Today I have conditionally approved a foreign investment application from State Grid Corporation of China (State Grid) to acquire 19.9 per cent of SP AusNet and 60 per cent of SPI (Australia) Assets Pty Limited and SPI (Australia) Trust (trading as Jemena).
State Grid is the world’s largest electric utility and ranked seventh in the Fortune Global 500.
SP AusNet is a dual Australian Securities Exchange and Singapore Exchange listed energy infrastructure entity which owns and operates electricity transmission networks, electricity distribution networks and gas distribution networks in Victoria. Jemena is a private company that owns and operates electricity, gas and water assets in eastern Australia.
This application is approved on the condition that at least 50 per cent of the members to be appointed by State Grid to the Boards of SP AusNet and Jemena are Australian citizens who are ordinarily resident in Australia.
Australia is open for business and we welcome foreign investment when it is not contrary to the national interest.