Gas, hydro on Scott Morrison’s energy shortlist

The PM has identified a shortlist of 12 gas, hydro and coal projects across multiple states which could receive federal backing.

Prime Minister Scott Morrison. Picture: AAP

Scott Morrison has unveiled a shortlist of a dozen energy projects the government will consider underwriting funding for, including one “very small” coal upgrade in NSW.

The Prime Minister’s underwriting scheme shortlist has mainly focused on gas and hydro projects in Victoria, NSW and South Australia.

“The government was able to agree a short list of projects, which will now be examined in closer detail, before any final decision is made on any underwriting on the price position for those projects that would assist them to secure their project findings,” he said in Brisbane today.

“Those projects have been drawn down from 66 proposals down to a dozen. Those projects will deliver around 4,000 megawatts, which is about twice the size of what we’re talking about, up at current stations like Liddell and other coal-fired power stations.

“It will provide gas and hydro, and one very small project, which is a coal upgrade project in New South Wales in Lake Macquarie.”

The shortlist will examine gas projects in East Gippsland and Dandenong in Victoria, Reese Plains in South Australia, and Port Kembla in NSW.

It will also look at hydro projects in Armidale in NSW, Lincoln Gap and the Eyre Peninsula in South Australia, and Queensland’s Crow’s Nest.

“We are looking to establish the most viable approach. There are no proposals for us to invest in those projects. What we have always been looking at is the underwriting provisions that can assist in those projects gathering finance. Look at the case studies,” Mr Morrison said.

“The key point is this: What is the most effective, most sustainable, most affordable and reliable way to save the jobs and keep the jobs of people working in north and central Queensland?”

Mr Morrison also announced a feasibility study into a range of energy projects in north and central Queensland, including a proposal for a project in Collinsville, which is near a large coal mine.

“They need reliable power, and so what we’re also commissioning and providing funding for is a feasibility analysis across a range of projects to see what best can meet the industrial power needs of north and central Queensland,” he said.

“Now, that will engage in a range of projects, which will also include looking at the Collinsville proposal, which is a proposal that’s been around for some time.

“But there is no commitment to underwrite or support any of those projects. We want to do the proper analysis to work out which project or which group of projects actually delivers on the need.”

Barnaby Joyce tweeted the announcement was “very good”.

So we have got ourselves a Coal Fired power station for Qld. Very good

— Barnaby Joyce (@Barnaby_Joyce) March 26, 2019