A key section of the planned $2.3 billion electricity interconnector between South Australia and NSW has been given planning approval.
The SA government says NSW has approved the 120 kilometre section of the EnergyConnect project from the state border to Buronga, which will allow a direct energy connection between the two states for the first time.
"This is great news for electricity prices, renewable energy projects and jobs in South Australia," Energy and Planning Minister Dan van Holst Pellekaan said.
"EnergyConnect will be a freeway for green energy produced in South Australia and exported to New South Wales."
In SA, transmission company ElectraNet will provide $457 million towards the interconnector while TransGrid has committed $1.8 billion for work in NSW.
The new line is forecast to cut power bills in SA by about $100 a year for the average household.
Spanning 900 kilometres, it will run from Robertstown, in SA's mid-north, through Buronga to Wagga Wagga, with the Robertstown sub-station to be upgraded and a new one built at Bundey.
Another transmission line will be built between Buronga and Red Cliffs in Victoria.
Work is expected to start later this year with the project due to be commissioned in 2023.
