From coal to clean

The Port of Newcastle, jointly owned by Macquarie’s The Infrastructure Fund and China Merchants Port Holdings, has been identified through a new study as a prime location for supporting floating offshore wind deployment. This revelation was shared in a statement highlighting the port’s suitable attributes including its deep draft navigation channel, ample development area, and the lack of bridge infrastructure which could otherwise limit large vessel movements.

The nearby Hunter offshore zone, spanning nearly 2,000 km² between Swansea and Port Stephens, will be the first zone in Australia to host floating turbines. With the necessary investment and stakeholder engagement, the Port of Newcastle could effectively handle various operational roles for the zone, including marshalling, assembly, staging, and maintenance of the offshore wind facilities.

Moreover, the port’s proximity to other proposed wind development zones in New South Wales, New Zealand, and Victoria, including the Bass Strait, gives it a logistical upper hand. The redevelopment plans would turn the port into a key area for wind projects in Australasia and attract manufacturers who deal with both floating and fixed-bottom turbines.

This initiative to develop the Port of Newcastle into an offshore wind hub is particularly timely. The Port of Hastings, Victoria’s leading candidate, recently had to redo its development plans, so this potentially positions Newcastle as a more significant player in Australia’s push towards renewable energy, especially considering Victoria’s goal to achieve up to 9 GW of offshore wind generation by 2040.

The transformation of the Port of Newcastle also holds considerable promise for the local economy. By repurposing existing infrastructure and creating new job opportunities in the renewable energy sector, the region is set to benefit significantly. Several major companies, including Energy Estate with its 1.65 GW Hunter Central-Coast project, OceanEx, Equinor, and the French giant EDF (which is planning a massive 10 GW project), have already shown interest in the zone, signaling a bright future for renewable energy initiatives at the port.