Decision on mega pumped-hydro could be delayed until after Queensland election
Cost estimates for the pumped hydro scheme driving Queensland’s ambitious renewable energy plan could be kept secret from taxpayers until after the October election.
Cost estimates for the pumped hydro scheme driving Queensland’s renewable energy plan could be kept secret until after the October election, with Energy Minister Mick de Brenni refusing to say when government would give a go-ahead on the scheme.
The Labor government is relying on the proposed Pioneer-Burdekin Pumped Hydro project to enable it to shut down the state’s five coal-fired power stations, reach its target of 80 per cent renewable energy and slash emissions by 75 per cent in the next decade.
The project, slated to be built near Mackay, is still being subjected to financial, engineering and environmental investigations and is yet to get government approvals or substantive funding.
Initial estimates put the project at $12bn but that figure could balloon after more detailed financial modelling is complete.
Other pumped hydro schemes – including NSW’s Snowy 2.0 and Genex Power’s Kidston project in north Queensland – have been plagued by blowouts and delays.
The government had planned to make a final investment decision on Pioneer-Burdekin by mid-2024, but Mr de Brenni on Wednesday conceded it may not happen until after the October 26 election. “There’s a series of studies … to be undertaken before we can put a price tag on that and make that investment decision,” he said.
“You don’t rush into a project of this scale and make decisions without all of the information.”
Last year’s budget committed $1bn for feasibility studies on Pioneer-Burdekin and $6bn to the more advanced Borumba pumped hydro energy storage project, near Gympie in southeast Queensland.
Premier Steven Miles on Wednesday accelerated his government’s climate agenda, introducing draft laws to enshrine emission reduction targets. “Without Queensland, Australia wouldn’t have met our Kyoto targets and now we are setting out our plan to lead the nation on emissions reduction to 2035 to meet the Paris targets,” he said.
“We have already achieved a 29 per cent reduction in emissions on 2005 levels. This bill will send a signal to the world that Queensland is determined to attract investment, protect existing jobs and attract new jobs to our state.”
Labor’s commitments also include a goal of having 80 per cent of renewables in the energy grid by 2035 – an ambitious target given about 27 per cent of the state’s energy consumption is sourced from renewables including solar (20 per cent) wind (4 per cent), bio energy (2 per cent) and hydro (1 per cent).
The Liberal National opposition has matched Labor’s pledge of net-zero emissions in Queensland by 2050, but is yet to detail how it would achieve the target. It has not committed to backing renewable energy targets or emission reduction goals.
Coal companies can now apply for a slice of $520m in state funding to scale up investment on technology to drive down emissions.
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