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Home Renewable Energy

$1.2B green energy proposal welcomed by TAS Gov

by Steph Barker
June 5, 2023
in Asset Management, Hydrogen, News, Renewable Energy, Spotlight
Reading Time: 2 mins read
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Shipping cranes at Bell Bay, Tas
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The Tasmanian Government has welcomed a proposal to redevelop the decommissioned Bell Bay Power Station into a $1.2 billion green methanol and hydrogen plant.

The State Government said the partnership between ABEL Energy and Iberdrola, under the banner of Bell Bay Powerfuels, is a step towards the government’s plan for the Bell Bay Precinct to become a world-leading green methanol/hydrogen production hub – and create the clean energy jobs of the future.

Tasmania Minister for Energy and Renewables, Guy Barnett, said, “This is an exciting opportunity because it is a step towards the creation of a new $1.2 billion clean energy production facility, but it also provides an innovative solution to re-develop the mothballed oil-fired Bell Bay Power Station that was built in 1971.

“With our world class wind resource, Tasmania is an ideal location to produce cost-competitive renewable methanol/hydrogen on a large-scale to meet this emerging export and domestic demand and become a global leader in renewable energy supply.

“Green methanol/hydrogen can be used to transition advanced manufacturing, heavy transport and energy intensive industries to renewable energy, as well as for export,’’ Mr Barnett said.

The proposal comes after ABEL Energy successfully negotiated a deal with Hydro Tasmania as the preferred proponent for the Bell Bay site, following an expression of interest process launched in December 2022.

The State Government is confident that the Bell Bay Precinct will play a pivotal role in Australia’s affordable clean energy future and will foster ongoing collaboration between industry, universities, other research institutions and innovators.

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