St Baker said that financing the projects would not be sought from Australian banks but instead would rely solely on international lenders. [1], In 2017 it was valued at $732 million, and was estimated to make part-owner energy entrepreneur and former National Party candidate Trevor St Baker a half billionaire. With this acquisition we will significantly strengthen our presence in Australia, said Sev.en chief executive Alan Svoboda. For fossil fuel production to be clean carbon capture has to be tacked on to capture the emissions. Munmorah power station - Global Energy Monitor It is the second instance of the Morrison government failing to secure investment in new coal-fired generation infrastructure by offering insufficient funding support, following earlier revelations that the government had not provided sufficient grant funding to ensure proponents of a coal-fired power station in Queensland could complete a bankable feasibility study. The role of Deltas Vales Point power station in two devastating fish kills that took place in mid-2002 in Wyee Bay are currently under investigation by the NSW EPA. Records date back to 2011. Leading Edge Energy is proud to be a signatory of the National Customer Code for Energy Brokers, Consultants and Retailers. Vales Point Power Station is one of two operating coal fired power stations on the shores of Lake Macquarie, New South Wales. [2] However, in December 2021, the value of the plant was cut to $156 million and the annual profit was reduced 93% to $9.3 million. These fossil fuel power stations burn coal to power steam turbines that generate some or all of the electricity they produce. The black coal burned at Vales Point is more expensive than Yallourns brown coal, Mr Everett said, but Vales Point could be run with more flexibility to quickly ramp output up or down to better match demand limit production costs. The map below shows the location of the plant, near Mannering Park, New South Wales. Delta Electricity turns down $8.7 million grant for Vales Point Coal supplies NSW with an average of 63 percent of its energy requirements, while the National Energy Market average is 59 percent. AGL, rival Origin Energy and EnergyAustralia have all brought forward the dates for closure of coal-fired power stations since the start of 2021, triggering suggestions that some other coal generators may need to keep running for longer to keep electricity supply secure amid the rise of weather-dependent wind and solar power. We make strategic investments with long-term commitment.. Renewable energy boom could force coal power to close early, says new Eraring power station - Global Energy Monitor As previously revealed by RenewEconomy, Delta told the Department of Industry, Science, Energy and Resources in December that it would not proceed with a formal application for $8.7 million in grant funding that had been set aside in the 2020 federal budget. The big energy companies are also feeling the pressure from the Morrison government over the proposed closure dates for older coal-fired power stations. NSW is facing a potential shortage of reliable power as coal power stations shut down, with the closure of AGL Energy's Liddell plant in the Hunter Valley in April 2023 set to be followed. Every time an old coal-fired power stations closes to be replaced by renewable energy, theres an immediate health benefit to communities within 100 kilometres of the facility, Dr Ewald said. 4 was brought into use in 1966. Sev.en has shown a clear interest in energy businesses in Australia, ensuring that it is well-placed to provide reliable generation through the energy transition, he said. Vales Point Power Station Submission Guide - Nature Conservation This field is for validation purposes and should be left unchanged. The Vales Point coal power station was sold by the NSW government in 2015 for just $1 million. As outlined in the budget speech and subsequent announcement, the budget allocation has a funding cap of $8.7m, which is below that which Delta requested, leaving a substantially higher quantum of funding by Delta, Delta said in the letter. List of coal-fired power stations in Australia - Wikipedia Wikimedia. Anger as public funds extend life of dirty Vales Point power station The funding was to be provided as an ad hoc grant under the Morrison governments Underwriting New Generation Investments (UNGI) program, meaning the funds could only be used for Delta Electricitys proposed upgrades. In an application to the EPA, the power stations owners had requested a further five-year license exemption which allowed for the emission of more than 800mg per cubic metre of nitrogen oxide (NOx) per day. Read our Privacy