News

SNOWY HYDRO GROUP SUPERANNUATION REVIEW

29/06/2023

Following a voluntary review of contributions paid to employees’ superannuation funds, the Snowy Hydro Group* has identified some instances of underpayment of superannuation contributions to accumulation funds. Upon finalisation of the review, the Group has undertaken immediate steps to rectify the errors including making all necessary payments to the Australian Taxation Office (ATO) .

The Group apologises unreservedly to the 3,800 former and current employees impacted by this mistake resulting in a net underpayment of $1.1 million.

As part of the rectification, in addition to the $1.1 million, the Group has also paid the legislated 10%pa interest to the ATO, who will remit all amounts (including the 10%pa interest) to former and current impacted employees’ superannuation funds.

The review was carried out by consultancy firm Ernst & Young, and extended as far back as the Group’s available digital payroll records, from 1 July 2006 to 30 June 2021.

The outcome of the review showed that:

For approximately 80% of the 3,800 impacted employees, the net underpayment totalled less than $200 per individual employee over the 15-year review period; and
Total superannuation contribution obligations over this period were $173.7M, compared with $172.6M of superannuation contributions actually paid. This equates to the Group having paid 99.3% of its superannuation contribution obligations over the review period.

Changes implemented following the review for the 2022 financial year onwards have ensured that correct superannuation contributions are paid.

*Snowy Hydro Group (”the Group”) includes Snowy Hydro Limited, Red Energy Pty Limited, Lumo Energy Australia Pty Ltd and Direct Connect Australia Pty Ltd.

Frequently Asked Questions

Are former or current employees required to do anything to receive the superannuation payment?

No action is required. The Group (Snowy Hydro, Red Energy, Lumo Energy & Direct Connect Australia) has made payment and lodged all required paperwork to the Australian Taxation Office (ATO) to facilitate the payment (including interest) into superannuation funds.

When will payments go into superannuation funds?

While the ATO’s processing times will vary, it may take up to six (6) months for the ATO to transfer the funds electronically by matching Tax File Numbers directly to superannuation funds. If an active superannuation account is not found by the ATO, payment will be placed in the ATO’s holding account. More details are available here: https://www.ato.gov.au/forms/searching-for-lost-super.

Superannuation amounts paid into superannuation funds can be found via your MyGov account.

Why can’t the Group process the payment directly into superannuation funds?

In cases where an employer is required to pay superannuation contributions relating to prior years, the amount cannot be paid directly to superannuation funds, but is required by law to be paid to the ATO, which will then remit the amount to superannuation funds.

Will any interest on the superannuation amount be received?

The amount owing to superannuation funds is inclusive of the ATO’s set interest calculation at 10% per annum that will be credited to superannuation funds.

Is there confidence that the amounts owing have been calculated correctly?

This review was carried out by consultancy firm Ernst & Young, which undertook an independent review of our superannuation contributions paid across the 15-year review period of 1 July 2006 to 30 June 2021.

The review was undertaken by subject matter experts within the Ernst & Young Employment Taxes team who have experience in conducting similar superannuation reviews for other large corporate groups.

The end of the review period was 30 June 2021. Why did it take so long to complete?

Ernst & Young confirmed that our 15-year review period is one of the most comprehensive historical analysis, in terms of years, undertaken by any of their clients. Tax record keeping requirements placed on companies in Australia require records be kept for only five (5) years and this is the typical voluntary review period undertaken by employers where an underpayment of superannuation guarantee is identified.

The scope and complexity in reviewing superannuation contributions paid over a 15-year period required an exceptionally high level of analysis and multiple checks to ensure accuracy and completeness.

The 15-year period required millions of rows of data to be analysed. The sheer volume of data and the intricacy of retrospective calculations made it necessary for the Group to devote considerable time and resources to ensure accuracy of the review.

News

SNOWY 2.0 PROJECT UPDATE – JUNE 2023

26/06/2023

In the June update of the pumped-hydro expansion of the mighty Snowy Scheme, Snowy 2.0’s Alex Woschitzka explains construction progress at the massive Talbingo and Tantangara intakes. The project’s Quality Coordinator also checks in on the transformation of a narrow fire trail through steep terrain into a road suitable for heavy vehicles.

Significant progress has been made at the Talbingo intake, where water will exit the tailrace tunnel when Snowy 2.0 generates power. This is also where water enters the tunnel for pumping.

Construction teams have moved more than 310,000 cubic metres of earth to date, about half the total amount that will need to be moved. More than 24,000 metres of rock bolts have been installed and 8,300 square metres of shotcrete sprayed to support the wall.

