Under a contract with TRUenergy, global energy infrastructure provider Alstom will design, supply, construct and commission a turnkey 400-megawatt GT26 gas-turbine-based combined cycle power plant at Tallawarra, south of Sydney.
NSW Premier Morris Iemma kick-started the construction process by the turning of the first sod and then unveiled a plaque to commemorate the occasion.
The project is the first major generation development for TRUenergy in the state and will establish the first significant high efficiency gas-fired power station for NSW.
When complete the plant is expected to be the most efficient combined cycle power station in the country – operating at near 60% thermal efficiency.
Alstom’s contract also includes the installation of a 125MW steam turbine, a condenser, step up transformers, plant control systems and associated civil works.
During construction, the project will provide for approximately 350-450 jobs and when complete will employ 25-30 full-time operational staff.
Alstom has also been contracted to a 12-year service agreement for the gas turbine equipment.
The two contracts are worth about $427 million.
Alstom Australia and New Zealand country president Chris Raine said by utilising state-of-the-art technology, the gas-fired plant being constructed on the old Tallawarra coal-fired power station site would have significantly less impact on the surrounding environment and local communities than the old plant and would assist TRUenergy in meeting its expanding retail base electricity demands.
“We are encouraged by the recent global debate concerning human activity and its relationship with climate change – this has been an area of significant focus and R&D at Alstom for a number of years now,” Raine said.
“This focus on R&D has placed Alstom as the leading clean combustion and plant integration specialist and we are delighted that TRUenergy also shares this focus.
“As a result, together we can – utilising Alstom’s cutting-edge technology and know-how – produce power at the highest efficiency available.”
TRUenergy managing director Richard McIndoe said there were substantial environmental benefits in building this type of plant, which will have a life of about 25 years and generate enough electricity to supply 200,000 homes and businesses across NSW, sourcing energy via the Eastern Gas Pipeline.
“Tallawarra will deliver much-needed generation capacity to NSW at a time when peak energy demand is rising at almost 3 percent a year,” McIndoe said.
“When complete, TRUenergy Tallawarra will also be Australia’s most environmentally efficient fossil fuel-fired power station, producing 70 percent less carbon dioxide emissions than some coal-fired power stations.”
Commercial operation of the plant is expected prior to the 2008-09 summer.