New Developments
New Developments
Tasmania's energy sector is currently undergoing its biggest period of change since the initial development of the State's hydro system. Tasmania, along with all other States and Territories, is part of the Federal Government's Energy Market Reform program. There are two nationally significant energy infrastructure projects currently under way as part of this program - Basslink and the Tasmanian Natural Gas Project.
Energy Market Reforms:
Tasmanian Objectives
- securing additional sources of electricity generation to meet the State's future electricity needs at nationally competitive prices;
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introducing natural gas to the State to diversify the energy sector;
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developing mechanisms to effectively deal with the risks associated with drought or the loss of one or more of the State's major electricity users;
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developing the regulatory framework that maintains the reliability of the electricity supply industry and protects electricity customers, while encouraging new entrants and the development of market outcomes;
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promoting the development of Tasmania's renewable energy resources consistent with policy at the national and international levels; and
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ensuring the financial implications of reform are manageable inthe context of the Government's medium - term Fiscal Strategy.
Benefits
- significantly enhanced security of Tasmania's electricity supply
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increased flexibility in energy users choice of providers
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potential increase in incentives for industries wishing to establish a presence in Tasmania
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increases attractiveness of Tasmania for new investments
For transport, heat or electricity, hydrogen is a zero emission alternative to fossil fuels when produced from renewable energy technology.
The Tasmanian Hydrogen Stakeholders Network (THSN) has been established to provide a forum for Tasmanian organisations involved in the development of hydrogen as an energy carrier for Tasmania and surrounding regions. This forum will also maintain an awareness of forthcoming hydrogen related meetings, conferences and events, at a local, national or international level to ensure that the interests of the THSN are represented where appropriate.
Hydro Tasmania, University of Tasmania, Australian Antarctic Division and Bureau of Meteorology are investigating the potential application of hydrogen from renewable energy in Tasmania.
Tasmanian Natural Gas Project
The Tasmanian Natural Gas project is delivering natural gas to Tasmania for the first time and is one of the State's largest infrastructure developments of the past 20 years.
The 753km subsea and underground pipeline, costing over $400 million, was commissioned in 2002. It is delivering gas from the state of Victoria to Northern Tasmania, Southern Tasmania and Tasmania's North West.
Powerco Ltd, a New Zealand company, is currently building 700km of distribution networks throughout Tasmania, a project estimated at $100 million.
The natural gas project has significant direct benefits for the economy because the availability of gas also provides an opportunity to attract new investment from outside the State and provides existing Tasmanian businesses with a competitive alternative source of energy.
