Visionary Marinus Link to help deliver Australia's clean energy grid
Connecting Tasmania and Victoria for two-way energy exchange
The CEFC is providing critical backing to the Marinus Link project that will connect Victoria and Tasmania with undersea and underground electricity and data cables.
$3.8 billion
CEFC expected commitment
750 MW
Stage 1
Largest
CEFC commitment
With its capacity to distribute Australia’s abundant renewable energy resources to where they are needed, Marinus Link is truly a vital part of Australia’s clean energy infrastructure of the 21st century.Ian LearmonthCEO, CEFC
Our investment
The CEFC is providing critical backing for the 750 MW Stage 1 of Marinus Link in what is our largest commitment to date.
The CEFC commitment to the Marinus Link project, made through the Rewiring the Nation Fund (RTN Fund), is expected to be $3.8 billion, inclusive of capitalised interest during construction. The final amount of concessional finance is subject to the regulator's final determination on project costs.
The CEFC investment, in the form of long-term concessional debt finance, is part of a broader funding package that includes equity investment from the Australian, Tasmanian and Victorian Governments, as co-owners of Marinus Link.
Marinus Link is listed as a priority for decarbonisation on the Australian Government’s National Renewable Energy Priority List and is classified as urgent in the Australian Energy Market Operator’s 2024 optimal plan for the national grid.
Marinus Link includes high-voltage direct current cables, fibre optic cables, a communications station, and converter stations at each end. The cables span 345 kilometres, including 255 kilometres of undersea cables across Bass Strait and 90 kilometres of underground cables in Gippsland, Victoria. Stage 1 is scheduled for completion by 2030.
OUR IMPACT
Spearheading the energy transition
Switching to a reliable and secure renewable energy electricity system is a critical step in Australia’s transition to a net zero emissions economy.
The CEFC RTN Fund was created to spearhead investment in transmission infrastructure, long-duration storage, electricity distribution network infrastructure and distributed energy resources.
The CEFC backing for Marinus Link will deliver substantial investment and economic benefits across large parts of the Australian economy, with cleaner, more affordable renewable energy replacing ageing coal-fired generators as they exit the electricity system.
The significant investment of CEFC concessional finance means Marinus Link will cost less to build and operate, lowering the impact on energy bills.
Marinus Link will enable Tasmania to share its substantial hydro power energy and wind resources with the much larger National Energy Market, helping firm the grid. It will also provide Tasmanian consumers with access to abundant, low-cost solar and wind energy from the mainland, as well as enhanced energy security.
The CEFC’s long term concessional finance, along with low-returning equity from the government shareholders, is expected to deliver $900 million in benefits to Tasmanian and Victorian electricity consumers during the first five years of the project’s operation. It means that the concessional finance will reduce the impact of transmission-related consumer costs by 45 per cent.Stephanie McGregorCEO, Marinus Link
Learn more about the RTN Fund.
