Labor’s wave power dream encounters rough waters

A wave energy project off Albany was part of a renewables vision, but the wild ocean is proving difficult to harness.

Neil Howitt at Sharp Point, Albany, had hoped for a business boost for his electrical and plumbing firm. Picture: Colin Murty

Winds roaring off the Southern Ocean at Albany have become a steady source of power in a town that believes 100 per cent of its power will come from renewable sources within seven years.

A wave-energy project off the cliffs at Sharp Point was part of that vision, but Albany’s wild ocean is proving difficult to harness. Premier Mark McGowan promised from opposition that Labor would pour $19.5 million into Albany’s wave farm and an accompanying research centre. This would create hundreds of jobs, he said. But in state parliament yesterday, his government acknowledged that, so far, 16 people had been employed on the Carnegie wave-energy project. Of those, 15 are in Perth, 400km from Albany, and one is in Britain.

The West Australian Labor government’s plan to give $15.75m to an ASX-listed firm to build a wave farm 20 minutes’ drive west of Albany has not gone smoothly. Last October, the state government gave Carnegie a ­revised-down milestone payment of $2.6m. At the time, WA ­Regional Development Minister ­Alannah MacTiernan said Carnegie had complied with its contractual obligations but said the federal government’s proposal to cut tax rebates for research and development had affected the company’s finances.

The state government is likely to know on Friday if Carnegie can complete the wave project. That is the deadline set by Ms MacTiernan for a funding plan from Carnegie that could convince the state government to hand over the rest of the money.

The uncertainty comes almost two years since Mr McGowan promised during the 2017 state election campaign that renewables would bring economic benefits to a town with a slow-growing economy. It is traditionally a farming community, and a retirement destination.

“Albany will become a renewable energy city and will lead the way in renewables in this state, creating hundreds of jobs,” Mr McGowan said in a media statement in February 2017 when he was opposition leader.

Labor made provision for the payments to Carnegie by cancelling the previous Barnett government’s proposal to build a $19.5m gas pipeline to Albany. It has given the University of WA $3.75m for a wave energy research centre to collaborate with Carnegie.

Mr McGowan’s optimism built expectations that local contractors, such as the electrical and plumbing company run by Neil Howitt and Justine Canning, could get work on the project.

“We would have loved to have been involved in something like this,” Ms Canning said.

But she and Mr Howitt, whose company, Albany Solar, specialises in renewables, have grown doubtful that the wave farm project should proceed.

“When you look at the amount of money that is going to be spent, a lot of progress could be made with proven technology ­instead of going for something new,” Mr Howitt said.

Albany’s wind farm, opened by the Gallop Labor government in 2001, generates the equivalent of 80 per cent of the town’s power needs. The City of Albany has set a renewables target of 100 per cent by 2026.