In a significant step forward for renewable energy, SunCable has received approval from the Commonwealth Government of Australia for the Australian component of its ambitious Australia-Asia Power Link (AAPowerLink) project. This milestone, granted under the Environment Protection and Biodiversity Conservation Act (EPBC), marks a crucial advancement in SunCable's journey to deliver green energy from Australia to Singapore via a 4,300-kilometer subsea cable.
SunCable's Managing Director, Cameron Garnsworthy, celebrated the approval, highlighting it as a "landmark moment" in the project’s development. The approval follows four years of extensive assessments and public consultations, underlining the Australian Government's confidence in SunCable's ability to execute this nationally significant project.
This progress comes at a pivotal time for SunCable, as it was only months ago that the company faced potential collapse. The project, originally a grand vision of billionaire backers Mike Cannon-Brookes and Andrew "Twiggy" Forrest, was nearly derailed earlier this year when financial challenges and differing objectives between its founders led to SunCable being placed into voluntary administration. The project, estimated to cost over AUD $35 billion, had been labeled by some industry experts as a "commercial white elephant" due to its unprecedented scale and risks.
Despite these setbacks, Mike Cannon-Brookes, through his private investment firm Grok Ventures, successfully acquired SunCable, injecting $65 million to stabilize the company. With renewed leadership and a clear focus, Cannon-Brookes has reiterated his commitment to the project, describing it as "world-changing" and vital for Australia's role in the global renewable energy transition.
"The next commodities boom in this country will not be founded on coal," Cannon-Brookes stated. "It will be founded on the generation and export of our renewable energy. SunCable is a world-changing project."
The AAPowerLink aims to deliver up to 6 gigawatts of renewable energy to large-scale industrial customers in Darwin and Singapore, positioning it as one of the most ambitious energy infrastructure projects globally. The project is expected to generate more than AUD $20 billion in economic value for the Northern Territory over its construction and first 35 years of operation, supporting thousands of jobs and fostering new green industries.
SunCable's journey has been fraught with challenges, particularly regarding the engineering risks associated with the subsea cable, which will be the longest of its kind. Critics have pointed out the potential for significant technical difficulties, including cable faults that could take years to repair, and the high costs of transmitting electricity over such a vast distance.
However, Cannon-Brookes remains undeterred, confident in the project's ability to overcome these obstacles. "The technology exists to make this happen," he asserted, emphasizing modern advancements in cable technology and renewable energy systems.
Looking ahead, SunCable will focus on finalizing Indigenous Land Use Agreements in the Northern Territory, engaging with Singapore's Energy Market Authority, and negotiating with the Indonesian Government for the subsea cable route. A Final Investment Decision is expected by 2027, with electricity supply slated to begin in the early 2030s.
While the road to this point has been turbulent, the recent regulatory approval and renewed leadership under Mike Cannon-Brookes have reignited hopes that SunCable can indeed deliver on its bold vision, transforming Australia's renewable energy landscape and contributing to the global fight against climate change.