Policy. Origin Energys 2000 MW Liddell plant will close in early 2023. Environmental Justice Australia solicitor Jocelyn McGarity said there were serious concerns the licence conditions were unlawful and that the plant should not be allowed to operate beyond 2029. Delta flagged early closure of Vales Point coal plant when it rejected federal grant | RenewEconomy 1 year ago Kim Grierson 1 year ago 1 year ago Apparently NSW retained the decommissioning liabilities Andy Saunders 1 year ago Prices that make it profitable? (Delta Electricity have also flagged the possibility of the proposed plant being built on the the site of the nearby Liddell power station, which is slated for closure in 2022. Australia is positioning itself to tap the potential boom in hydrogen fuel, if its adopted globally as a replacement for petroleum. Meanwhile, EnergyAustralias owner CLP Group, also based in Hong Kong, is in the market for partnerships to support future investments to support the decarbonisation of the countrys third-largest power and gas supplier. Mr St Baker, who bought Vales Point power station from the NSW Government for a song in 2015 and made $113 million in profit on the deal in 2017-18, has outlined plans for a new plant at Liddell or Vales Point as part of a $6 billion proposal for three coal-fired power stations in NSW and Victoria. If the sale goes through, it will continue to pollute long past its slated 2029 closure date. In December 2021, the value of the power station was written down to $156 million and in September 2022 Delta Electricity agreed to sell to Czech company, Sev.en Global Investments. Invoice Validation & Network Tariff Analysis. That, environment groups say, has given new urgency for the NSW Environment Protection Authority to clarify the legality of a pollution exemption provided to the plant late last year. However, the company also flagged that it remained open to shifting the closure date of the Vales Point power station, which was dependent on the prevailing conditions in the energy market. We oppose this sale as it is NOT in the local, state or national interest: In order to supply coal to the station, three mines were opened; Chain Valley Colliery, Newvale No.1 Colliery and Wyee State Mine. Qld to close coal-fired power station a decade early Federal Budget 2020: 'Scandalous' Vales Point coal project slammed A spokesperson for Delta Energy said there were no plans for Vales Point to go the same way as Eraring. The Toshiba 660 MW turbo-alternator became the standard in New South Wales, with similar units later being installed at Eraring, Bayswater and Mount Piper. However. When queried, the department told RenewEconomy that the funding set aside in the budget was considered to represent value for money. Vales Point uses salt water from Lake Macquarie for cooling. Unit no. Nitric oxide oxidises in the atmosphere to form nitrogen dioxide. Delta flagged early closure of Vales Point coal plant when it rejected Its members include residents and health professionals. Coal transport and infrastructure in Australia, Key developments in coal mining and power in Australia in 2012, Financing coal power stations in Australia, Underwriting New Generation Investments program, "Delivering affordable and reliable power", "Federal government shortlists upgrade of Vales Point power station turbine", https://www.gem.wiki/w/index.php?title=Vales_Point_A_power_station_(replacement)&oldid=241402, Creative Commons Attribution-NonCommercial-ShareAlike. We will not spam you or sell your details. Vales Point power station, also referred to as the Vales Point B power station, is a 1,320-megawatt (MW) coal-fired power plant in New South Wales, Australia. In January 2019 St Baker told The Australian that he would submit a proposal to Australia's Minister for Energy, Angus Taylor, for government support from the Underwriting New Generation Investments program for three projects including a new A$2 billion 660 MW black coal plant in NSW's Hunter Valley at the Vales Point A power station site or at AGL's Liddell power station.The report claimed "St Baker has lined up a Chinese joint-venture partner" but did not name the company. We call on Federal Treasurer the Hon Dr Jim Chalmers and the NSW Treasurer and Minister for Energy, the Hon Matt Kean, to refuse the proposed sale of Vales Point Power Station to Czech company Sev.en. Delta Electricity knocked back in February a $9 million government grant to upgrade one of the plants turbines. The power stationed operated from 11 March 1927 until March 1976. Level 7 Stop the Sale of Vales Point Power Station and Close It Down Coal plant closures loom large as NSW backs hydrogen for the Hunter. In