As part of quality assurance, the shotcrete must be tested for compressive strength. Samples are taken from the truck and also cored from the face to ensure it meets the intended strength requirements. For the rock bolts, pull-testing is conducted to ensure they have been correctly installed, and meet the design and quality requirements.

When completed, the total height of the Talbino intake excavation will be 104 metres, with about 31 metres of that below the water level. The concrete intake structure will be an impressive 50 metres in height.

Construction is well underway on an internal access road through mountainous terrain. With the help of Snowy 2.0 subcontractor Leed, a narrow fire trail will be widened into a six-kilometre road to enable heavy vehicles to access a rock emplacement area on Talbingo Reservoir.

Works began from both ends across very challenging terrain, achieving a major milestone recently when the two pioneering fronts joined across the Middle Creek cliffs. A temporary bridge with a 36-metre span has been installed across Middle Creek and is capable of supporting a fully-loaded 80-tonne dump truck.

In another milestone achieved in June, stage one earthworks have now been completed at the Tantangara intake. The first stage involved excavation of about 205,000 cubic metres of earth with a further 78,000 cubic metres of drilling and blasting earthworks expected in the next stage.

To support the excavation, more than 18,000 metres of rock bolts have been drilled and installed, and approximately 6,100 square metres of shotcrete sprayed. The excavation is currently about 26 metres deep and will be extended to a total depth of 55 metres.

Tantangara intake is where water will enter the headrace tunnel when the Snowy 2.0 power station is in generation mode. When in pumping mode, water will exit through the intake and fill Tantangara Reservoir.

News

SNOWY’S KURT WASSINK WINS REGIONAL APPRENTICE OF THE YEAR

26/06/2023

Snowy Hydro’s Kurt Wassink has been named the Riverina region’s 2023 Apprentice of the Year in the NSW Department of Training awards.

Snowy Hydro CEO Dennis Barnes congratulated Cooma local Kurt, who completed his Certificate III in Electrotechnology at TAFE NSW, on winning the prestigious award.

“This is a wonderful achievement that underlines the quality of both our local employees and our long-standing apprentice program,” Dennis said.

“At Snowy we are committed to developing science, technology, engineering and maths (STEM) expertise among our people, and nurturing the talent we have in the Snowy Mountains region.

“We are future focused and are proud to see our apprentice program is building STEM skills not only for our business, but for the energy industry and regional Australia.”

Snowy Hydro employs up to 25 apprentices annually. In 2023 we have 25 apprentices, six of whom are females and three are Clontarf Foundation graduates. Around 10% of our full time employees are in graduate, apprenticeship and trainee programs at any one time.

Kurt, who is now a qualified Snowy Hydro Maintenance Technician – Electrician working in Khancoban at our Murray 1 and 2 hydro power stations, will progress to the next stage of the NSW Training Awards which are held in Sydney later in the year.

These awards honour and recognise outstanding achievement in the NSW vocational education and training sector.

News

STUDENTS BENEFIT FROM SNOWY HYDRO LOCAL SCHOOL STEM FUND

26/06/2023

Hundreds of students across 18 Snowy Mountains schools will benefit from Snowy Hydro’s inaugural Local School STEM Fund program. The 2023 funding has been allocated to both primary and secondary from public and private schools to provide students with hands-on interactive experiences, challenging their creativity and critical thinking.

Through the program, Snowy Hydro has supported a varied range of science, technology, engineering and maths (STEM) initiatives, including an aquaponics project, 3D printers, a First Nations Science Camp, upgrades to equipment in science classrooms, development of a robotics club, enhancement of resources, the establishment and expansion of school programs and clubs, and the launch of various projects such as a sustainable garden and a township design.

Snowy Hydro CEO Dennis Barnes said the collaboration with local schools will encourage and promote problem-solving skills for students, both in and out of the classroom and assist their career pathways.

“The funding is just one example of Snowy Hydro’s ongoing commitment to education and development in support of STEM, particularly among our local communities,” Dennis said.

The real-world application of STEM allows students to interact with the subject material and develop a diverse range of skill sets. By seeing the outcomes of STEM throughout their lives and assessing the outcomes for themselves, their schools, community and surrounding environments, a unique and engaging learning space is created.

Dennis said he was proud to announce the Local School STEM fund was “supporting schools in 10 locations, providing approximately $160,000 of funding to contribute to the growth of local students.”

