Revealed: Qld’s new coal power plan signals major energy policy shift

Treasurer David Janetzki will today reveal coal will power Queensland until at least 2046, in a dramatic $2.1bn energy reset that abolishes Labor’s “dishonest” plan.

Treasurer and Energy Minister David Janetzki. Picture: Liam Kidston

Coal will power Queensland until at least 2046, with no closure date on any state-owned generator under the new government’s landmark energy road map.

Treasurer and Energy Minister David Janetzki will on Friday reset the lifespan of Queensland’s five state-owned coal-fired generators and abolish Labor’s “dishonest” plan to close them by 2035.

Mr Janetzki will detail the technical lifespan of each coal-fired generator, but the Queensland Energy Roadmap will give the government power to extend their operation if the grid needs supply.

The road map also returns North Queensland’s CopperString transmission project to its original scope, making it $2.1bn cheaper and finished by 2032

Under the Queensland Energy Roadmap Callide B coal-fired power station is expected to be the first to close, with its technical lifespan ending in 2031.

However the road map allows for the government to extend any coal unit’s lifespan based on system demand, the power station’s integrity and economic viability.

Mr Janetzki’s decision to keep the nation’s youngest coal-fired power station fleet operating longer will put pressure on his government’s commitment to reduce Queensland’s emissions by 75 per cent by 2035 and reach net zero by 2050.

Mr Janetzki told The Courier-Mail his energy road map would provide certainty and reliability in the energy debate.

Premier David Crisafulli this week. Picture: Evan Morgan

“Coal will remain part of the state’s generation mix for decades and the former Labor government’s decision to close coal units by 2035 regardless of their condition is officially abolished today – ultimately, that position was unrealistic, captured by ideology and fundamentally dishonest,” he said.

“This is a sensible and pragmatic plan built on economics and engineering not ideology.

“It will meet Queensland’s energy needs and is good news for tens of thousands of Queensland jobs, communities, the system and consumers – it also provides investment certainty to private sector gas and renewables investors.”

Mr Janetzki’s Queensland Energy Roadmap is expected to be criticised by green groups and experts who have called for the end of coal in Queensland by 2035.

Queensland Conservation Council Director Dave Copeman said the road map was designed to appease the LNP’s right.

“This Energy Road Map is designed to pander to fossil fuel-loving party members and donors, it’s not the sensible plan ordinary Queenslanders need to manage and replace Queensland’s struggling coal-fired power stations,” he said.

Director of Queensland Conservation Council Dave Copeman. Picture: Lachie Millard

“The Crisafulli Government is too scared to be upfront with Queenslanders that coal keeps failing and won’t be around forever.

“The Queensland LNP’s moves to axe renewable energy and storage projects, bank on expensive gas and keep Queenslanders chained to failing coal power stations is a recipe for higher power bills and less-reliable energy.”

Coal Australia Chief Executive Officer Stuart Bocking labelled the decision to extend coal-fired generators as a “commonsense” approach.

“This is the energy transition households, industry and coal communities have been looking for, transitioning energy policy from fantasy to reality,” he said.

“This brings Queensland into line with global leaders who are increasingly realising and promoting that coal is the cheapest, most efficient and reliable form of energy and recognises the huge leaps in clean coal technology.”

“This decision of the Queensland Government ensures it has all the flexibility it needs to keep the Queensland economy strong by extending the life of government-owned generators for as long as necessary based on demand and the power station’s structural integrity and economic viability.”

Grattan Institute energy and climate change program director Tony Wood last month tipped Queensland’s coal-fired power stations would close in the 2030s, with any extension likely to deliver more breakdowns and higher maintenance costs.

The plan will also put pressure on the federal government’s target of powering Australia’s energy grid with 82 per cent renewable energy by 2030.

It is understood a firm end date on coal-fired power was included in Mr Janetzki’s early versions of the Queensland Energy Roadmap, but it was removed following internal criticism from government MPs.

An end date on coal was intended to provide renewable energy proponents with certainty about when additional energy supply would be needed.