NSW coal region councils join forces for huge renewable energy mandate, Japans pivot to renewables will kick Australian exports right in the thermals. Renewable energy boom could force coal power to close early, says new Mr . [1], In March 2019 Prime Minister Scott Morrison announced that Delta Electricity's proposal had been shortlisted but provided no details.[2]. Correspondence obtained through an earlier FOI request shows that Delta Electricity and the department undertook negotiations throughout 2020, ahead of funding being awarded in the federal budget. Local health professionals have analysed government health data and found shocking evidence of high cancer rates among residents in suburbs surrounding the power station and its coal ash dam each year an extra 107 cancer cases and 58 cancer deaths above the national average. Help using this website - Accessibility statement, Alinta Energys Hong Kong-based owner Chow Tai Fook Enterprises is understood, EnergyAustralias owner CLP Group, also based in Hong Kong, is in the market, AGL Energy is struggling to determine its forward strategy. Delta Electricity turns down $8.7 million grant for Vales Point Currently the sale is under investigation by the Foreign Investment Review Board (FIRB) with its decision to be announced in mid-October 2022. As outlined in the budget speech and subsequent announcement, the budget allocation has a funding cap of $8.7m, which is below that which Delta requested, leaving a substantially higher quantum of funding by Delta, Delta said in the letter. The generation table uses eljmkt nemlog to obtain generation values for each year. The power station doesnt currently have a valid air pollution licence. Eraring closure has no impact on future of Vales Point As previously revealed by RenewEconomy, Delta told the Department of Industry, Science, Energy and Resources in December that it would not proceed with a formal application for $8.7 million in grant funding that had been set aside in the 2020 federal budget. We do not want this in foreign hands. Wholesale power prices are meanwhile several times higher than the $40-$45 megawatt-hour range that prevailed when he and billionaire partner Mr Flannery bought the generator. It just staggers me that Australia is so far behind the rest of the world which is switching to renewables while were still talking about projects like this, Ms Wynn said. A licence granted last year exempts the operators of the Vales Point plant, recently sold to Sev.en Global Investments, from nitrogen oxide pollution standards. We already have really low NOx emissions, lower than Bayswater and Mt Piper, and we are doing operational changes, and we believe that we will meet whatever the requirements are going to be.. 287 Elizabeth Street The other legacies of coal power include environmental and community impact that cannot be ignored as the closure of power stations take place in NSW. The energy and materials can be provided by either renewable power and water, orcoal and gas. Sev.en has shown a clear interest in energy businesses in Australia, ensuring that it is well-placed to provide reliable generation through the energy transition, he said. Brisbane-based energy consultant Trevor St Baker and coal baron Brian Flannery. Significant places & items of interest in the, New South Wales Environment Protection Authority, "NSW government sells Vales Point power station for $1m", Australian Financial Review (Subscription Required), "Vales Point power station privatisation put before auditor-general", "Plunging energy prices sink Vales Point power station", "St Baker and Flannery cash in on Vales Point coal plant in sale to Czechs", "Vales Point Power Station emission exemption application open for public comment", "New Vales Point pollution controls don't go far enough for environment groups", "Environment & Heritage | POEO Licences, Application and Notice Detail", "Strict new operating limits for Vales Point Power Station from 1 January", Electricity Commission of New South Wales, EnergyAustralia (state government enterprise), Sydney County Council (Sydney Electricity), List of power stations in New South Wales, Newcastle and Suburban Co-operative Society, Walsh Island Dockyard & Engineering Works, https://en.wikipedia.org/w/index.php?title=Vales_Point_Power_Station&oldid=1112958126, Coal-fired power stations in New South Wales, All Wikipedia articles written in Australian English, Infobox mapframe without OSM relation ID on Wikidata, Thermal power station articles using Infobox power station, Articles with unsourced statements from December 2021, Creative Commons Attribution-ShareAlike License 3.0, New England County Council (New England Electricity), North West County Council (North West Electricity), Northern Riverina County Council (Northern Riverina Electricity), Northern Rivers County Council (Northern Rivers Electricity), Peel-Cunningham County Council (PCCC Electricity), Shortland County Council (Shortland Electricity), Southern Mitchell County Council (Southern Mitchell Electricity), Southern Riverina County Council (Southern Riverina Electricity), Southern Tablelands County Council (Southern Tablelands Electricity), This page was last edited on 29 September 2022, at 00:23. While the Chinese government has signalled it will restrict coal lending, the country has yet to formally limit its investment in coal plants, the IEEFA report said. We oppose this sale as it is NOT in the