- Australia's Queensland government has kickstarted the work to set up a new electricity generation publicly owned company, CleanCo
- CleanCo will own low and no emission power generation assets in the state, and will also build, construct, own and maintain new renewable energy generation projects
- The state government is shelling out AU$250 million ($179 million) to progress the development of new public renewable energy generation assets
- CleanCo will come out as a separate entity after re-structuring two publicly-owned electricity generation companies into three
Queensland in Australia is set to have a new renewable energy focused electricity utility, called CleanCo. It will own low and no emission power generation assets in the state, and will build, construct, own and maintain new renewable energy generation projects.
Premier of the Australian state, Annastacia Palaszczuk said the new entity should reduce wholesale electricity prices on average by around AU$7 ($5.02) per MWh, to lead to annual savings of an estimated AU$70 ($50.19) per MWh. Her government is putting in AU$250 million ($179 million) to progress the development of new, public renewable energy generation assets.
“This will continue supporting jobs in our renewable energy industry, starting with 1,000 MW of new renewables like solar, wind and hydro,” said Deputy Premier Jackie Trad. “It is expected that CleanCo will be trading in the NEM by mid-2019, subject to receiving regulatory approvals.”
Australian renewable energy news portal Reneweconomy says initially, the 1 GW plan aimed to be achieved by 2025, will not include wind and solar. Initial assets will include pumped hydro, gas peaking plant and hydro power stations.
CleanCo will be the state’s third publicly owned power generation company. According to the Labor party’s 2017 policy document, Powering Queensland’s Future: Affordable, Stable and Balanced, CleanCo’s origin lies in re-structuring two publicly-owned electricity generation companies into three.
Queensland is one of the leading solar states in Australia. According to Clean Energy Council, 5,482 MW of total large-scale renewable energy capacity was under construction, completed or starting in 2018 as on May 11, 2018. Of this, 2.11 GW was in Queensland alone (see Australia 2018 RE Portfolio Over 5 GW).