AGL unveiled plans today to build a $295 million gas-fired power station to replace part of the Torrens Island plant in South Australia.
The 210MW reciprocating engine power station, to be known as the Barker Inlet Power Station, will replace two of the four Torrens A turbines.
The four Torrens B turbines will continue to operate as normal.
”Our decision to move ahead with this development reflects our long-standing commitment to our South Australian customers and our contribution to creating a secure energy system as the market transitions,” AGL managing director and chief executive officer Andy Vesey said.
“Torrens A is now 50 years old. Our decision in June 2016 to defer its previously planned mothballing reflected the importance of maintaining security of supply in South Australia following the withdrawal at short notice of other thermal power stations.
“We are delighted that we are now able to confirm that Barker Inlet Power Station will be developed, improving reliability and security of supply in South Australia using modern, responsive technology that is more fuel efficient and less carbon intensive than pre-existing plant.”
AGL executive general manager, group operations, Doug Jackson, said the company had identified reciprocating engines as “the most flexible, efficient and cost-effective synchronous generation capacity, well suited to the specific needs of the South Australian market”.
“Barker Inlet Power Station will comprise 12 reciprocating engines capable of generating approximately 18MW of output each and operating at high efficiency with a lower heat rate than other forms of fast-start plant currently available.
“These units are capable of operating at full capacity within five minutes of start, providing a rapid response to changes in renewable generation supply.”
Construction of the power station is expected to begin by the end of the year, to be fully operational by the first quarter of 2019.