Callide unit shut down by “blast” days before QLD LNP reveals life extension for coal plants
The troubled Callide C coal plant has suffered a major incident – described as a "blast" – that will take one unit offline for at least two months.
It comes as the new state LNP government announces a potentially costly life extension to its neighbouring facilities.
The Callide C4 unit was offline for more than three years after an explosion ripped through it in 2021, nearly causing a state-wide blackout.
State-owned CS Energy says the unit will not be back online until the end of May.
The state LNP government announced an extension to the life of the neighbouring Callide B coal units, which were due to close in 2028 but will now stay open for two or three years after that.
Analysts say the life extension could cost more than $400 million a year.
The market operator has pointed out that the unreliability of ageing coal units remains the biggest threat to grid reliability.
But the new LNP government plans to scrap the state’s legislated renewable energy targets, which set an initial goal of 50% by 2030 and through to 80% by 2035.
Federal energy and climate minister Chris Bowen said he had not had time to assess the impact of the LNP’s decision, but made clear that ageing coal plants were a weak link in the grid.