Queensland’s biggest coal-fired power station could close six years early | Fossil fuels

The co -owner of the largest coal -fired power plant in Queensland in Gladstone said that it could close the factory in March 2029 – six years earlier than expected.

The power plant – one of the least reliable in the national electricity market – is considered an essential element of the heavy industry in the region, offering power to the Rio Tinto aluminum foundry, as well as alumina refineries and LNG and cement factories in the region.

Rio Tinto, co -owner of Gladstone Power Station (GPS), said that he had informed the Australian energy market operator (Aemo) “potential retirement” of Gladstone.

The planned year of closure of the AEMO of the power station was in 2035.

Rio Tinto said: “No final decision has been made to retire GPS, which has been operating since 1976, and it is possible to extend the life of the power plant and other factors allow it.

“There is no immediate impact of this notification on GPS operations. Existing food contracts, including Boyne Smelters LTD, will remain in place until their expiration scheduled for March 2029. ”

The company said that by March 2029, it “would engage with the stakeholders on the energy market and the options for the future use of the site, which will shed light on the calendar and the retirement strategy of the installation”.

Register to get the editor-in-chief and environment editor Adam Morton, Clear Air, like a free newsletter

The State National Liberal Government should announce its energy plan this month, but has already said that it wanted coal power plants to work longer – a reversal of the previous Labor government plans to end the power of coal by 2035.

The Prime Minister of Queensland, David Crisafulli, told journalists on Wednesday that he had “not seen the reports” of the closure, but that he was “optimistic about the future of mining and manufacturing in this state, which is why we need an affordable, reliable and lasting energy plan”.

The treasurer and Minister of Energy, David Janetzki, said that the government “actively worked with our companies belonging to a government to prepare the network for the possible closure of Gladstone Power Station”.

Nexa Advisory analysts said this month that the Gladstone power plant had seen an average of 4,200 hours of unexpected breakdowns per year since 2020, making it one of the least efficient factories in Australia.

“The main industrial economy of Queensland is threatened due to the Gladstone power plant,” said Stephanie Bashir, CEO of Nexa.

“An industry that generates $ 6 billion in economic production rested on an offline power plant for the equivalent of more than half of time.”

Bashir said that the government of the State was to establish a firm calendar for the closure of Gladstone while delivering a project to improve the region’s electrical network so that renewable storage and energy storage projects can be online.

She said: “It is not a question of deactivating the coal tomorrow, it is a question of being honest about the poor performance of Gladstone and the planning of a secure, affordable and cleaner energy system.”

Bashir has hypothesized that the announcement by Rio Tinto of a “potential” closure could be a “subsidy fishing exercise” – an attempt by the company to put pressure on the government so that financial support maintains the factory on the move.

Rio Tinto would not comment on this statement.

Dave Copeman, director of Queensland Conservation Council, said that Rio Tinto had “clearly indicated that they could not keep their Gladstone operations and their foundry worldwide by relying on an expensive coal power”.

“The Prime Minister can no longer put his head in the sand,” he said.

“He cannot ignore that the failure to replace our aging coal power stations endangers the regional communities of Queensland by not planning the necessary transformation of our system and our energy economy.

“It is essential that governments are honest as to the need to replace our aging coal power plants, so that we get good planning, build enough renewable replacement energy and create new industries specific to regional economies to the test of future.

“We cannot continue to launch billions of dollars from taxpayers to fail and pollute the coal, and to cross our fingers and hope that it will keep the lights on.”

Gavan McFadzean, director of the climate and energy program at the Australian Conservation Foundation, said that he was “encouraging to see Rio Tinto passing on his merger assets in Gladstone”.

“Crisafulli should stick to the climate and the renewable objectives he has brought to the state elections.

“The market moves. The Queensland government should not remember it. ”