local, state or national interest: He noted the deal includes a coal mine that supplies the 1320-megawatt Vales Point generator and that the plant is in good order. Delta Electricity, which is jointly owned by Trevor St Baker and Brian Flannery, announced early in 2019 that it was seeking support for the proposal from the Australian Government's Underwriting New Generation Investments program. Strict new operating limits for Vales Point Power Station from 1 January @ Copyright RenewEconomy 2020. NSW government sells Vales Point power station for $1m Coal is carbon. Vales Point provides 11% of NSW electricity. Mr Kean will say the region has strong potential for green hydrogen, fuelled by renewable power sources, due to its access to existing energy infrastructure, sustainable water sources, ports and logistics. Vales Point Power Station sale completed December 18, 2022 by Merilyn Vale Sev.en Global Investments has announced it has completed its acquisition of Delta Electricity Pty Ltd, the parent company of the Vales Point Power Station and the Chain Valley Colliery. Read our Privacy Policy. It has two steam turbines, with a total generating capacity of 1,320 MW (1,770,000 hp) of electricity . NSW is facing a potential shortage of reliable power as coal power stations shut down, with the closure of AGL Energy's Liddell plant in the Hunter Valley in April 2023 set to be followed. With only an approximately seven-year operating life now remaining, and a very weak wholesale electricity forward curve, we believe Yallourns permanent exit may still be even earlier than now planned, Goldman Sachs analyst Baden Moore said. Mr St Bakers announcement came as the Institute for Energy Economics and Financial Analysis (IEEFA) released a report on Monday showing Chinese finance is increasingly stepping in as the lender of last resort for coal plants, as other banks take active measures to restrict their funding. Energy analysts said the renewables-led collapse in average prices across the nations electricity grid was so severe that the 1480-megawatt facility supplying up to 22 per cent of the states power could close even sooner than expected. Strictly Necessary Cookie should be enabled at all times so that we can save your preferences for cookie settings. Its been a double whammyin the last couple of days first Wallarah 2, which is the Central Coasts Adani, and now this, another coal-fired power station proposal., Read more:Department of Planning gives green light for Vales Point solar energy project. A longstanding advocate of the need for round-the-clock dispatchable coal power, Mr St Baker said his decision to sell was more to do with wanting to redirect capital into his interests in electric vehicle charging than in any diminished conviction about the continuing need for coal-fired power as the transition to low-carbon power progresses. The only way to educate irresponsible people is to hit them in the pocket, Central Coast Council will amend planning controls to make way for a five-storey development on six consolidated parcels of land at 43-46 The Esplanade, Ettalong Beach, despite receiving 95 submissions, Parking at Gosford and Wyong Hospitals will be free for patients, staff and visitors if either the Labor party or the sitting Liberal-National parties are elected to Govern on March, Copyright Coast Community News 2022 - Phone 4325 7369, Free hospital parking says Labor, Libs and Nats post election, Umina Beach singer eliminated from Australian Idol, Mariners appoint A-League Womens head coach Emily Husband, Council amends planning controls to make way for five-storey development at Ettalong, Labor puts people with disability at core of its agenda, Councils development application blowout woes, Council set to sell commuter/shopper carparks at Woy Woy, on "Eraring closure has no impact on future of Vales Point", Little being done to protect health of northern residents, Council slated for misleading statements over boarding house, Major parties outline plans to take the region into the future, Detached houses decline in favour of multi-unit abodes, Government funding for new cabins at two holiday parks, Review of health care services at Long Jetty centre, The go-to guide for community services across the Coast, Special exhibition brightens hospital corridors. Victoria's potential crunch comes with the 2028-29 closure of the Yallourn power plant in the. Level 7 Energy entrepreneur Trevor St Baker and coal investor Brian Flannery will sell their Vales Point coal-fired power station in NSW for several hundred million dollars to a private Czech firm in what represents a further upheaval in the fast-changing sector. As of 2021, the Vales Point Power Station emits more toxic nitrogen oxide pollutants than allowable under the NSW Protection of the Environment Operations (Clean Air) Regulation 2021 in order to continue to legally operate (or otherwise cease operating), the operator applied for an exemption under its licence 761,[8] which was granted on 15 December 2021 with a reduction variation and additional conditions imposed by the New South Wales Environment Protection Authority. (Delta Electricity have also flagged the possibility of the proposed plant being built on the the site of the nearby Liddell power station, which is slated for closure in 2022. Vales Point Power Station is one of two operating coal fired power stations on the shores of Lake Macquarie, New South Wales. The Liddel power station