Australia HVDC Transmission Systems Market Size and Share - Growth Analysis Report and Forecast Trends (2026-2035)

Market Overview

The Australia HVDC transmission systems market is at a structural turning point. Alternating current has historically dominated the National Electricity Market, but the retirement of coal generation and the concentration of new wind and solar in remote renewable energy zones have made direct current links commercially essential.

Three forces are shaping the market: the delivery of Marinus Link, the first new HVDC interconnector across Bass Strait in two decades; the Integrated System Plan, which requires about 10,000 km of new transmission; and the shift toward voltage source converter technology.

In August 2025, Marinus Link reached its final investment decision, followed in September 2025 by financial close with up to AUD 3.8 billion in Clean Energy Finance Corporation loans. The Integrated System Plan estimates actionable transmission projects will save consumers a further AUD 18.5 billion.

Key Market Trends and Insights

• Marinus Link enters delivery: The roughly AUD 5 billion, 1,500 MW Tasmania to Victoria interconnector reached financial close in September 2025 and awarded its final major works package, the AUD 994 million TasVic Greenlink contract, anchoring the national HVDC pipeline.
• Voltage source converter shift: New Australian projects favour voltage source converter designs over line commutated converters for their black start capability and their ability to hold voltage in grids dominated by inverter-based wind and solar.
• Integrated System Plan backbone: The Integrated System Plan sets a least cost pathway requiring about 10,000 km of new transmission and AUD 16 billion of investment, positioning interregional links as the backbone of a renewable grid.
• Subsea interconnection demand: Bass Strait crossings, from the legacy Basslink to the new Marinus Link, make submarine HVDC cable manufacturing and installation a defining structural feature of the Australian market.

Australia HVDC Transmission Systems Market Size and Forecast

The Australia HVDC transmission systems market is transitioning from planning into full construction, and its value scales steadily across the forecast period as the national interconnection pipeline is delivered. Converter stations remain the largest revenue contributor, reflecting their capital intensity within every direct current link, while voltage source converter systems and New South Wales set the fastest pace of growth. Committed projects such as Marinus Link, the Integrated System Plan build-out, and the expansion of renewable energy zone transmission underpin a durable, multi-year demand outlook rather than a cyclical uplift.

Key Takeaways: Australia HVDC Transmission Systems Market

Grid Decarbonisation Anchors Long-Term Growth

Grid decarbonisation is the structural anchor behind the market's expansion, with revenue on course to almost triple across the decade to 2035 at an 11.7% CAGR. As centralised coal generation retires and dispersed renewables scale, efficient long-distance transfer becomes essential, and the Integrated System Plan has translated this logic into a funded pipeline with multi-year revenue visibility.

Voltage Source Converters Lead New Deployments

Converter stations are the highest value component, and voltage source converter systems record the fastest growth at an estimated 13.5% CAGR through 2035. VSC systems can restart a collapsed grid and hold voltage in inverter-dominated networks. Marinus Link adopts HVDC Light VSC technology supplied by Hitachi Energy, setting a reference standard.

Marinus Link Financial Close Signals Acceleration

Marinus Link secured full funding for its first 750 MW stage in September 2025, backed by up to AUD 3.8 billion in Clean Energy Finance Corporation loans. Key delivery contracts are now in place, with major works ramping through 2026 for energisation by 2030.

• About AUD 900 million in consumer benefits expected in the first five years
• Around 1,000 local businesses engaged on supply chain opportunities
• Converter stations under way at Heybridge, Tasmania and Hazelwood, Victoria

Key Insight

The trajectory reflects a structural shift rather than cyclical demand. The retirement of coal generation and the concentration of new wind and solar in remote renewable energy zones have made long-distance direct current transfer essential, turning the Integrated System Plan's least cost pathway into a funded, multi-year construction pipeline with clear revenue visibility. Converter stations command the dominant share because they are the most capital-intensive element of every link, while voltage source converter technology and New South Wales grow fastest as black-start-capable designs and renewable energy zone rollouts anchor the next wave of interconnection. The expansion is therefore underpinned by committed projects such as Marinus Link and firm regulatory backing rather than speculative forecasts.