its home market, it runs two coal power generators and two combined heat and power plants. The region has significantly higher than national rates of six cancers: Colorectal (14% higher), Head & Neck (26%), Kidney (23%), Liver (26%), Lung (28%) and Pancreatic (17%). Eraring and Vales Point coal-fired power stations in the Hunter could One uses gas and the other uses coal or gas, and for either to be a clean energy source they require carbon capture and storage to stop the emissions from the fossil fuels entering the atmosphere. . Kean confirmed exemptions granted to Delta during the purchase including a cap of $10m on rehabilitation likely to cost hundreds of millions of dollars would remain in place despite the sale. Tap into Getty Images' global scale, data-driven insights, and network of more than 340,000 creators to create content exclusively for your brand. The project was moved to Vales Point Power Station in 2012, after Munmorah closed. The other legacies of coal power include environmental and community impact that cannot be ignored as the closure of power stations take place in NSW. Our Morning Edition newsletter is a curated guide to the most important and interesting stories, analysis and insights. . Find them all here. Strict new operating limits for Vales Point Power Station from 1 January. With only an approximately seven-year operating life now remaining, and a very weak wholesale electricity forward curve, we believe Yallourns permanent exit may still be even earlier than now planned, Goldman Sachs analyst Baden Moore said. [5] The balloon loop opened in March 1980. Vales Point Power Station sale completed December 18, 2022 by Merilyn Vale Sev.en Global Investments has announced it has completed its acquisition of Delta Electricity Pty Ltd, the parent company of the Vales Point Power Station and the Chain Valley Colliery. The ageing Vales Point coal-fired power station on the New South Wales Central Coast, due to close in 2029, was given a stay of execution in the federal budget. Vales Point Power Station sale completed Contents 1 Location 2 Background on Plant 3 Carbon capture project 4 Environmental Impact 4.1 Air pollution 4.2 Coal ash dam 5 Future shutdown date 6 Interest in buying Liddell coal plant Publicly owned until 2015 when sold to Sunset International Power for $1 million, the deal capped the new owners site rehabilitation costs to just $10M. Several coal-fired plants in New South Wales have brought their closure dates forward. It has been announced that the ageing Vales Point coal-fired power station on the Central Coast, NSW is to be sold by the Australian Delta Energy to the Czech fossil fuel investment company Sev.en, owned by billionaire Pavel Tyka. Transitioning the Hunter and Central Coast from a fossil fuels manufacturing base to one of renewable generation is underway. Sep 18, 2022 - 3.16pm Energy entrepreneur Trevor St Baker and coal investor Brian Flannery will sell their Vales Point coal-fired power station in NSW for several hundred million dollars to. Vales Point Power Station exemption application Its like selling an unregistered car. This page was last edited on 30 April 2021, at 11:25. . NSW government sells Vales Point power station for $1m The WHO annual guideline for NOx of 10 ug/m3 (4.87 ppb) is regularly breached at monitoring sites close to the Vales Point power station. NSW power station given shorter deadline on emissions Energy Australia will close the Yallourn power station in Victoria's Latrobe Valley in mid-2028, four years ahead of schedule, and build a giant battery instead. Hydrogen is a rare element which means it needs to be manufactured. [6], Carbon Monitoring for Action estimates this power station emits 9.32 million tonnes of greenhouse gases each year as a result of burning hydrocarbon fuels.[7]. The Nature Conservation Council of NSW said that, unlike previous exemptions, this one cannot be extended beyond October 2027. Vales Point is located on the southern shore of the lake, near the township of Mannering Park. The NSW EPA noted that environment department modelling found that ground-level concentration of NOx in the community meets national health standards. The REZ will not only attract investment in clean energy, it will also underpin the growth of new low-carbon industries such as green hydrogen, ammonia and metals production which the world is going to need as it decarbonises, Mr Crouch said. Coal plants list deadlines when their operating life is set to cease, but Dr Mountain said Victoria has secured a valuable guarantee that Yallourn will be available to produce until 2028, and if the company brings forward closure the state will receive compensation.