A proposed $2.4 billion electricity transmission line linking South Australia and NSW will save SA households about $100 a year, new modelling has revealed.
The interconnector will link the SA and NSW energy grids through a 900km line between Robertstown, in SA's mid-north, and Wagga Wagga.
Development companies ElectraNet in South Australia and TransGrid in NSW have recently submitted contingent project applications with the Australian Energy Regulator to secure the necessary funding.
In the lead-up to the final regulatory phase, ElecrtraNet updated its cost-benefit analysis with the modelling revealing the $100 saving to SA households and about $200 to small business customers.
"This report was undertaken to ensure no stone was left unturned in determining that this project is a good investment for electricity customers in South Australia and New South Wales," ElectraNet chief executive Steve Masters said.
"It shows the project will deliver cheaper electricity, more renewable energy and is an important measure to addressing emerging security risks in the network."
It is also expected to create hundreds of jobs during the construction phase.
"The interconnector will create hundreds of jobs, unlock billions of dollars worth of investment and deliver cleaner, more reliable and more affordable energy for South Australians," South Australian Premier Steven Marshall said.
While Energy Minister Dan van Holst Pellekaan said the project would shore up stability in South Australia's energy grid for decades to come.
"The interconnector allows us to reach our net 100 per cent renewables goal sooner, whilst securing our grid and delivering bill relief to South Australians," he said.
In a preliminary assessment earlier this year, the AER said the proposal would support the long-term transition to low emission technologies and help prevent blackouts in SA.
It described the plan as "robust" but based its findings at the time on a construction cost of about $1.5 billion.