Key Trends in the Australia HVDC Transmission Systems Market

The Australia HVDC transmission systems market is being reshaped by a least cost transmission plan, the retirement of coal generation, and the technology shift toward voltage source converters.

June 2026- Integrated System Plan Drives HVDC Backbone Investment

The Integrated System Plan requires about 10,000 km of new transmission and AUD 16 billion of investment through the forecast period.

• Interregional HVDC links are positioned as the backbone of a renewable dominated grid.
• Network operators and equipment suppliers gain a long horizon of committed projects.

May 2026- Voltage Source Converter Technology Becomes the Default

New projects such as Marinus Link favour voltage source converters over line commutated converters.

• Black start capability and independent voltage control suit inverter dominated grids.
• Marinus Link's HVDC Light platform sets a reference standard for future Australian links.

August 2025- Renewable Energy Zones Drive Long Distance Transmission

Designated renewable energy zones in New South Wales, Victoria, and Queensland concentrate remote wind and solar.

• Long distances favour direct current over alternating current on the longest evacuation corridors.
• This translates into rising demand for converter stations and DC cabling.

June 2025- Subsea Interconnection and System Strength Investment Rise

Marinus Link adds 1,500 MW of Bass Strait HVDC capacity, anchoring submarine cable demand.

• Falling inertia from coal retirement drives complementary grid stabilising investment.
• Synchronous condensers and related equipment underpin voltage source converter HVDC viability.

Key Insight

These trends point to a market whose growth is structurally locked in rather than cyclical. The Integrated System Plan converts decarbonisation policy into a funded HVDC pipeline, renewable energy zones create sustained long distance transfer demand, and the move to voltage source converters positions technology suppliers for repeat work. Together they make interregional and subsea HVDC central to Australia's grid transition through the forecast period.

Recent Market Developments in the Australia HVDC Transmission Systems Market

Recent developments, presented from the most recent, show the Australia HVDC market moving from committed contracts into full construction.

December 2025- TasVic Greenlink Awarded AUD 994 Million Works Contract

Final major Stage 1 works contract awarded to TasVic Greenlink, a joint venture of DT Infrastructure and Samsung C&T Corporation.

• Scope covers converter station construction at Heybridge, Tasmania and Hazelwood, Victoria.
• Includes 90 km of Gippsland cable civil works, with shore crossing works beginning in early 2026.

November 2025- GE Vernova to Supply Synchronous Condensers to Transgrid

GE Vernova engaged by Transgrid to install synchronous condensers across five New South Wales sites.

• Equipment provides inertia, voltage control, and fault current for renewable integration.
• Addresses the falling system strength conditions that make voltage source converter HVDC viable.

September 2025- Marinus Link Reaches Financial Close

• Backed by up to AUD 3.8 billion in Clean Energy Finance Corporation loans plus government equity.
• Notices to proceed issued to Prysmian for the cable system and Hitachi Energy for the converters.
• Expected to deliver about AUD 900 million in consumer benefits ahead of 2026 mobilisation.

August 2025- Marinus Link Reaches Final Investment Decision

Final investment decision secured on 1 August 2025 with Commonwealth environmental approval.

• Locks in the 750 MW first stage across the Heybridge and Hazelwood converter sites.
• Confirms the Bass Strait shore crossings and clears the way for financial close.

Key Insight

The 2025 to 2026 developments mark a decisive shift from planning to delivery. The Marinus Link final investment decision and financial close de risked the flagship project across 2025, and the AUD 994 million TasVic Greenlink award moved it into full construction in 2026. Reinforced by complementary system strength investment such as the GE Vernova and Transgrid programme, this momentum validates the commercial case for further HVDC interconnection across the National Electricity Market.

