This article is from the source 'guardian' and was first published or seen on . It last changed over 40 days ago and won't be checked again for changes.
You can find the current article at its original source at https://www.theguardian.com/australia-news/2017/sep/27/agl-says-it-can-replace-liddell-with-renewables-gas-power-and-batteries
The article has changed 4 times. There is an RSS feed of changes available.
| Version 0 | Version 1 |
|---|---|
| AGL says it can replace Liddell with renewables, gas power and batteries | AGL says it can replace Liddell with renewables, gas power and batteries |
| (4 months later) | |
| Annual general meeting told of plans for ageing power station, including reiteration of reasons it should be decommissioned | |
| Michael Slezak | |
| Wed 27 Sep 2017 04.52 BST | |
| Last modified on Wed 27 Sep 2017 05.53 BST | |
| Share on Facebook | |
| Share on Twitter | |
| Share via Email | |
| View more sharing options | |
| Share on LinkedIn | |
| Share on Pinterest | |
| Share on Google+ | |
| Share on WhatsApp | |
| Share on Messenger | |
| Close | |
| AGL has proposed to replace its ageing Liddell power station with renewables, batteries, gas power, upgraded coal power and demand response. And the company again outlined a laundry list of problems with the federal government’s request for it to extend the plant’s life or sell it. | AGL has proposed to replace its ageing Liddell power station with renewables, batteries, gas power, upgraded coal power and demand response. And the company again outlined a laundry list of problems with the federal government’s request for it to extend the plant’s life or sell it. |
| At AGL’s annual general meeting on Wednesday its chief executive, Andy Vesey, outlined the “broad architecture” of a plan to replace the eight terawatt hours of energy produced by Liddell each year (a terawatt is 1,000 gigawatts), as well as the 1,000MW of standing capacity the plant maintains. | At AGL’s annual general meeting on Wednesday its chief executive, Andy Vesey, outlined the “broad architecture” of a plan to replace the eight terawatt hours of energy produced by Liddell each year (a terawatt is 1,000 gigawatts), as well as the 1,000MW of standing capacity the plant maintains. |
| Thousands of megawatts of renewable generation could be built by 2022, Vesey said, along with well over 1,000MW of firm, flexible and dispatchable generation, built with a range of technologies. | Thousands of megawatts of renewable generation could be built by 2022, Vesey said, along with well over 1,000MW of firm, flexible and dispatchable generation, built with a range of technologies. |
| He indicated that, while the company had bowed to prime minister Malcolm Turnbull’s request to consider keeping Liddell open beyond its 50-year lifetime, such a proposal was not viable. | He indicated that, while the company had bowed to prime minister Malcolm Turnbull’s request to consider keeping Liddell open beyond its 50-year lifetime, such a proposal was not viable. |
| Vesey said, “it’s our obligation to you, our shareholders, to address carbon risk through the transformation of our business,” and went on on to say AGL had been assessing options to replace Liddell since April 2015. | Vesey said, “it’s our obligation to you, our shareholders, to address carbon risk through the transformation of our business,” and went on on to say AGL had been assessing options to replace Liddell since April 2015. |
| Vesey suggested 750MW of gas generation could be built by the company, some of it on the site of Liddell, taking advantage of the existing water infrastructure and grid connection. | Vesey suggested 750MW of gas generation could be built by the company, some of it on the site of Liddell, taking advantage of the existing water infrastructure and grid connection. |
| It would also consider gas developments at Newcastle and “elsewhere in NSW”, Vesey said. | It would also consider gas developments at Newcastle and “elsewhere in NSW”, Vesey said. |
| Vesey specifically flagged gas reciprocating engine technology as part of the solution. That involves small-scale engines that can be distributed around the electricity grid. They work like roughly like car engines, with the burned gas driving pistons. They are not as efficient in their use of gas as some other technology but can be switched on very quickly, allowing them to be used only when absolutely needed. | Vesey specifically flagged gas reciprocating engine technology as part of the solution. That involves small-scale engines that can be distributed around the electricity grid. They work like roughly like car engines, with the burned gas driving pistons. They are not as efficient in their use of gas as some other technology but can be switched on very quickly, allowing them to be used only when absolutely needed. |