in the NSW Hunter is already set to close in 2023, but the report said at least one more closure in the state is likely before 2025. This field is for validation purposes and should be left unchanged. Follow us on LinkedIn, Facebook or Instagram. Vales Point Power Station will have its limits on nitrogen oxides (NOx) emissions cut by up to 35% to meet new national air quality standards in the local community, and will have to adhere to strict new monitoring and reporting conditions from next year. Leading Edge Energy is an energy brokerage firm in Australia that specialises in energy cost reduction, solar and storage procurement, electricity and natural gas-use monitoring and reporting for commercial and industrial clients. Energy Australia to close Yallourn power station early and build 350 But it also represents a significant expansion of Sev.en in Australias coal power sector beyond its interest in Queenslands InterGen, with the suggestion that further investments in the domestic energy sector may be on the cards. A spokesperson for Delta Energy said there were no plans for Vales Point to go the same way as Eraring. Delta confirmed that it had terminated contracts with relevant suppliers for the turbine upgrades. Andy Saunders 1 year ago John John 1 year ago Andy Saunders 1 year ago In 2022, an air pollution exemption granted to Vales Point power station by the NSW EPA was successfully challenged by environment and legal groups, who argued that community health impacts of toxic air emissions - including childhood asthma and premature deaths were - being ignored, pointing out that Vales Point routinely breach NSW air protection laws. When queried, the department told RenewEconomy that the funding set aside in the budget was considered to represent value for money. The EPA ruling has fuelled concerns that NSW may face an energy supply crunch in the coming years as coal swiftly exits the market. who bought Vales Point power station from the NSW Government for a song in 2015, The power station offloaded by the NSW Government for $1 million suddenly has a future, clean up a huge part of the power stations ash dam, a dramatic increase in fine particle pollution, Department of Planning gives green light for Vales Point solar energy project, NSW Ports labels Newcastle container terminal 'white elephant' in parliamentary inquiry submission, Former professional surfer Jake Sylvester rescues swimmer at Merewether Beach, Wollombi Music Festival bans Wicked camper vans, National Farmers Federation and Agriculture Minister slam Aussie Farms interactive map of Australian properties, Train replica gives Newcastle something to choo on, Jets captain questions referee calls in controversial loss to Wellington, Police seek help to find 59-year-old missing from West Wallsend, Four assaulted in armed home invasion by five men wearing balaclavas, Toohey's News: Twin Towers key to Knights' rebuild, Terms and Conditions - Digital Subscription, Terms and Conditions - Newspaper Subscription. Eraring power station closure: NSW taxpayers could foot part of the The proposed plant would adjoin the existing 1320 MW Vales Point power station owned by Delta Electricity. Its like selling an unregistered car. Sign up to Guardian Australia's Morning Mail, Our Australian morning briefing email breaks down the key national and international stories of the day and why they matter. Vales Point power station, also referred to as the Vales Point B power station, is a 1,320-megawatt (MW) coal-fired power plant in New South Wales, Australia. In addition to its stake in InterGen, which has interests in the Millmerran and Callide power stations in Queensland, Sev.en owns four gas-fired generators in the UK and one of the largest metallurgical coal producers in the US, called Blackhawk Mining. These four units were known as 'A' Station, its capacity of 875 MW being the highest in New South Wales at the time. In the context of the confluence of the above factors, Delta will not pursue the Vales Point power station efficiency project. The WHO annual guideline for PM2.5 of 5 ug/m3 is breached across the Sydney Greater Metropolitan Area, and coal power station NOx is a significant contributor to this pollution. It also followed a dramatic increase in fine particle pollutionconfirmed by Vales Points own data in 2017. 1 to 3) and one of 275 MW supplied by Associated Electrical Industries (unit no. the Liddell plant is owned by AGL which has rejected a proposal to sell the site as they have their own plans to redevelop the site. Proponents of renewable energy and some business leaders haveraised concerns that financial supportfor hydrogen production powered by fossil fuels could artificially prolong the operation of the nations ageing fleet of coal-fired power stations, or create demand for gas which would be better directed to wind and solar projects. Delta said it did not make financial sense to proceed with the upgrade with the smaller grant amount, given ongoing uncertainty in the energy market and the looming closure of the power station, currently slated for 2029. Vales Point Power Plant given two years to cut emissions "Hundreds of thousands of people living near Australia's largest power station do not know what they are breathing," the report states. In a letter obtained by RenewEconomy, Delta told the department that the funding was below the amount of funding the company had requested and left the company carrying too much