Australian Power Projects Under Construction Total More Than $3 Billion

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Researched by Industrial Info Resources Australia (Perth, Australia)--According to Industrial Info's Oceania Project Database, Australia has more than $3 billion of major power projects under construction. The projects vary in size from 2 megawatts (MW) to 420 MW. The largest is the Macarthur windfarm, totalling more than $1 billion in investment value alone. The windfarm is being built in Victoria by AGL Energy Limited (ASX:AGK) (St. Leonards, Australia). AGL is working with Leighton Contractors (Chatswood, Australia) in an engineering, procurement and construction (EPC) contract, and Vestas (Melbourne, Australia) is supplying the 140 wind turbines.

Click on image at right for a breakdown by fuel type of projects currently under construction in Australia.

To meet a government deadline to begin construction in March this year, NewEn Australia Pty Limited (Melbourne, Australia) has completed an early work package for its Salt Creek windfarm. NewEn recently applied to amend its permit and put in larger turbines. The amendment, if approved, will increase wind blade length from 45 meters to 60 meters to allow for the installation of 3-MW wind turbines. Full-scale construction is expected to begin in the fourth quarter of 2012.

Verve Energy (Perth, Australia), with Leighton Contractors (Chatswood, Australia) and GE Energy Australia Pty Limited (Melbourne, Australia), will continue with construction of the 55-MW Mumbida windfarm in Western Australia. The windfarm utilizes 22 GE2.5xl wind turbines, and all output is going to be purchased by the Water Corporation (Leederville, Western Australia) to offset the energy requirement of the southern seawater desalination plant. The windfarm is scheduled to be completed by the end of 2012 and has a total investment value of about $200 million.

Hydro Tasmania (Hobart, Tasmania) recently has begun construction on the 168-MW Musselroe windfarm on Australia's island state. Hydro Tasmania, with contractors Entura (Hobart, Tasmania) (Hydro Tasmania's subsidiary), Consolidated Power Projects (Adelaide, Australia) and Hazell Bros (Burnie, Australia), is currently laying foundations for the 56 wind towers, and expects to begin structural erection of the wind turbines in the fourth quarter of 2012.

Back in Western Australia, Verve Energy and United Group Limited (North Sydney, Australia) are conducting final commissioning for a 200-MW expansion at an existing, 420-MW Kwinana power station. Two GE LMS100 combustion turbine generators have been installed on a site that previously was a coal-fired generator. The two GE LMS100 machines, turbines 2 and 3, are on track to be brought online next month.

In the Northern Territory, Power and Water Corporation (Darwin, Australia) and UGL Limited (North Sydney, Australia) continue work on a 43-MW expansion of the 88-MW Weddell power station. The expansion involves construction and installation of a GE LM6000 simple-cycle combustion turbine and is expected to be brought online in the third quarter of 2012.

The Greenough River solar farm, a 10-MW solar photovoltaic plant, has entered the construction phase in Western Australia. The solar farm is being developed by Verve Energy, GE Energy Financial Services (Sydney, Australia) and First Solar Australia Pty Limited (Sydney, Australia), and has a total cost of about $50 million. It is expected to be brought online in July 2012.

Out of the 17 power projects under construction in Australia, eight are in Western Australia. It is clear that energy demand in Western Australia will continue to increase as energy-intensive industries increase their activity in the region.

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