Bowen leaves Snowy Hydro review to ‘fresh’ CEO

Energy Minister Chris Bowen has ruled out an independent review into the troubled $5.9bn Snowy Hydro 2.0 project, while conceding significant delays are ‘deeply disappointing’.

Federal Energy Minister Chris Bowen. Picture: NCA NewsWire/Dan Peled

Energy and Climate Change Minister Chris Bowen has ruled out an independent review into the troubled $5.9bn Snowy Hydro 2.0 project, while conceding significant delays are “deeply disappointing”.

The comments come after The Weekend Australian reported growing calls from infrastructure players that Snowy 2.0 should be subject to frequent reviews with performance guidelines from Infrastructure Australia.

Experts have warned that a lack of expertise in tunnelling, as well as cost blow-outs and delays, could compromise the National Energy Market as it transitions from fossil fuels to renewables to meet the federal government’s emission reduction targets.

Mr Bowen on Sunday would not commit to commissioning an independent review for the project but argued the government’s recent decision to appoint a new chief executive would provide a “fresh set of eyes”.

Mr Bowen said he was dissatisfied with the performance of the project, after its star tunnelling machine Florence became bogged in soft earth, which has halted the drilling of a vital 27km link between the Tantangara and Talbino reservoirs for some months.

“I won’t be down there with a shovel myself,” Mr Bowen told the ABC’s Insiders program. “I will work closely with Snowy management. I’m not here to pretend I’m happy, I’m not. It is deeply disappointing, the delay, because it’s important for the stabilities of the grid. I do recognise this is one of the most complicated engineering projects anywhere in the world at the moment. These tunnels are difficult to build but the previous government made commitments which have not been met in terms of timeline.

“In terms of an independent review, the ultimate one is our new chief executive. I want Snowy management focused on the job, not focused on trying to just see what happened so far, I want them focused on fixing it.”

The latest IA road map, backed by state and territory treasuries and infrastructure bodies, recommended continuous reviews across a project’s life. Former Infrastructure Australia chief of policy and research Peter Colacino said regular reviews were “common practice” and should be undertaken at each stage of a development to ensure projects stay on time and on budget.