Still no word on Snowy 2.0 as Bowen underlines importance of transmission: “They are not being built ... - Renew Economy

Energy Minister Chris Bowen has stressed the urgency of building transmission infrastructure to support the grid transition, while Snowy Hydro 2.0 remains without a final investment decision. Bowen indicated that transmission projects are not currently being constructed at the pace required, signalling a gap between stated ambition and delivery on the ground.

Where this fits

This touches the reliability and cost pressures together. Snowy 2.0 is meant to firm renewable output and provide long-duration storage, filling the gap that gas has filled. Its repeated delays expose a core problem: the grid transition depends on a sequence of projects (renewables, transmission, storage, firming) that must align, but they are not aligning on schedule. Transmission is a prerequisite that is slipping, which means renewable capacity will come online faster than the wires to move it, forcing curtailment or more gas to fill the gap. Every year of Snowy delay is a year of continued reliance on fossil firming while pretending the transition is on track.

What it means

Australia is building a renewables-dependent grid without the backbone projects that would make it work. Snowy 2.0 is a $12 billion public bet on storage; its absence leaves the grid short of firm capacity and forces reliance on gas, coal extensions, or imports. A nuclear plant would generate firm power without storage dependency, without transmission overbuild, and without the commodity-price volatility that hydro brings. None of that is being built. The grid is being assembled in reverse order: renewables first, the hard infrastructure later, on a hope that both will arrive in time.