From the SA Government comes a six point plan:
BUILDING a State Government-owned, fast start gas-fired power station that can come on when the market does not provide enough energy to keep the lights on. It is expected to cost about $360 million. No site has yet been selected. It would be 250MW, enough to deliver close to 10 percent of SA’S peak demand.
SUPPORTING construction of Australia’s biggest battery as part of a $150 million spend on a new renewable technology fund.
ENCOURAGE the construction of a new privately-owned power station using a Government bulk buy power contract.
INCENTIVISE the extraction of more gas for use in SA power stations, through a taxpayer-backed exploration fund.
GIVING the SA energy minister powers to over-ride other regulators and force power stations to fire up in times of need.
CREATING an “energy security target”, which requires retailers to buy 36 percent of their power from baseload sources in SA.
“The State Government recognises the need to have our own back-up generation in place to serve the needs of the SA public,” Mr Koutsantonis said.
Mr Koutsantonis stressed that the 250MW gas-fired station will not participate in the national market, rather it will be switched on when local demand is forecast to outstrip supply.
“We are not competing with AGL, Origin, and the other retailers. What we are offering is back-up generation as part of an emergency response.
Expected to cost around $350 million, the procurement process is expected to commence in the near future.
You are competing with AGL, Origin and Engie and rightly so since they won’t compete themselves.
