In June 2014, the Baird Government announced Rebuilding NSW, a plan to lease 49% of the state’s electricity network assets to fund a once-in-a-generation $20 billion investment in infrastructure across the State. With the leases of 100% of TransGrid and 50.4% of Ausgrid completed, the NSW Government is starting to unlock the capital to fund this ambitious plan.
The 49% of the electricity network is made up of 100% of TransGrid, 50.4% of Ausgrid and 50.4% of Endeavour Energy. Essential Energy will remain wholly Government owned. The legislation enabling these transactions, the Electricity Network Assets (Authorised Transactions) Act 2015 passed through the NSW Parliament on 4 June 2015.
TransGrid, which owns, operates and manages one of the largest high-voltage transmission networks in Australia, was the first business to be leased.
On 25 November 2015 the Premier and Treasurer announced that NSW Electricity Networks, an Australian-led consortium was the successful bidder.
The transaction delivered gross proceeds of $10.258 billion which will help fund infrastructure projects across the State as part of the Government’s Rebuilding NSW plan.
The NSW government on 20 October 2016 announced the partial lease of Ausgrid to an all-Australian consortium of IFM Investors and AustralianSuper.
The lease has delivered gross proceeds of $16.189 billion to the State.
The NSW government on 5 December 2016 called for Expressions of Interest for the long-term lease of 50.4 per cent of Endeavour Energy.