The Queensland Government’s Budget has allocated $19 billion over four years to deliver on the Queensland Energy and Jobs Plan, to ensure the state meets its renewable energy targets, and remains on track to becoming a renewable energy powerhouse.
Publicly-owned energy businesses are leading Queensland’s energy transformation, investing in new wind, solar, storage and transmission, supported by the $4.5 billion Queensland Renewable Energy and Hydrogen Jobs Fund.
In 2023-24 alone, the state’s six publicly owned energy entities are making a capital commitment of $5.465 billion, significantly strengthening their capability to lead the sector’s transition to cleaner sources of supply.
Public ownership has ensured profits from the state’s major electricity assets are funnelled back into the pockets of Queenslanders in the form of dividends and rebates.
The 2023-24 Budget also accelerates build-out of new backbone transmission and storage infrastructure to boost capacity of the state’s new SuperGrid, cornerstone investments of the Queensland Energy and Jobs Plan announced in September 2022.
Publicly owned transmission titan Powerlink will invest $594 million in 2023-24 to kick-start the CopperString 2032 high voltage link that will significant new renewables around Hughenden.
Powerlink will also invest $193.8 million in 2023-24 to support the connection of major renewable projects to the grid, including the proposed 2GW Borumba pumped hydro energy storage and Australia’s largest onshore wind project, the 1GW MacIntyre Wind Precinct south-west of Warwick.
In 2023-24, Energy Queensland’s $2.042 billion capital program is also focused on network reliability and renewable hosting capability and includes $150 million to continue the roll-out of network batteries, decarbonise isolated networks, and support renewable generation across Queensland, as well as $99.9 million for network replacement in the Mackay region.
Stanwell Corporation will also invest a further $221.2 million towards the development of the 252MW Wambo Wind Farm and $200 million to commence construction of its Tarong West Wind Farm, as well as $251.8 million for new grid-scale batteries within Queensland’s southern and central Renewable Energy Zone regions.
In 2023-24, CleanCo will continue to grow its renewable portfolio with a $171 million down-payment on the $500 million announced to support the development phase of new wind and solar projects in Central Queensland, as well as $41.5 million to build and install a 250MW big battery at Swanbank Power Precinct near Ipswich, which is transitioning into a Clean Energy Hub with the potential for onsite solar and green hydrogen production facilities.
Queensland’s three publicly-owned generators are together investing around $384 million for upgrades and maintenance at existing state-owned power stations.
A new player this year, Queensland Hydro, will invest $183.7 million to progress the 2GW Borumba Pumped Hydro Energy Storage project near Gympie, at the same time as undertaking the detailed feasibility study into the Pioneer-Burdekin Pumped Hydro Energy Storage project west of Mackay.
Premier Annastacia Palaszczuk said this year’s budget represents the most significant investment ever in Queensland’s publicly owned electricity system.
“This year’s capital program positions our publicly owned energy entities to lead the clean energy era and support thousands of jobs.
Minister for Energy, Renewables and Hydrogen, Mick de Brenni said the Queensland Energy and Jobs Plan is both bold and achievable, with the investments made in this Budget demonstrating how a strong economy and jobs in regional Queensland can be sustained, whilst taking real action on climate at the same time.
“Whether it’s in hydrogen, batteries, wind, solar, hydro, traditional generation, transmission, distribution or most importantly Queenslanders themselves, this Budget invests to ensure the Plan delivers on our target of 70 per cent renewable energy by 2032.”
2023-24 Budget highlights – Queensland-owned energy entities:
Energy Queensland Limited
This energy colossus spans ‘poles and wires businesses’ Energex and Ergon Energy Network as well as retailer Ergon Energy Retail and Yurika. It will proceed with a $2.042 billion capital expenditure program to reinforce supply and support the transformation of the state’s energy system.
Powerlink Queensland
Queensland’s high-voltage transmission titan will lead delivery of the new state-wide SuperGrid, investing $1.170 billion in planned capital expenditure for 2023-24.
Stanwell Corporation Limited
Total capital expenditure planned for 2023-24 is $857.5 million. This reflects Stanwell’s commitment to delivering a balanced portfolio for the future through ongoing investment in the reliability and efficiency of its generation plant, while also supporting investment in renewable generation and energy storage.
CleanCo Queensland Limited
Total capital expenditure planned for 2023-24 is $631.9 million. The capital program is focused on building new renewable energy assets and firming the energy portfolio, maintaining existing assets, developing trading and reporting systems and refreshing server infrastructure.
CS Energy Limited
Total capital expenditure planned for 2023-24 is $579.5 million. This reflects CS Energy’s continued commitment to expanding its portfolio in renewable energy and the commitment to ongoing reliability and efficiency of generation plant at its power station sites.
Queensland Hydro Pty Ltd
This new entity is assembling a world-class team of experts to progress plans to build two large-scale, long-duration pumped hydro energy storage projects that will shore up the Queensland SuperGrid with up to 7GW of dispatchable power by 2035. The long-duration energy storage systems – proposed for Borumba Dam south-west of Gympie and a new Pioneer-Burdekin facility west of Mackay – are cornerstones of the Queensland Energy and Jobs Plan. Total capital expenditure for Queensland Hydro in 2023-24 is $183.7 million.
