NSW Wallerawang coal power plant to be mothballed, says union

Energy Australia’s Wallerawang Power Station in central western NSW will be mothballed by March next year, according to claims by the Australian Workers Union, confirming a story that RenewEconomy published last month suggesting that the 1,000MW plant was set for closure.

ABC Online is reporting union claims that part of the thermal coal plant has already been shut down, despite Energy Australia guaranteeing earlier this year that the plant – one of two plants the company bought for $160 million – would stay open for four years.

Energy Australia has yet to comment or make an official statement, but the AWU’s western region organiser, Alan Haynes, says staff have been told the facility will be mothballed by next March.

“The staff of Energy Australia and contractors have actually been told that the power station will be mothballed by March 2014, but I don’t believe they’ve made a public announcement at this time,” Haynes said.

“I do believe the power station, part of it, has been shut down,” he said. “Well there’s two units there that actually generate electricity and I’m not a total expert on this, but yeah there’s two units there and one of them, 50 per cent of the power station has been shut down.

Energy Australia bought the power station and another at Mount Piper from the New South Wales government in July, for $160m. According to Haynes, around 100 staff and contractors are employed at the facility.