What’s the deal with the 345 kilometre cable set to be unspooled in the Bass Strait?

The $3.47 billion Marinus Link project aims to lower power bills and make electricity more reliable in Victoria and Tasmania.

Author

Jacob Wallace
February 10, 2026

The Marinus Link project, a 345 kilometre cable connecting the Victorian and Tasmanian electricity grids, has had its first construction stage approved. 

The project is aiming to lower power bills and make the electricity grid more reliable for both states.

What happened: Last Friday, the Australian Energy Regulator (AER) approved the first stage of the Marinus Link. The giant transmission cable between Tasmania and Victoria will allow electricity to be shared between the states.

  • The project’s cable will run 345 kilometres, including 255 kilometres of undersea transmission across the Bass Strait and 90 kilometres of underground cables in Gippsland.

The Marinus Link subsea electricity cable will come to shore in Gippsland’s Waratah Bay.

Why build a giant cable?

The AER expects the project to reduce wholesale electricity prices in the long-term for Victorians and Tasmanians. 

  • By allowing Victorian energy consumers to access Tasmania’s hydropower and wind energy, it’s expected to reduce the state’s reliance on burning expensive gas for electricity.

  • By connecting Tasmania to the eastern state’s electrical grid it’s expected Tasmanians will have more reliable energy and efficient energy.

According to the Marinus Link project, it’s estimated the link will save Victorian’s $68 on their household power bill annually. 

Sale's "Bin Chicken Island" ruffles feathers but council's hands are tied

A former Wellington Shire mayor said the ibises were "spreading all over town, getting into bins and spreading food items".

Who owns Marinus Link? 

The project is jointly owned and operated by the Australian Federal, Victorian and Tasmanian governments.

How much will it cost?

The AER is estimating the construction costs of Stage 1 of the Marinus Link to be $3.47 billion.

What are these stages?

  • Stage 1: A 750 megawatt cable connecting Victoria and Tasmania and upgrades to existing transmission networks in north west Tasmania.

  • Stage 2: A second 750 megawatt cable connecting Tasmania and Victoria.

How did the Strzelecki Ranges get their name?

For 22 days the polish explorer and his expedition were on the edge of starvation in Gippsland.

Who will pay for it?

The cost of building the link will be recovered from Tasmanian and Victorian electricity consumers through their power bills once Marinus Link commences services, which is currently expected in 2030.

  • How much more Victorian’s will have to pay in their energy bill will be based on an agreement between the state Tasmanian and Victorian governments.