Project Overview
VNI West is a project to build a new transmission line between Victoria and New South Wales.
It will harness clean electricity from Renewable Energy Zones (REZs) in both states and maintain the reliability and security of electricity supply as ageing coal-fired power stations retire.
In Victoria, a Project Easement of 70m wide along most of the route has been identified.
The corridor runs from Bulgana to near Kerang and then across the border into New South Wales.
Overview of the VNI West project
Timeline
A significant volume of work has been undertaken over the past two years to fully understand the previous draft corridor and identify a Project Easement that has the least impact to people and farming, balanced with consideration of the environment and other important land features.
The VNI West project greatly appreciates the feedback and insights provided by many people in the project area.
We are committed to continuing to work closely with communities and landholders through the regulatory Environment Effects Statement (EES) process over the next 12 months to refine and confirm the alignment.
Who is delivering this project?
The Australian Energy Market Operator (AEMO) oversees national planning, and system and market operations within the National Electricity Market (NEM).
As part of the Regulatory Investment Test for Transmission (RIT-T) process, AEMO published its Project Assessment Conclusions Report in May 2023. This report identified the preferred easement for VNI West across Victoria and New South Wales.
Under NEM rules, each state has a designated body responsible for planning its electricity transmission network. In Victoria, VicGrid assumed this responsibility from AEMO in November 2025 and is now progressing VNI West's Victorian section. In New South Wales (NSW), Transgrid holds this role and is advancing the project's NSW section.
VicGrid coordinates Victoria's Renewable Energy Zones and transmission network planning and development, including responsibility for VNI West.
Iberdrola Australia is the development partner for VNI West, supporting with procurement and infrastructure design, backed by global expertise.
Transgrid is a TNSP, which builds, owns and operates electricity transmission in New South Wales and the ACT.
The Australian Energy Market Operator Ltd (AEMO) is Australia's independent market operator and system planner.
AEMO Victorian Planning (AVP) previously held accountability in Victoria for transmission network planning. VicGrid assumed the role in November 2025.
Why does Victoria need new transmission?
VNI West will harness renewable electricity from energy zones in both Victoria and New South Wales and maintain the reliability and security of electricity supply. VNI West is needed because Australia’s ageing coal-fired generators are exiting the market after decades of great service. And more than that, their age and the economics of the electricity market are accelerating these closures.
The lowest cost replacement for this coal generation is renewable energy from the sun and the wind – backed up by batteries, gas and hydro to smooth the bumps in production.
Projects like VNI West will connect these new and diverse sources of electricity with Australian homes and businesses. Existing transmission cannot be relied upon, because the geographic location of generation has changed.
