Construction underway on Victoria’s $640m gas-fired power station
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16 March 2009
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Work is underway on Victoria’s new $640 million gas-fired power station in the state’s south-west, a project set to boost the region’s economy while developing cleaner energy solutions.
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The Victorian Premier John Brumby turned the first sod on Origin Energy’s new power station near Mortlake, three hours south-west of Melbourne, marking the start of a project that will significantly increase Victoria’s energy security and employ more than 350 people during construction.
“It will help meet Victoria’s future electricity demand as our population continues to grow and by producing half the greenhouse gas emissions of a brown coal generator, it reinforces that our state is leading the way in the development of new clean energy sources,” Mr Brumby said.
“The 550MW gas-fired Mortlake station will be used to meet electricity needs at peak demand times, such as on hot summer days. And when it is operating, it will produce enough power to supply up to 250,000 homes.”
Origin’s Executive General Manager, Energy Markets, Frank Calabria, said the new $640 million power station, on its completion, will add significant capacity to Victoria’s energy resource.
“This multi-million dollar construction project will play a significant role in assisting the Victorian Government’s objective of maintaining a secure, efficient and affordable supply of electricity while reducing the intensity of greenhouse gas emissions from the energy sector. We regard the project’s social and economic benefits as being of State significance,” Mr Calabria said.
“It also contributes to the diversity of generation and gas supply, providing a better-balanced and more secure energy system. All of these benefits are further enhanced by the fact that Mortlake will utilise a local energy resource through its sourcing of Otway Basin gas,” Mr Calabria said.
The plant will be supplied with natural gas from a dedicated gas transmission pipeline from the new gas processing plant being built at Port Campbell as part of the Otway Gas Project. The pipeline contract was awarded to AJ Lucas Group Ltd.
Bilfinger Berger Services (Aust) Pty Ltd was selected as the major contractor for the construction of the Mortlake Power Station. The contract includes the supply, design, procurement and installation for the civil, structural, mechanical and electrical works. The modern gas turbines powering the station will be supplied by Siemens.
The first stage will involve building a new plant and facilities. Origin Energy has an option to further expand the power station, which would take the overall investment to $1 billion, create more jobs and further reduce greenhouse emissions.
Origin’s Executive General Manager, Major Development Projects, Mr Andrew Stock, said: “We would particularly like to thank the power station's neighbours, local shire councils, government authorities and indigenous groups – the Kirrae Whurrong, Kuuyung Maar and the Framlingham Aboriginal Trust - who have assisted us over the years to develop a power station concept that satisfies the planning, environmental and cultural requirements.”
Victorian Energy and Resources Minister, Peter Batchelor, said the Mortlake Power Station, alongside Santos’ proposed Shaw River gas-fired plant, wind and potentially geothermal projects, are making the south west region Victoria’s new clean energy hub.
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