The future of Western Australia’s renewable energy sector has been given a shot in the arm this week with two of the state’s largest earth-friendly power projects taking significant steps forward.
The future of Western Australia’s renewable energy sector has been given a shot in the arm this week with two of the state’s largest earth-friendly power projects taking significant steps forward.
The Economic Regulation Authority advanced the development of one of the nation’s largest wind farms after granting an electricity generation licence to the $750 million Collgar wind farm in the Wheatbelt.
The ERA granted a 30 year licence to Collgar Wind Farm Pty Ltd, a joint venture between international specialist banking group Investec Bank and Windlab Systems, which was spun out of the CSIRO in 2003.
The project will generate electricity for supply into the South West Interconnected System, 25 kilometres south east of Merredin.
In March, Energy Minister Peter Collier announced the state government had authorised electricity retailer Synergy to buy power from the planned wind farm over a 15-year period.
Mr Collier said Collgar would increase the total renewable energy generation in the South West Interconnected System from 5 per cent to 8.9 per cent.
"With a total capacity of 206MW, this will be WA's largest renewable energy project," he said.
The wind farm, comprising 111 wind turbines generating enough energy to power more than 125,000 homes every year, will create 200 jobs during construction phase, with ongoing jobs for up to 20 people once construction is completed, expected by August 2011.
Earlier in the week energy minnow Mid West Energy ramped up offtake discussions with iron ore miners and other potential customers in the Mid West for its planned 200-megawatt Perenjori solar thermal project.
Mid West Energy boss and former senior Aviva Corporation manager Richard Harris welcomed strong support from potential buyers for the project’s solar thermal electricity, located close to several emerging magnetite operations.
The project utilises a series of mirrors concentrating the sun's energy to produce steam and then power a conventional steam turbine, and is planned to be developed in two stages: the first consisting of 100MW, scheduled to be completed in late 2013, and the second earmarked for completion in 2015.
Mr Harris told WA Business News he had learned from his time at Aviva last year when the company hedged all its bets regarding the Coolimba power project with retailer Synergy.
Aviva had hoped to win a lucrative contract that would underpin the development of the operation but Synergy awarded the contract to utility Verve Energy.
This time he said he was talking to both energy retailers and mining companies as part of a strategy to spread the risk.
Mr Harris said the South West Interconnected System would benefit from enough electricity to power about 62,000 homes, or about 4 per cent of all power on the grid, equivalent to one of the Blue Waters coal-fired units.
