StateWest Power to supply Mid-West towns

7/9/01
Energy Minister Eric Ripper today announced an agreement had been signed with StateWest Power Pty Ltd to supply lower cost electricity to Western Power in the Mid-West region.
Mr Ripper said the agreement was worth $60 million over the 10-year contract period.
He said StateWest Power would build small scale diesel fired power stations supplying Meekatharra, Cue, Yalgoo, Wiluna and Sandstone. Natural gas or LPG would substitute for diesel when economical, generating added environmental benefits.
"StateWest Power will also pursue wind power energy generation to meet some of the energy requirements of these towns," he said.
Mr Ripper said StateWest Power would also supply Mount Magnet through a natural gas fired power station.

He said there were significant savings in contracting an independent power producer to generate power for the Western Power distribution network.
"Western Power currently loses $3.7 million a year generating and distributing power in this area. Savings of up to $8 million over 10 years are expected to be achieved by letting this contract, with further cost reductions possible as a result of the use of LPG fuel and wind power."
Mr Ripper said in addition to supplying Western Power with cheaper electricity, StateWest Power would be a competitor for large electricity customers using more than 300,000 kilowatts of power per annum.
He said a steering committee independently chaired by Dr Des Kelly had received 12 expressions of interest in the project and had considered four firm proposals before selecting StateWest Power as preferred electricity supplier.
The proposals were assessed on a value for money basis that included a range of criteria covering community benefit, as well as technical, environmental and commercial issues.
Media contact: Darren Foster - 9222 8788