The Queensland LNP Government has announced a new five-year energy plan that will include the refurbishment of the state’s two major coal-fired power stations as well as new gas plants while progressing two pumped hydro projects.
Despite the government’s renewed investment in fossil fuels, Treasurer and Energy Minister David Janetzki insisted Queensland would still meet its net zero emissions by 2050 but refused to comment on whether the legislated 75% reduction target by 2035 would remain.
“We’re taking an approach based on economics and engineering, not ideology,” Janetzki said.
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“Our five-year plan must ease pressure on our balance sheet, de-risk our energy future, and add significant generation capacity. It will involve the private sector and must work for our communities.”
The Energy Roadmap includes the completion of the refurbishment of the cooling tower at Tarong Power Station, and upgrades of the Callide B1 and B2 units.
“We’re delivering effective asset maintenance so Queensland’s power plants can remain in the system and support our grid with affordable and reliable generation,” Janetzki said.
“Queensland’s coal-fired fleet is the youngest in the country and coal generation will continue to play a central role in our grid.”
Janetzki said the government would also transfer oversight of Queensland Hydro, the entity charged with delivering the Borumba pumped hydro project, to Queensland Investment Corporation (QIC).
“We’ve made this decision following revelations from Queensland Hydro in December the cost to deliver Borumba had blown out by $4 billion to a total of $18 billion and would take an additional three years to complete,” he said.
“The report also revealed there was less than a 1% chance of Borumba being completed on time for its first planned power in 2030.
“QIC is uniquely placed and experienced to support Queensland Hydro to deliver a proper commercial assessment of delivery options.”
The government will invest $50 million into the Mt Rawdon Pumped Hydro project through CleanCo to help progress the project towards a final investment decision.
In addition, $134 million in funding has been approved for CS Energy to develop the 400MW Brigalow Gas Peaker Project at Kogan Creek, and CleanCo and Stanwell will progress two new gas-fired generation projects at Swanbank and Gatton.
Janetzki also said the government would leverage the infrastructure expertise of QIC to deliver the CopperString transmission project amid “eyewatering Labor blowouts”.
He said costings revealed CopperString would have cost Queenslanders nearly $14 billion for the CopperString project and network connections, accusing the former Labor government of “fiscal vandalism”.
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“We’re cleaning up one of the most disgraceful cases of fiscal vandalism under the former Labor Government and we will deliver CopperString with an expanded early works package that will include a record capital investment,” Janetzki said.
“QIC’s work starts today. It will not only oversee the prioritisation of work on the Eastern Link but begin a full analysis of options to deliver the best economic value for the Western Link.”
The CopperString project is a 1,100km high-voltage electricity transmission line from Townsville to Mount Isa that will connect the State’s North West Minerals Province to the national electricity grid.