The outcomes of the funded initiatives will assist students with the understanding of sustainability, combine ancient knowledge and modern technology, build on existing STEM skills, develop critical thinking, strengthen student confidence and promote the balance of research and design.

To further engagement and involvement with education, Snowy Hydro is committed to continuing this beneficial program. The next round of applications will open in February 2024.

For more information about Snowy Hydro’s Local School STEM Fund visit:

https://www.snowyhydro.com.au/local-school-stem-fund-2/

News

MAJOR MILESTONE REACHED FOR HUNTER POWER PROJECT

19/06/2023

The second of two generator stators that will power Snowy Hydro’s Hunter Power Project has arrived onsite at Kurri Kurri after its journey from the Port of Newcastle late last night.

The 150-metre-long convoy containing the 314-tonne generator stator left the Port of Newcastle at 9pm on Saturday evening and arrived at the Kurri Kurri site at 2am on Sunday, where it was unloaded and positioned for installation.

The convoy included six prime movers, four police escort vehicles and four pilot vehicles.

The first generator was transported two weeks ago and travelled the same route to Kurri Kurri from the Mayfield berth, via Industrial Drive, Maitland Road, Newcastle Inner City Bypass and the Hunter Expressway.

The two generator stators were prepared for transportation at the port over a period of two days after arriving from Japan late last year and earlier this year. When installed, the generators will spin from the power of the two open cycle gas turbines (OCGTs), which in turn will generate the 660 megawatts of electricity the Hunter Power Project is delivering for the National Electricity Market.

Snowy Hydro CEO Dennis Barnes said this project milestone was the result of months of meticulous planning from the Hunter Power Project team.

“Moving these two large components of the power station to our construction site required many months of work and liaison with the Port of Newcastle, the team at Mitsubishi in Japan, and local engineered transportation company Rex Andrews.

“Investment in dispatchable generators like the Hunter Power Project is vitally important as Australia transitions to renewable energy, which will ultimately benefit the environment and future generations,” Mr Barnes said.

The Hunter Power Project is expected to be operational by 2024.

News

SNOWY 2.0 PROJECT UPDATE – MAY 2023

30/05/2023

May was a milestone month for the Snowy 2.0 team with the completion of the emergency, cable and ventilation tunnel, or ECVT – another vital step in the construction of Snowy Hydro’s new pumped-hydro expansion megaproject.

Snowy 2.0 senior project manager Rodd Brinkmann explains the next stage of the project from his base at Lobs Hole, as preparation for excavation for the underground power station cavern gets underway.

The ECVT is a 2.93 kilometre tunnel that runs adjacent to the main access tunnel and provides alternate access to the site of the underground power station. Tunnel boring machine (TBM) Kirsten recently completed excavation of the ECVT and will soon start tunnelling the inclined pressure shaft. This very steep shaft links to the headrace tunnel from Tantangara Reservoir.

TBM Kirsten will need to undergo modifications to excavate the 25-degree incline, including installation of a screw conveyor to extract excavated rock from the cutterhead to a sandwich conveyor system. With such a steep incline, construction of the 1.45km shaft with its concrete segment-lined tunnel, will be a world first.

In the main access tunnel, or MAT, construction of cross passages and construction access tunnels is well underway with 850 metres of drill and blast tunnel excavation completed. Of the five cross passages linking the MAT and the ECVT, two are fully excavated and waiting on breakthrough into the ECVT. Key construction tunnels are also being excavated to provide access to the machine hall, transformer hall and the top of the tailrace surge shaft.

Workers have reached the main cavern areas from both ends and will soon commence excavation and support of the cavern crowns or ceilings of the power station halls. The excavation sequence of the cavern crowns is critical, as the in situ rock mass will relax and move inwards as the excavated void increases. These movements will be closely monitored during the process. Geotechnical drilling and plate load tests will measure and confirm the characteristics of the rock geology around the power station.

Dynamic 3D models of the power station caverns are also being used. 3D models are created using digital engineering to transform 2D design drawings and are displayed in the state-of-the-art immersive theatre at Snowy Hydro’s Discovery Centre in Cooma, where Snowy 2.0 engineers can collaborate with power station design experts from around the world. Once construction is complete, the detailed 3D models will be a valuable tool for asset maintenance.

With so much activity in the tunnels, the current Snowy 2.0 underground workforce will increase by another 200 people in the coming months.

News

SNOWY 2.0 PROJECT UPDATE – APRIL 2023

09/05/2023

In our April update of the Snowy 2.0 pumped-hydro project, Snowy Hydro CEO Dennis Barnes pays tribute to Alan Machon, who tragically died in a road accident. Alan was a member of the Future Generation team working to deliver Snowy 2.0.

