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Home Gas

$30 million for gas-fired station in Port Kembla

by Lauren DeLorenzo
October 6, 2021
in Gas, News, Renewable Energy, Spotlight
Reading Time: 2 mins read
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The Port Kembla gas-fired power station is set to move to its Final Investment Decision, as the Federal Government awards $30 million to support early works on the project. 

The project, which is being delivered by the Australian Industrial Power (AIP), is aiming to reduce market volatility risks in New South Wales by supporting reliable electricity supply and keeping prices low.

The Federal Government will continue to work with AIP to assess the project for underwriting support through the Underwriting New Generation Investments (UNGI) program.

Investment in reliable supply is a critical need, with AEMO forecasting that up to 19,000MW of dispatchable capacity is required across the National Electricity Market to support record growth of renewables.

Progressing the AIP gas power station is also aiming to support the development of the Port Kembla import terminal, which could provide a key source for imported gas to increase supply.

The construction of the terminal and power station will together create around 850 direct jobs, and many more indirect jobs.

Minister for Energy and Emissions Reduction, Angus Taylor, said, “This is what the Government’s gas-fired recovery is about – helping Australia bounce back strongly from the COVID-19 recession.

“New gas supply and generation will help re-establish a strong economy and make energy more affordable for families and businesses, while complementing the world-leading levels of renewables in Australia.

“Gas supports jobs in our important energy intensive industries that are the lifeblood of our economy and our regions.”

The Federal Government said that its gas-fired recovery, fair deal on energy and Modern Manufacturing Strategy will keep delivering for Australian families, businesses and manufacturers.

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