Port Kembla Power Station Awarded Critical State Significant Infrastructure Status

With the scheduled retirement of the Liddell power station in 2023, combined with the phasing out of additional coal-fired generators, the CSSI recognition underlines the critical importance of energy security as NSW faces rising energy demands plus the need to decarbonise the nation’s economy.

The $1.3 billion project is being developed by Australian Industrial Power (AIP), a part of Tattarang’s energy division, Squadron Energy, and will become Australia’s largest dual-fuel (gas and green hydrogen) power station, utilising 21st century technology to produce safe, reliable and lower emission electricity to support the rapidly growing energy needs of NSW.

The power station will have an anticipated capacity of 635 megawatts (MW) and will be capable of operating on up to 50 per cent hydrogen by volume from day one and is projected to operate on 100 per cent renewable energy by 2030.

The power station will provide affordable energy for households and small businesses with anticipated energy generation delivering about 5 per cent of NSW’s peak electricity needs. It will also be NSW’s largest hydrogen capable power station capable of supporting the more rapid integration of renewable electricity into the national electricity market.

Subject to the execution of formal project, environmental and grid connection approvals, the power station could be operational and able to supply electricity directly to NSW customers from the summer of 2024-2025.

Tattarang Chief Investment Officer, John Hartman, said the power station can play a critical role in supporting the NSW government’s commitment towards supporting the development of renewable energy sources whilst ensuring energy security to millions of homes and business across the state.

“Squadron Energy supports the NSW state government’s goal in achieving net-zero emissions by 2050 to meet their commitments under the Paris climate deal, and our objectives are well aligned with that of state governments and the Commonwealth,” Mr Hartman said.

“Our ambitions for this project are significant and we see the initial power station supporting the development of an emerging green energy precinct at Port Kembla, one that underpins future investment to develop industrial uses of and applications for hydrogen or ammonia demand or renewable energy.

“We believe this project can be a catalyst for future development of green hydrogen projects in the Illawarra region.”