Snowy Hydro 2.0 to get environmental study

The federal government's decision to shell out more than $6 billion to buy the NSW and Victorian stakes in Snowy Hydro will trigger a wide-ranging study into the environmental impacts of the project.

A Senate hearing on Friday was told issues like the impact on water quality due to drilling required in the scheme's expansion will be fully explored in an environmental impact statement.

The review will cover the full range of environmental consequences, rather than issues solely of national significance.