NSW renewable energy push ‘tearing communities apart’, parliamentary inquiry told

Originally published by Brendan Gullifer of The Daily Telegraph

26.02.2026

The NSW Government’s push for a green energy future is tearing up the foundations of more rural New South Wales communities.

As the state rushes to build the massive South West Renewable Energy Zone, local councils and farmers say their areas are becoming collateral damage in the race to net zero.

Far from a clean and seamless transition, the reality on the ground is vastly different, according to testimony at a recent parliamentary inquiry.

Representatives from three local councils detailed complaints and concerns about an apparently uncoordinated renewable energy developer stampede.

Additionally, construction on multiple massive power transmission projects and associated infrastructure outside of the REZ is destroying local roads and splitting communities, they say.

An influx of transient workers is causing rents to skyrocket and councils say they mostly feel powerless in face of millions of kilometres of heavy truck movements just to cart water to construction sites.

With local telecommunications crashing under the strain of 400-bed worker camps and utilities stretched to their limits, these rural leaders said they are being left to shoulder the massive logistic and financial burdens of the state’s renewable energy boom.

This is despite a $250,000 per year payment to impacted councils by the state’s renewable energy facilitator, EnergyCo, to help them manage unprecedented impacts.

The South West Rez is one of five zones declared by the NSW Government.

The adjoining Central West Orana Rez around Dubbo and Dunedoo quickly became a blueprint for how to alienate locals and fatally disrupt operations for generations of farming families.

And now it appears to be happening again, as detailed last week in Hay when a Parliamentary Inquiry into the REZ rollout held its sixth hearing.

Locals insist they aren’t blindly anti-renewables.

Hosting renewable infrastructure can be a vital, weather-proof alternative income stream.

Refusing to be victims, the region’s seven local councils have formed a “G7” alliance to share resources and push for fair outcomes.

Their demand is simple: the transition “must happen with us, not to us”.

They want cheaper energy bills for residents and developers to leave behind water treatment plants for drought-stricken farmers to use.

Edward River Council chief executive officer Jack Bond called the impact on drinking water “significant”.

“We did some calculations on what the water could be, and it could be three million kilometres of carting water just to try and get to the (construction) sites,” Mr Bond said.

Mr Bond called out the potential waste challenge, not only from construction work but from thousands of transient workers.

“To try and put the amount of waste they’re going to generate into our small community facilities just will not work for anyone, and we really need to work together.”

Garry Stoll, a director at Murrumbidgee Council, said roads the council had maintained for 90 years would see a 15-fold increase in traffic, mostly from heavy trucks.

He said his council spent $70,000 on planning that showed a “significant impact” on local roads, bridges and culverts just from one developer’s project.

“The developer then changed their transport route … so we just spent $70,000 having stuff assessed which we probably didn’t need to have assessed.”

Mr Stoll said one workers’ accommodation camp will have 900 workers on site.

“They’ve approached us to supply water,” he said, saying the closest water treatment plant in the small township of Jerilderie was already struggling to provide reliable drinking water to residents.

He criticised the government’s planning department.

“We have not seen them on the ground out here at all.”

Mr Stoll said the high demand on council resources was forcing delays in council’s own infrastructure projects.

“We’re now quite behind on those.”

He said the average current rent for a bedroom in the small village of Coleambally was $350 per week.

“That’s just for a bedroom,” he said.

“We didn’t want these things. We’d be happy if they were not here but, as they’re coming, we can’t stop them.”

Mr Terry Dodds, chief executive officer of Balranald Shire, called the threat to the local road network “almost unfathomable”.

Alison McLean, Hay Council Executive Manager, estimated seven regional councils were dealing with 33 renewable energy projects.

Local farmers Richard Coughlan and Andrew Browning, both members of the Bundure Landholders Group, spoke of the economic, safety and mental toll on residents.

Mr Coughlan said the arrival of a 463-bed construction camp had “reduced our telecommunications to near zero for the last three years”.

In response to questions, a spokesman from EnergyCo said communities would benefit from “the expected $17.8 billion” in private investment expected to come to the region through job creation, skills development and long-term legacy outcomes.

“This opportunity does come with challenges and as the REZ moves towards the development of generation projects, EnergyCo is coordinating to ensure they address their cumulative impacts in the best way possible.”

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