CS Energy signs 10 year agreement with Kennedy Energy Park | RenewEconomy

CS Energy signs 10 year agreement with Kennedy Energy Park

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Another page in Queensland’s renewable energy boom story has been turned with Queensland Government-Owned generator – CS Energy – entering a 10 year-agreement with the 60 megawatt Kennedy Energy Park.

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Another page in Queensland’s renewable energy boom story has been turned with Queensland Government-Owned generator – CS Energy – entering a 10 year-agreement with the 60 megawatt Kennedy Energy Park near Hughenden in North Queensland.

Treasurer Curtis Pitt said the agreement means CS Energy will purchase the electricity output and a proportion of the large scale generation certificates from the planned hybrid generation facility.

“The Kennedy Energy Park is an innovative grid connected wind, solar and storage hybrid project that will provide enough electricity to power more than 30,000 homes,” Mr Pitt said.
“This $150 million project is part of a wave of renewable energy investment occurring in North Queensland that will revitalise communities and create jobs for the future.

“Since January 2016, Queensland has seen an unprecedented level of renewable energy investment activity in North Queensland, with over 830 megawatts of large-scale projects commencing construction or finalising commercial arrangements.”

Minister for Energy, Biofuels and Water Supply Mark Bailey said the Palaszczuk Government had kick started the renewable energy boom after not one large scale renewable energy project was built under the previous LNP government.

“Tim Nicholls and the LNP are continuing to stick their head in the sand with their anti-renewables stance – choosing instead to back a dirty new coal-fired power station that will be bad for bills and bad for the environment,” he said.

“Under the Powering Queensland Plan and Powering North Queensland Plan, the Palaszczuk Government is committed to growing the state’s uptake of renewable energy,” Mr Bailey said.
“As at 30 August, 2017 – there are 20 financially committed large scale renewable projects in the pipeline state wide worth $3.4 billion, with a generating capacity of 1781 MW, supporting 2,773 construction jobs.

“Of those financially committed projects, 14 are in North Queensland and involve investment of nearly $2 billion. They have a generating capacity of 1001 MW and are supporting 1,873 construction jobs.

“The Palaszczuk Government is committed to achieving a 50 percent renewable energy target by 2030 which has the potential to deliver broad benefits to the economy, particularly in regional Queensland.”
Kennedy Energy Park will comprise a 15 megawatt (MW) solar photovoltaic plant, 43.5 MW wind plant and 2MW/4MWh of battery storage and is being developed by Windlab and Eurus Energy Holdings.

This innovative approach of combining world class wind and solar resources, which peak in their generation at different times of the day, with battery storage will allow the Kennedy Energy Park to supply energy to the grid even when the sun doesn’t shine or the wind doesn’t blow.

CS Energy CEO Martin Moore said the agreement was part of CS Energy’s strategy to facilitate renewable energy development in Queensland while continuing to provide reliable baseload electricity through its existing portfolio of power stations.

“CS Energy is looking to the future and making strategic investments that will provide a sustainable future for the company and support Queensland’s transition to a clean energy future,” Mr Moore said.

Kennedy Energy Park Director Rob Fisher welcomed the agreement with CS Energy.
“The agreement with CS Energy means that this industry leading project can commence construction later this year and be generating in 2018,” he said.
“The project will prove up many key concepts and technologies necessary for the ongoing rollout of high penetration renewable energy around the world.”

The Kennedy Energy Park will connect to the national grid via existing transmission infrastructure, with a maximum export capacity of 50 MW.

The project expects to be fully operational in the second half of 2018 and is a catalyst project for the much larger Kennedy Wind Farm, which will form a key part of the Clean Energy Hub under the Powering North Queensland Plan.

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  1. RobertO 3 years ago

    Abbott said “Let the COALition be the party for Baseload and the Labour Party be the party for renewables. With 1001 MW in FNQ why would they want a Coal Power station al all? And even if this 1001 MW is only 32% (some wind and some solar) capacity possibly due before end of 2019, and there will be more in 2020 and beyond. We have elected some very stupid people. Coal will not be ready until it get through EPA Courts and about 5 to 7 years after that. I hope a carbon tax comes back (and if we are not careful the rest of the world may impose it on us). Adani is another mindfield wait to explode in our pockets (how much will we have to pay?)!

    • Joe 3 years ago

      Carbon Tax ? We never had one. We had an ETS with a fixed price for 3 years and then to floating price but that was repealed by dumbass Abbott / Liberals. China is now going ahead with a National ETS. As China is the world’s consumer goods factory it is not hard to foresee them imposing a ‘carbon tariff’ on imports from countries that don’t themselves have an ETS or some other price mechanism on carbon emissions. And oh the irony of it all. China a communist country introducing a market based mechanism to tackle carbon emissions as opposed to Australia, a capitalist / market based economy, dumping The ETS that Gillard / Labor introduced in 2012. Talk about dumbass Abbott / Liberals.

    • Chris Drongers 3 years ago

      Qld is oversupplied with relatively young coal-fire plants, has limited ability to export power for profit to NSW or Vic, and is building 10% more capacity in large renewables alone this year.

      No bank will lend to build a new coal plant under these conditions, unless backed by a government guarantee (even then Australian governments have reneged on a few large government project calling into doubt the value of any government ‘guarantee’).

      My concern is that the soccer mums and sweat-soaked tradies of the north will wake in a few months to the news that renewables are the obvious choice on cost/reliability/environmental grounds and, unfairly, that they were stupid to ever believe politicians telling them otherwise.

      This cynical playing of the trust of voters in their elected representatives is inexcusable.

      A few points
      – the Kennedy Energy Park (wind + solar + storage) has an anticipated capacity factor of 70%!!!!!! http://www.kennedyenergypark.com.au/news/windlab-announces-kennedy-energy-park
      “The facility, to be located near Hughenden, around 300km inland for Townsville, would deliver up to 80 per cent of local electricity demand – and at a capacity factor of around 70 per cent – at rates cheaper than a new coal plant.” estimated power cost for Kennedy is circa $100/MWhr, vs $133 for a new coal plant

      “Bloomberg New Energy Finance is the global leader in estimating the cost of new power plants. Its research puts the Levelised Cost of Energy (LCOE) (which accounts for the fact that the wind doesn’t always blow nor the sun shine) of a new ultra-supercritical coal-fired power station at $A133 per megawatt hour (MWh); significantly higher than the LCOE of new-build wind at $A57/MWh, solar $A71/MWh or combined-cycle gas at $A74/MWh. Wind farms are being built in Australia with an unsubsidised LCOE below $55/MWh. “

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