Australia HVDC Transmission Systems Industry Segmentation

The Expert Market Research’s report on the Australia High Voltage Direct Current (HVDC) Transmission Systems Market offers a detailed analysis of the market based on the following segments.

Market Breakup by Component

• Transmission Medium (Cables)
• Converter Stations
• DC Lines
• AC and DC Harmonic Filters
• Circuit Breakers
• Others

Converter Stations account for the largest share of the market because they are the most capital-intensive element of every direct current link, and in August 2026 bulk earthworks began at the Hazelwood converter station in Victoria ahead of the installation of Hitachi Energy's HVDC equipment. Transmission Medium (Cables) forms the second largest component, anchored by Prysmian's 345 km, 320 kV XLPE-insulated cable system for Marinus Link, whose project costs were settled when the Australian Energy Regulator issued its final decision on Project Marinus in February 2026. DC Lines cover the overhead and underground direct current conductors that connect converter terminals.

Market Breakup by Transmission Type

• Overhead
• Underground
• Submarine

Submarine transmission holds the leading share, as Australia's operating and committed HVDC links cross Bass Strait, from the 370 km Basslink route to the 255 km undersea section of Marinus Link. Underground transmission is the fastest growing type, driven by the 90 km Marinus Link land cable through Gippsland, where TasVic Greenlink had early works under way at the Waratah Bay shore crossing by August 2026, and supported by existing underground links such as Murraylink between Victoria and South Australia. Overhead transmission plays a smaller role in the current national grid but carries long term upside through proposals such as the roughly 800 km HVDC overhead line planned from Powell Creek to Darwin under the Australia-Asia PowerLink.

Market Breakup by Technology

• Line Commutated Converters (LCC)
• Capacitor Commutated Converter (CCC)
• Voltage Source Converters (VSC)

Voltage Source Converters (VSC) are the fastest growing technology at an estimated 13.5% CAGR through 2035 and the default choice for new Australian links, owing to their black start capability, independent voltage control in low system strength networks, and compatibility with inverter-based wind and solar. Marinus Link will use Hitachi Energy's HVDC Light VSC platform, building on the earlier Murraylink and Directlink VSC interconnectors. Line Commutated Converters (LCC) retain a significant installed base through Basslink, and in February 2026 the Australian Energy Regulator approved AUD 459.5 million in revenue for Basslink over 2026 to 2030 as the link moved to regulated status from 1 July 2026.

Market Breakup by Power Rating

• Below 1000 MW
• 1001-2000 MW
• Above 2000 MW

Below 1000 MW systems account for the largest share, covering Directlink at 180 MW, Murraylink at 220 MW, Basslink at 500 MW, and the 750 MW first stage of Marinus Link. The 1001-2000 MW band is set to gain share as Marinus Link builds toward its full 1,500 MW capacity, and the Integrated System Plan released by the Australian Energy Market Operator in June 2026 describes the project as two 750 MW HVDC developments between the Burnie area in Tasmania and the Latrobe Valley in Victoria. Above 2000 MW systems remain a long-term opportunity linked to multi-gigawatt export concepts such as the Australia-Asia PowerLink in the Northern Territory.

Market Breakup by Application

• Infeed Urban Areas
• Bulk Power Transmission
• Interconnecting Grids

Interconnecting Grids holds the leading share, since Australia's HVDC assets mainly link regions of the National Electricity Market, with Basslink and Marinus Link connecting Tasmania and Victoria, Murraylink tying Victoria to South Australia, and Directlink joining the New South Wales and Queensland networks. Bulk Power Transmission is the fastest growing application as renewable energy zones and large export projects need efficient long-distance transfer, a direction reaffirmed when the 2026 Integrated System Plan, published on 25 June 2026, confirmed renewables connected by transmission and firmed by storage as the least cost path to 2050.

