Oz AGL to Build Gas-fired Power Station

Major Australian energy retailer AGL has committed to build a 252-MW gas-fired power plant in New South Wales at an estimated cost of up to A$400mn ($300mn), the company said April 26.

“AGL has now committed ahead of schedule to stage 1 of our NSW generation plan submitted to the federal government and the Australian Energy Market Operator (AEMO) in December. In addition, we continue to assess the potential to develop a further 500 MW of gas-fired generation capacity as part of stage 2 of that plan and are inviting commercial and industrial customers to provide their long-term demand commitments to enable AGL to progress this project,” AGL CEO Andy Vesey said.

Stage 1 comprises projects to meet AGL’s committed customer needs, which also include a 100-MW efficiency upgrade to its Bayswater Power Station; an agreement for AGL to offload 300 MW of solar capacity from Maoneng Australia’s Sunraysia solar project; the conversion of a Liddell turbine into a synchronous condenser; and up to 20 MW of demand response capacity. The company is assessing sites for the new project near its Newcastle Gas Storage Facility.

AGL also has 210 MW of gas-fired generation under construction in South Australia.