Rio Tinto has announced the potential early retirement of Gladstone Power Station in Queensland in March 2029, aligning with the expiry of existing supply and operational arrangements.
The Australian Energy Market Operator (AEMO) has been notified of the potential early retirement in accordance with the National Electricity Rules, whereby notice of closure of electricity generators must be made three-and-a-half years in advance.
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However, Rio Tinto says no final decision has been made to retire GPS, which has operated since 1976, and there is potential to extend the life of the power station should market and other factors allow.
“There is no immediate impact of this notification on GPS operations. Existing power supply contracts, including to Boyne Smelters Ltd, will remain in place until their scheduled expiry in March 2029,” Rio Tinto said in a statement.
“The JV participants recognise the contribution of GPS to the Gladstone community and are committed to work with the operator NRG Gladstone Operating Services to ensure transparent and timely engagement with employees, contractors and suppliers throughout this process.
“Between now and March 2029, the JV participants will engage with stakeholders on the energy market and on options for the future use of the site, which will inform the timeline and strategy for retirement of the facility.”
Meanwhile, Queensland Premier David Crisafulli said he was unaware of the announcement.
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“I’ll make the observation that we are genuinely optimistic about the future of mining and manufacturing in this state, which is why we need to get an energy plan which is affordable, reliable and sustainable,” he said.
“If we do that, we can make sure we underpin manufacturing for years to come.”