| Since those units are small, they can be built progressively, starting as soon as 2019, Vesey said. | Since those units are small, they can be built progressively, starting as soon as 2019, Vesey said. |
| Vesey proposed 250MW of battery storage be built, including grid-scale batteries at Liddell as well as residential batteries. | Vesey proposed 250MW of battery storage be built, including grid-scale batteries at Liddell as well as residential batteries. |
| He proposed 100MW could be created by “demand response solutions”, which would include “orchestration technology to enable customers to participate in and benefit financially from demand response”. | He proposed 100MW could be created by “demand response solutions”, which would include “orchestration technology to enable customers to participate in and benefit financially from demand response”. |
| Exactly what that would look like was not elaborated on, but it could include ways for customers to be paid to turn off some appliances at times of high demand, or better integrating roof-top solar into the grid. | Exactly what that would look like was not elaborated on, but it could include ways for customers to be paid to turn off some appliances at times of high demand, or better integrating roof-top solar into the grid. |
| In what appears to be an “all of the above” strategy, Vessey said 100MW of capacity could be added to Bayswater coal power station, which sits next to Liddell. | In what appears to be an “all of the above” strategy, Vessey said 100MW of capacity could be added to Bayswater coal power station, which sits next to Liddell. |
| Finally, Vesey pointed out the company had 653MW of renewables already under construction at its Coopers Gap and Silverton wind farms, as well as another 3,000MW of renewables in its development pipeline. | Finally, Vesey pointed out the company had 653MW of renewables already under construction at its Coopers Gap and Silverton wind farms, as well as another 3,000MW of renewables in its development pipeline. |
| Vesey said replacing the generation of Liddell was in AGL’s interest, since it was used to manage the price of electricity to its 2.2m electricity customers, as well as fulfil its contracted supply to the Tomago aluminium smelter near Newcastle. | Vesey said replacing the generation of Liddell was in AGL’s interest, since it was used to manage the price of electricity to its 2.2m electricity customers, as well as fulfil its contracted supply to the Tomago aluminium smelter near Newcastle. |
| He said the repurposing of Liddell would offer “high quality jobs for decades to come” to existing employees. | He said the repurposing of Liddell would offer “high quality jobs for decades to come” to existing employees. |
| Before Vesey’s presentation AGL’s chairman, Jerry Maycock, gave yet more reasons why keeping Liddell open, or selling it, would not make sense. | Before Vesey’s presentation AGL’s chairman, Jerry Maycock, gave yet more reasons why keeping Liddell open, or selling it, would not make sense. |
| “While it may be technically possible to extend the life of the power station, the costs of doing so in a way that ensures that the plant is even moderately reliable are certain to be substantial,” Maycock said. | “While it may be technically possible to extend the life of the power station, the costs of doing so in a way that ensures that the plant is even moderately reliable are certain to be substantial,” Maycock said. |
| He also outlined how the sale of the plant would be difficult, since it would need to be “unbundled” from AGL’s electricity supply contracts, and from the physically adjacent and connected Bayswater power plant, also owned by AGL. | He also outlined how the sale of the plant would be difficult, since it would need to be “unbundled” from AGL’s electricity supply contracts, and from the physically adjacent and connected Bayswater power plant, also owned by AGL. |
| He said other important considerations included potential changes to the law that could affect old power stations like Liddell, risks from new disruptive technologies, and business obligations “including meeting AGL’s share of Australia’s greenhouse gas technologies”. | He said other important considerations included potential changes to the law that could affect old power stations like Liddell, risks from new disruptive technologies, and business obligations “including meeting AGL’s share of Australia’s greenhouse gas technologies”. |
| Energy | |
| AGL | |
| New South Wales | |
| Business (Australia) | |
| Energy | |
| (Environment) | |
| Gas | |
| news | |
| Share on Facebook | |
| Share on Twitter | |
| Share via Email | |
| Share on LinkedIn | |
| Share on Pinterest | |
| Share on Google+ | |
| Share on WhatsApp | |
| Share on Messenger | |
| Reuse this content |