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Oven Mountain Pumped Hydro project cancellation

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2026-10-23 04:07 UTC → 2026-10-23 15:48 UTC · added ~~removed~~

Alinta Energy has cancelled the $1.8 billion Oven Mountain Pumped Hydro Scheme in northern New South Wales. The 900MW project, located in the Armidale Renewable Energy Zone (REZ), was intended to provide 7,200MWh of energy storage to power over 600,000 homes. The company cited economic and timing challenges as the reasons for the decision, specifically highlighting the absence of a critical transmission line upgrade necessary for project viability. While the project required only a 15km connection to the existing Line 965 between Armidale and Kempsey, delays in infrastructure upgrades and connection decisions by EnergyCo reportedly contributed to the cancellation. Despite being at an advanced development stage and having received $9.64 million in grants from the NSW government, the project was deemed unviable. Local officials, including Oxley MP Michael Kemp, described the cancellation as a “devastating loss” for the regional economy, specifically for the Macleay Valley, noting the potential loss of hundreds of jobs for local contractors and tradespeople in the Armidale and Kempsey areas. Parallel developments in the New England REZ involve an environmental impact statement (EIS) for transmission lines. The EIS indicates that the village of Rouchel in the Upper Hunter will face the highest visual impact, specifically noting four high visual impact ratings near Rouchel Brook that affect the Rouchel Uniting Church. While EnergyCo stated the project area maximizes distance to dwellings, residents have requested the corridor be moved further west to protect homes and community landmarks.

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