TEL highlights shortcomings in the Queensland Renewable Energy Zone Model

North Queensland is ready to embrace renewables but there are shortcomings in the government’s plan that could impede future development and investment.

NORTH Queensland is ready to take a leading role in renewable energy generation but Townsville Enterprise says there are shortcomings in the state government’s plan to harness it.

The aim of Queensland Renewable Energy Zones (QREZ) was to improve the coordination of investment in electricity transmission and renewable generation infrastructure, to attract new industries, foster jobs and growth, and achieve Queensland’s target of 50 per cent renewable energy by 2030.

Responding to the government’s QREZ Discussion Paper, the region’s peak economic development body Townsville Enterprise (TEL) highlighted several shortcomings that could seriously impede future development and investment in North Queensland.

TEL chief executive Claudia Brumme-Smith said the well-intentioned plan lacked long-term vision and didn’t consider the progress NQ had made in this sector.

“North Queensland needs to see the targets set through QREZ embody the ambition that our region has in the renewables sector,” Ms Brumme-Smith said.

“The current proposal for QREZ would unlock 500MW of new hosting capacity in North Queensland, however our region’s current project pipeline already far exceeds this target.

“With just three of the projects, Edify Energy’s electrolyser pilot plant, Origin Energy’s hydrogen facility at Lansdown, and Ark Energy renewable hydrogen plant requiring almost ten times that alone.”

She said with nearby projects like Copperstring 2.0, Hells Gates Dam Pumped Hydro, Kidston Pumped Storage and Ark Energy’s hydrogen facility would be critical to help reach the state’s renewable energy target.

TEL recommended that the model consider NQ’s projects under constrution and increase the proposed hosting capacity to at least 3000 MW of generation, identify NQ as a renewable hydrogen hotspot,and recognise significant energy projects such as Copperstring 2.0.

Ark Energy Vice Chairwoman Kathy Danaher, said the North’s QREZ needed to send a strong signals to renewable energy proponents and investors over the long term, with the current design of only 500MW falling short.

She said if a long-term view wasn’t taken with modelling, it was creating a series of hurdles that would make it harder to succeed down the line.

“North Queensland is on the cusp of an industrial transformation as renewable energy, critical metals and hydrogen projects all begin to take shape and come online,” Ms Danaher said.

“As the global energy mix decarbonises, these industries will only grow and their importance to national and international energy supply chains will grow.

“We need to see uniformity and long-term vision across Government if they are serious about places like Townsville unlocking the potential to be a significant exporter of green energy to the world.”

Originally published as TEL highlights shortcomings in the Queensland Renewable Energy Zone Model