It is a key piece of infrastructure for the state but he is frustrated by the company’s failure to consult before the route was established for the lines.
He said all he had was a phone call and then six months later a map turned up showing the lines running straight through his property.
The current route runs over his stock yards, sheds, silos and shade areas and he wants it moved.
“I’d really like to see everyone go back to the drawing board and try and negotiate some proper terms and conditions for everyone rather than dropping a map on the table and saying, sorry, you’re under it, put up with it.”
Communities missing out
Peter Holding is a Harden farmer and a member of the NSW Farmers Association.
He said consultation by renewable companies has been “abysmal” and the compensation being offered to individuals or communities is inadequate.
“I don’t think they’ve been fair dinkum with sharing the benefits with the local community.”
Merriwa farmer Jane Heggarty agrees.
“Those who have transmission lines get compo, but communities don’t.”
Communities need money for housing, communications, roads and health services she said to help deal with the influx of workers involved in building the new infrastructure.
“We don’t have them and no one is talking to us, there are no solutions.”
A battery in every town
Peter Holding believes micro grids backed up by batteries could provide cheap power to rural communities in renewable energy zones.
“The real stumbling block is the storage,” he said.
“If we could solve the storage thing excess capacity on farms could be sold back to the community at a reasonable rate.”
Josh Carmody has a solution to that problem.
He thinks energy companies should commit 1 per cent of the money being invested into the region into a fund cheap energy for rural communities.
“Give them cheap power, put community batteries in every single town in every one of these renewable energy zones.”
It is an idea what the state’s transmission planning department is thinking about.
EnergyCo is responsible for planning the grid in NSW.
The man responsible for planning and communities is Mike Young.
He said there is a new mechanism called “access fees” that could generate the kind of money to fund projects.
“The payments are yet to flow but we have worked with the Government to secure early funding.
“We’ll be in a position to start signing cheques by the end of this year or early next.”
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