Sep 07, 2017

Shell gas deal for Swanbank E

Shell gas deal for Swanbank E

Stanwell has finalised a gas supply deal with Shell Australia to feed the Swanbank E Power Station near Ipswich.

Swanbank E is due to start supplying power again on January 1, after a Queensland Government decision to return it to service under its $1.16 billion Powering Queensland Plan.

“Stanwell received a number of commercial offers for gas supply following the Palaszczuk Government’s announcement in June that we would be firing the 385 megawatt gas-fired plant back up again after the LNP mothballed it at the height of their asset sales frenzy which also resulted in the loss of 25 jobs,” Treasurer and Acting Energy Minister Curtis Pitt said.

“This strong response shows gas market players in Queensland are interested in doing business in the domestic market and have gas available and I congratulate Shell Australia and Stanwell for closing the deal.”

Member for Bundamba Jo-Ann Miller said the recruitment drive for 16 new positions at the plant was progressing well, with the first of the new employees expected to begin work in early October.

Treasurer and Acting Energy Minister Curtis Pitt.

Meanwhile Mr Pitt has highlighted a report released by Australia’s Energy Market Operator, which he says confirms that Queensland’s electricity supply is secure.

“The Australian Energy Market Operator (AEMO) report predicts that Queensland’s electricity generation, which is underpinned by coal and gas-fired generators and an increasingly diverse mix of renewable energy and supporting technologies, will be able to meet expected demand in all forecast scenarios,” Mr Pitt said.

“In fact, Queensland’s supply is so secure, we will continue to export electricity supply interstate which means we can help cover predicted shortfalls in southern states due to extreme weather conditions like the heatwaves last summer.”

The Palaszczuk Government had appointed an independent Energy Security Taskforce to develop a Demand Management and Energy Efficiency strategy to better manage peak demand and improve the resilience of the electricity grid, he said.

“Even though Queensland is in an extremely secure position, as proven by today’s report, we will continue to plan for the integration of the next phase of renewables and supporting technologies to ensure we continue to have high security and reliability.”

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