Market Breakup by Region

• New South Wales
• Victoria
• Queensland
• Western Australia
• Australian Capital Territory
• Others

Victoria holds the largest share, anchored by the Hazelwood converter station and Gippsland land cable route of Marinus Link and by the Basslink terminal at Loy Yang. New South Wales records the fastest growth at an estimated 13.2 % CAGR, supported by renewable energy zone rollouts and system strength investment by Transgrid. Queensland contributes through the Directlink interconnector and a widening transmission pipeline, with the CopperString project classed as anticipated in the 2026 Integrated System Plan. Others include Tasmania, home to the Heybridge converter station, together with South Australia and the Northern Territory, where the Australia-Asia PowerLink carries long term upside.

Competitive Landscape in the Australia HVDC Transmission Systems Market

The market is built around a small group of global technology providers and cable manufacturers working alongside Australian network operators and project companies. High capital intensity and specialised converter and subsea cable expertise create strong barriers to entry across the national interconnection pipeline.

Schneider Electric SE

Headquartered in Rueil-Malmaison, France, Schneider Electric SE is an energy management and automation company whose grid portfolio spans medium and low voltage switchgear, ring main units, on-load tap changers, protection relays, and the EcoStruxure Advanced Distribution Management System. In Australia it supports utilities with substation and network digitalisation, and in March 2026 it delivered a kiosk-based digital grid solution with ring main units and low voltage switchgear to ACT distributor Evoenergy, integrated with its EcoStruxure platform. Its equipment is designed and tested to IEC standards.

CBI Australia

Operating in Australia since 1959 through Heinemann Electric Pty Ltd, trading as CBI-electric Australia, and based in Victoria, CBI Australia designs and supplies low voltage electrical protection equipment. Its portfolio covers hydraulic-magnetic AC and DC circuit breakers for equipment, miniature and moulded case circuit breakers, residual current devices, distribution boards, and remote actuation units for DC circuits up to 300 A used in battery storage, rail, and solar systems. Its breakers carry VDE, CCC, and CE approvals, with UL-compliant variants, supporting auxiliary protection at converter and substation sites.

Toshiba International Corporation Pty. Ltd.

Based at Winston Hills in New South Wales and active in Australia for more than 45 years, Toshiba International Corporation Pty. Ltd. is the Oceania arm of Japan's Toshiba Group. It supplies transmission and distribution products, power electronics, turbine generators, transformer servicing, and battery energy storage systems to the energy, mining, and industrial sectors, drawing on the parent group's grid solutions and HVDC converter experience in Japan. Its local engineering and field service teams give it reach across utility and industrial customers nationwide.

NR Electric Co., Ltd.

Established in 1995 and headquartered in Nanjing, China, NR Electric Co., Ltd. is a subsidiary of NARI Technology and a specialist in power system protection and control. Its HVDC portfolio includes the PCS-8600 UHVDC converter valve system, PCS-9550 LCC-HVDC and PCS-9520 VSC-HVDC control and protection systems, PCS-8100 VSC-HVDC IGBT valves, and PCS-8300 high voltage DC circuit breakers. The company has delivered the Zhoushan five-terminal VSC-HVDC system and the ±500 kV Zhangbei DC grid, and its VSC-HVDC control and protection system is KEMA certified.

Other players operating in the Australia high voltage direct current (HVDC) transmission systems market include NKT A/S, Hitachi Energy Ltd., Siemens Energy AG, GE Vernova Inc., and Prysmian S.p.A., alongside specialist equipment suppliers, engineering contractors, and service providers supporting converter, cable, and protection packages.

Key Insight

Competition centres on converter technology, cable capability, and protection systems rather than price alone. Hitachi Energy, Siemens Energy, and GE Vernova lead on converter and grid stabilisation platforms, while Prysmian and NKT compete on high voltage submarine and land cable manufacturing and installation. NR Electric adds depth in HVDC control, protection, and DC circuit breakers, whereas Schneider Electric, Toshiba International Corporation, and CBI Australia strengthen the substation, switchgear, and low voltage protection layer. Long term contracts with project companies such as Marinus Link Pty Ltd push global suppliers to build local delivery teams in a pipeline defined by multi decade, capital intensive projects.