Federal government Energy and Emissions Reduction Agreement with Tasmania

Source: International Energy Agency
Last updated: 5 April 2022

The Australian government and Tasmanian government have signed a State Energy and Emissions Reduction Deal. 


Through this agreement, the governments will work closely to further develop the Marinus Link and Battery of the Nations projects, expected to reduce power prices, improve reliability and unlock new generation sources, including Tasmania’s deep pumped hydro storage and world-class wind resources. The Australian Government will contribute a further $93.9 million as part of the agreement to progress the Marinus Link project to a financial investment decision, in addition to Tasmania’s contribution of $39 million.    


If constructed, Marinus Link will enable the transmission of an additional 1,500 megawatts of electricity between Tasmania and the mainland. It would also help unlock 400 megawatts of existing dispatchable generation (enough to power up to 400,000 homes) that cannot be exported to the mainland due to limited BassLink capacity.

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