Snowy 2.0 underground powerhouse moves into fit-out phase

Construction of Snowy 2.0’s 1km deep underground power station has entered a new phase, with permanent concrete works under way and excavation of the project’s huge machine and transformer halls more than 90% complete.

The pumped-storage hydropower project in New South Wales is now moving towards fit-out of the underground complex, which is being constructed almost 1km below ground.

An aerial view of work in Snowy 2.0s massive machine hall. 2048x1176Excavation has been completed on all six connector tunnels linking the transformer and machine halls. The tunnels will accommodate electrical equipment carrying power from the six generating units to high-voltage transformers and ultimately into the electricity grid.

Crews have also started permanent concrete pours in preparation for installation of the generating equipment. More than 1,400 precast concrete elements will be installed within the underground station, including structures housing transformers weighing more than 400t each.

All six reversible pump-turbines have now arrived in Australia, while the project’s high-voltage transformers are undergoing final testing. Teams are preparing to install other major components including inlet valves and spiral casings, which will direct water into the generating units.

“We’re building some of the widest and deepest power station caverns in the world,” said Snowy Hydro CEO Dennis Barnes. “Transitioning into the fit-out phase of an underground station the size of the Sydney Opera House is a landmark engineering achievement.”

Snowy 2.0 will link the existing Tantangara and Talbingo reservoirs through approximately 27km of tunnels and an underground power station with six generating units providing 2,200MW of capacity.

The scheme is designed to provide around 350GWh of energy storage, allowing excess electricity to pump water to the upper reservoir before releasing it through the underground generating complex when demand increases.

More than 5,000 people are currently working on the project.

In October 2025, Snowy Hydro instructed principal contractor Future Generation Joint Venture to undertake a reassessment of project costs. Snowy Hydro said it is considering advice from independent construction cost specialists before providing further advice to the Australian Government.

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