New power station begins construction in Kwinana
28/7/06
The construction of one of the State's biggest power stations began today with Premier Alan Carpenter turning the first sod.
The $400million NewGen Kwinana Power Station will provide 320MW of power to the main South-West Interconnected System (SWIS) grid, using efficient, low-emission gas technology.
Mr Carpenter said NewGen Power Pty Ltd had been the successful bidder of a competitive power procurement process to find the latest entrant to the Western Australian energy market.
"This Kwinana facility is scheduled to enter service in October 2008 and, once in operation, will be one of the two biggest electricity generating stations in the SWIS," he said.
"Compared with the coal-fuelled options offered in the procurement process, this power station will emit half the greenhouse gas emissions and will save one million tonnes of emissions per year.
"The efficiency of the plant is 47 per cent compared with the efficiency of the old Kwinana units of around 31 per cent and will therefore better utilise the natural gas fuel resource."
The Premier said the construction of the new power station would create up to 250 jobs for local contractors and suppliers.
Also, an agreement between NewGen Power and Nyoongar Elders would see the establishment of a scholarship fund for indigenous youth.
"These scholarships to Guildford Grammar School will be available to all indigenous school children and young people in the Perth metropolitan area," Mr Carpenter said.
"The agreement will apply for 10 years and involve annual funding of $20,000."
Energy Minister Francis Logan said the NewGen station marked the finalisation of the former Western Power Corporation's power procurement process to acquire new generation capacity in the SWIS.
"One of the key components in the State Government's electricity reform program was to establish a new market framework and structure to enable new participants to enter the WA electricity industry," Mr Logan said.
"Facilitating competition will encourage lower energy prices and improved customer services.
"NewGen Power has succeeded in positioning itself to take advantage of the Government's successful reform of the State's electricity industry."
Premier's office: (08) 9222 9475
Minister for Energy's office: (08) 9222 8950