The government had made a preliminary decision last year to offer the licence to Novocastrian Wind, a partnership between Equinor and Oceanex Energy, and this has now been finalised.
A final decision has also been taken to offer a feasibility licence in the Southern Ocean zone for the 1.2GW Spinifex offshore wind project being developed by Alinta Energy and Parkwind, which is part of JERA Nex.
Novocastrian Wind will now begin the assessment work needed to determine the feasibility of its project.
The offshore wind project could deliver 2GW of renewable electricity and power more than a million homes.
The feasibility licence stage could last for up to seven years and includes consultation with stakeholders including local community and First Nations groups.
In addition, the developer will have to hold consultations with the fishing industry and take steps taken to avoid, mitigate and offset any impacts on fishing.
Environmental approvals will also need to be sought, and a project management plan will have to be developed.
The project will be located a minimum 22 kilometres off the coast of the Hunter and has the potential to create hundreds of jobs.
To ensure communities and businesses across the Hunter benefit from the new offshore wind industry, Novocastrian Wind will be required to maximise its use of local supply chains, industries and workers.
A newly established Hunter Wind Industry Committee – comprising Novocastrian Wind, NSW and local governments, First Nations groups, local industry and workers’ representatives – will work together to maximise economic and social benefits.
Government member for Newcastle Sharon Claydon said: “This is an important next step in Australia’s offshore wind industry, and it’s happening right here in Newcastle.
“Newcastle’s world class infrastructure, our deepwater port, skilled workforce, abundant resources and energy smarts means our region is poised to lead Australia’s emerging offshore wind industry.
“A new offshore wind industry in Newcastle means new jobs in local manufacturing, construction, maritime, transport and logistics industries, as well growing our vocational education and training pathways – at TAFE and University.
“This announcement builds on the Albanese Labour government’s strong commitment to ensuring that regions like Newcastle and the Hunter play a lead role in generating, storing and distributing clean energy now and into the future.
“I have an expectation that the community will get maximum benefit from the consultation process undertaken as part of the feasibility licence.”
Meanwhile, there is further progress in the Gippsland zone with Australia’s most advanced offshore wind project, Star of the South, partnering with BlueScope to investigate the potential for steel plate made in the Illawarra to be used in boat landings and platforms for the turbine foundations.
Gippsland licence holder Blue Mackerel North Pty Ltd will also take the next steps to assess the commercial viability of their project after being awarded the first management plan.
