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IRIS Tasmania  >  Infrastructure  >  Energy

Energy

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power linesElectricity infrastructure in Tasmania is a significant sector for the economy and vital to all business activity. There are currently three publicly owned entities:

  • Hydro Tasmania: generation (Government business enterprise)
  • Transend: transmission (State-owned company)
  • Aurora: distribution / retail (State-owned company).

In 2006-07 the three entities employed 2,044 persons and provided returns to the State of over $95 million.

The provision of electrical energy to Tasmanian users is expected to be dominated by hydro generation for the foreseeable future. Hydro power stations have the capacity to provide 2,267 MW of the total 2,752 MW Tasmanian generator capacity connected to the transmission network. The long-term annual averge energy output of Tasmania's hydro power stations is in the order of 9,500 GWh.

Most of Tasmania's electricity is generated using hydro-electric generators. Tasmania also has Australia's largest wind farm, Woolnorth, in the far north-west, which has a capacity of around 130 MW.

Forecasts indicate that generation capacity will remain well above demand until the year 2017.

Tasmania formally joined the National Electricity Market (NEM) in May 2005, in preparation for the completion of the Basslink high voltage undersea cable between Tasmania and Victoria, completed in April 2006. Basslink enables electricity to be exported during peak demand periods on the mainland and electricity to be imported in off-peak periods or to supplement on-island generation if necessary.

Entry to the NEM is an important aspect of energy reform as it provides a modern regulatory governance framework for future electricity needs in Tasmania, while enabling competition and choice for electricity users.

These projects are key elements of the Tasmanian Government's Energy policy, Powering Prosperity, released in 2004.

Tasmania is also connected into the Australian natural gas network by a sub-sea transmission pipeline. A number of industrial, commercial and domestic customers are now connected and using gas.

The Bell Power Station was converted to gas in 2004 with a further 105 MW of gas turbine generation added in February 2006. The Bell Bay Power Station site and the three gas turbines were sold to Alinta Ltd in June 2007. In August 2007 Alinta Ltd was taken over by a consortium comprising Singapore Power International, Babcock & Brown Infrastructure and Babcock & Brown Power. Operation of the three gas turbines is managed by Alinta Energy (Tamar Valley) Pty Ltd and Hydro Tasmania will continue to operate the Bell Bay Power Station until a new combine cycle gas plant is built by Babcock & Brown Power.