The NSW government has introduced proposed legislation aimed at accelerating the delivery or priority renewable energy infrastructure as the state transitions away from coal-fired power generation.
The Energy Legislation Amendment (Prioritising Renewable Energy) Bill 2026 would allow the NSW Energy Minister to identify the highest-priority renewable energy projects in the planning pipeline and prioritise them for streamlining.
According to the government, the reforms are intended to support faster approvals for renewable generation, energy storage and transmission projects considered critical to energy reliability, industrial demand and economic growth.
NSW Climate Change and Energy Minister Penny Sharpe said the legislation was intended to support energy reliability and industrial demand across the state.
“This new legislation will mean infrastructure projects that are critical for manufacturing jobs, economic growth and energy affordability don’t get stuck in the queue” she said.
The government said the proposed legislation would not remove existing environmental, planning or community consultation requirements, with developers still required to meet all regulatory obligations.
Priority projects would also need to demonstrate best-practice engagement with landholders and regional communities.
Renewable energy currently accounts for around 36% of NSW’s annual electrical supply, with the government noting the state recorded multiple periods during summer where renewables contributed more than 80% of the electricity mix.
The bill will also support consistent implementation of the NSW Benefit-Sharing Guideline, aimed at ensuring communities hosting renewable energy developments receive associated economic benefits.
The NSW Government says more than $180m in community benefits has been committed since the guideline was introduced in November 2024, in addition to the Renewable Energy Zone community and employment benefit funds coordinated by EnergyCo.
Planning and public spaces minister Paul Scully says the reforms build on recent reductions in renewable energy assessment times.
“Since 2023, we’ve already reduced assessment times for renewable energy projects by almost 20% while delivering 50% more approvals,” he said.
Further reforms are also being developed around referrals to the Independent Planning Commission, with the government stating the changes are intended to maintain community input while reducing delays for critical energy projects.