of the cost. Vales Point Power Station Submission Guide - Nature Conservation It has two steam turbines, with a total generating capacity of 1,320 MW (1,770,000 hp) of electricity. Key points: Energy Australia will build a 350 megawatt, utility-scale battery in the Latrobe Valley by the end of 2026 The giant coal-fired Yallourn plant has been operating for 47 years Mr St Baker, who bought Vales Point power station from the NSW Government for a song in 2015 and made $113 million in profit on the deal in 2017-18, has outlined plans for a new plant at Liddell or Vales Point as part of a $6 billion proposal for three coal-fired power stations in NSW and Victoria. The sale reportedly netted Delta $200m despite the company paying only $1m to buy it from the NSW government in 2015, prompting the states opposition to accuse the Coalition of having dudded taxpayers over the sale. The deal comes amid an extended period of turbulence in baseload power generation in the National Electricity Market as cheap renewable energy flowing on to the grid makes it harder to operate baseload coal plants profitably, even amid surging prices for wholesale electricity. Future Sooner, local residents and health professionals are deeply concerned if this sale goes ahead it will extend the life of this filthy, old, polluting coal-fired power station and prolong the damage that is already affecting our health, said Gary Blaschke OAM, resident of Lake Munmorah, cancer sufferer and Future Sooner spokesperson. Delta Electricity knocked back in February a $9 million government grant to upgrade one of the plants turbines. Australia is positioning itself to tap the potential boom in hydrogen fuel, if its adopted globally as a replacement for petroleum. Invoice Validation & Network Tariff Analysis. Vales Point was originally equipped with three turbo-alternators of 200 MW supplied by the English Electric (unit nos. The pair, who famously bought the generator for $1 million from the NSW government in 2015 and then revalued it at $722 million two years later, agreed to sell their respective 50 per cent stakes in Delta Electricity, the owner of the plant, to the family company Sev.en Global Investments. Mr St Bakers proposal was also raised as the Federal Government approved the controversial Wallarah 2 underground coal mine north of Wyong, leading critics to warn the government could kiss goodbye to the Liberal-held Central Coast seat of Robertson because the community strongly opposes amine in the regions water catchment. Munmorah power station - Global Energy Monitor List of coal-fired power stations in Australia - Wikipedia A Morrison government plan to fund upgrades at the Vales Point coal fired power station fell through after the government offered insufficient funding for the upgrades to take place, with owners Delta Electricity warning the plant could close early, documents obtained under FOI show. Vales Point was commissioned in 1978, and its two turbines generate 1,320 megawatts of electricity, accounting for 11 percent of NSW's energy. Carbon Monitoring for Action estimates that Vales Point emits 9.32 million tonnes of greenhouse gases per year from burning coal. St Baker said that financing the projects would not be sought from Australian banks but instead would rely solely on international lenders. and Evie Networks, among other energy interests. Eraring power station - Global Energy Monitor He dismissed the suggestion that Vales Point would close earlier than 2029, particularly given the impending closure of its near neighbour, Liddell Power Station, in 2023. On Tuesday Kean said he was still expecting the plant to close by 2029, saying the state had plans in place to ensure that the capacity of Vales Point is replaced by that time. Records date back to 2011. But Tom Allen, director of Australian energy and utilities research with UBS, said the markets focus would be on the long-term viability of black coal-fired generators in NSW, particularly amid the NSW governments plan to ramp up renewable energy investment, which will place prices under further pressure. Granted in December last year, the exemption allows the operators to emit a higher level of nitrogen oxide than usually allowable under clean air regulations. It has been announced that the ageing Vales Point coal-fired power station on the Central Coast, NSW is to be sold by the Australian Delta Energy to the Czech fossil fuel investment company Sev.en, owned by billionaire Pavel Tyka. The EPA also stipulated that Delta must investigate, mitigate and report on the causes of NOx emissions when the 1320-megawatt generator operates at less than half its capacity. The turbines were removed in 1997; the boilers and buildings were demolished between 201114. It has previously been reported that the EPA briefed the states environment minister, James Griffin, over concerns about the exemption, as well as seeking approval to pay a senior barrister for advice on the legality of the exemption. 15% of Wyong and 11% of Gosford population suffer from 3 or more chronic health conditions including asthma, cardiovascular disease and diabetes, compared to 5% or less across Sydney. It is acidic, has an unpleasant odour and is highly corrosive. Federal Budget 2020: 'Scandalous' Vales Point coal project slammed [6], Carbon Monitoring for Action estimates this power station emits 9.32 million tonnes of greenhouse gases each year as a result of burning hydrocarbon fuels.[7].