The Hunter's proposed offshore wind project will unlock billions of dollars of investment and create hundreds of local jobs, according to industry and key stakeholders.
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Energy Minister Chris Bowen opened community consultation for the project in Newcastle on Thursday.
An area extending from Norah Head to Port Stephens has been identified as being potentially suitable for hundreds of wind turbines that will play a major role in the region's clean energy transition.
The 8 gigawatt project, to be situated between 10 and 50 kilometres off the coast, would produce the equivalent energy of the region's fleet of coal-fired power stations.
Newcastle lord mayor Nuatali Nelmes said a renewable energy industry built on large-scale offshore wind farms would offer a sustainable new future for Newcastle, once home to Australia's first large scale wind turbine at Kooragang Island.
"City of Newcastle has a long history of supporting and implementing renewable energy projects, including becoming the first local government in NSW to move to 100 per cent renewable electricity," she said.
"We are committed to transitioning towards a low carbon economy to ensure future generations can continue to enjoy our city and region, and believe that a mix of renewables, including offshore wind, is essential to achieving this target."
The government estimates about 4800 jobs would be created during the construction phase. Another 2400 ongoing maintenance jobs would also be created, the government said.
Novocastrian Offshore Wind partners Oceanex and Equinor welcomed the government's commitment to the Hunter project.
Oceanex has spent the past three years preparing plans for the Novocastrian Offshore Wind project, a potential $10 billion investment that, if approved, will generate up to 2 gigawatts (GW) of energy.
"The Hunter already has the mindset, infrastructure and workforce needed to accelerate progress towards developing a new offshore wind industry," Oceanex Chief Executive Officer Andy Evans said.
"We want to leverage this potential as much as possible to enable the Novocastrian Offshore Wind Farm to enter construction phase this decade - and that regional workers and businesses play a key part."
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