How a company’s natural gas could be a major player in NSW’s electricity grid

The NSW Government has committed to spending more than $5 billion over four years to develop and operate a natural gas network in the state.

Key points:The Government is investing $1.3 billion in the project to bring power to the state’s towns and citiesNatural gas infrastructure is key to a $1 billion power transmission project to deliver electricity to towns and rural areasNatural gas has been used to power NSW’s transmission system since it was developed in the 1960sNatural gas projects will be able to bring electricity to NSW towns and other locationsThe project will be funded by the NSW Government, but the Government is also using a mix of public and private funding to support the project.

The State Government says the money will be spent on the new transmission lines which will connect towns and urban centres and will deliver power to residents.

The project is also a major step in the State Government’s efforts to diversify the electricity supply and increase the reliability of the grid.

In the last three years, the State has installed 1,000MW of gas-fired power generation, up from 100MW at the end of 2015.

Gas generation has been key to delivering power to towns for more than 30 years and will continue to play a significant role in delivering electricity to regional and regional towns in the future.

The NSW Government is committing $1,000 per tonne of natural gas produced to the project, up to $250 per tonnes.

In a statement, NSW Premier Gladys Berejiklian said the Government was confident that the new infrastructure would deliver a major contribution to the nation’s energy security and a key part of our long-term energy security strategy.

“As a regional and medium-sized state, we have a responsibility to invest in the delivery of reliable, affordable and secure power,” she said.

“This project will deliver the critical infrastructure to ensure this and other critical infrastructure is maintained.”

The NSW Electricity Network, which manages electricity generation, is working with the State government to deliver the transmission line and the gas-fed power grid.

Ms Berejicklian has also committed $20 million in concessional grants to fund the project through to 2022.

“I am delighted to announce that the NSW Energy Minister has committed an additional $10 million in the Budget to support this important project,” she added.

“We know that this project will provide an additional boost to the NSW Electricity network, supporting the NSW Electric Vehicle (EV) and regional electricity networks, as well as creating jobs and generating significant revenue for the State.”

The State’s Government has also announced a $20-million pilot project to test the viability of gas transmission lines in the North-West.

The pilot project will involve the transmission lines being retrofitted with new equipment, including a new network controller.

This will help determine the best use of the existing infrastructure to provide power to communities, the NSW Environment Minister said.

Topics:energy-and-utilities,energy-energy-management,energy,gas-and,coal-fired-power,gasparis-4570,nsw,australiaFirst posted March 09, 2019 11:58:17Contact Ashley LogueMore stories from New South Wales


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