Out onsite, Snowy 2.0 Integration Manager, Paul Smith, joins us from the recently completed Ravine Road, we meet the captain of the Lobs Hole Emergency Response Team and we stop by the Talbingo adit to check on progress of TBM Lady Eileen Hudson’s reassembly in readiness for her second major tunnelling task.

The construction of Ravine Road was one of the first projects undertaken for Snowy 2.0. Originally little more than a dirt track, the main access into the Lobs Hole site has been transformed to provide safe all-weather access for project trucks and light vehicles.

The steep, winding 15-kilometre road is now two lanes wide and in March 2023 it was fully sealed with line marking, snow poles and reflective markers installed to help guide road users in low visibility conditions. With an 850-metre elevation difference from top to bottom, the upper section of Ravine Road is above the snow line.

Areas disturbed during construction are being reinstated and the rehabilitation process is underway. When the Snowy 2.0 project is complete, the general public will be able to use Ravine Road to access a popular camping area once restricted to 4WD vehicles.

At the Talbingo adit, tunnel boring machine Lady Eileen Hudson is being reassembled in preparation for excavation of the tailrace tunnel. New components including the cutterhead and tailskin will soon be lifted into the TBM cradle to be attached to the shields and main drive. After completing the excavation of the main access tunnel, the TBM gantries were removed using self-propelled mobile transporters and will be attached to the machine so it can begin excavating the six-kilometre tunnel. The vertical conveyor belt stacker has been assembled, construction of the water treatment plant is progressing and the grout plant will soon be commissioned.

Snowy 2.0 emergency response teams, or ERTs, regularly conduct training to keep the onsite workforce safe and to prepare for possible emergencies such as vehicle rescues and bushfires.

Future Generation’s Lobs Hole ERT captain, Drew Butters, is a Snowy Mountains local who has worked on the project for three years. He has had a life-long association with emergency response and fire fighting in the Rural Fire Service and is currently the Adaminaby RFS captain.

ERTs are trained to deal with bushfires, general firefighting, emergency response and rescue. Emergency Response Teams have a small crew with experienced full-time members, plus a number of volunteers at each work site.

News

SNOWY 2.0 – PROJECT UPDATE

03/05/2023

Snowy Hydro’s management team is working towards resetting the delivery timeline and budget for the Snowy 2.0 project with its principal contractor, Future Generation Joint Venture (FGJV), as part of an ongoing project review.

The reset will ensure this critically important clean energy infrastructure project is placed on a robust and sustainable footing for FGJV to progress the schedule in a realistic and productive manner.

While significant progress has been achieved by FGJV on Snowy 2.0, there are delays to Snowy 2.0’s contracted schedule and likely cost impacts beyond the contingency allowed, which remain under review by Snowy Hydro.

There are four broad categories of factors contributing to schedule delays and likely cost increases:

the mobilisation and resourcing implications of the COVID-19 pandemic;
the effect of global supply chain disruption and inflation impacting the cost and availability of a skilled workforce, materials, and shipping;
a number of design elements requiring more time to complete due to their technically complex nature, with the final design now being more expensive to construct; and
the impact of variable site and geological conditions, with the most impactful being the soft ground encountered that is delaying tunnel boring machine (TBM) Florence’s progress at Tantangara.

Snowy Hydro anticipates that the timeline for full commercial operation is delayed by a further 12-24 months from the current publicly released dates:

Milestone	Earliest	Latest
First Power	June 2027 – December 2027	June 2028 – December 2028
Commercial operation of all units	December 2028	December 2029

Snowy Hydro expects more detail on the budget implications of the project reset around July 2023, and this will be clearly communicated with key project stakeholders.

Snowy Hydro CEO Dennis Barnes said:

“Since joining Snowy Hydro earlier this year I have focused on ensuring our major projects are placed on a realistic and sustainable footing, while maintaining construction progress.

“This project is critically important to the transition of Australia’s electricity grid and it’s crucial that we are working to a safe, efficient and realistically achievable timeframe to enable orderly planning for all our stakeholders. I am committed to being transparent about our progress and how we are proactively managing the inevitable issues and challenges that arise in a complex project like this.

“While many other major infrastructure projects have been impacted by the same challenges, Snowy 2.0 continues to make positive progress.

“Snowy 2.0 is providing significant employment and economic benefits both regionally and domestically. There are currently over 2,400 people employed on the project and thousands more jobs generated indirectly through supply chains and support services.

“TBM Kirsten has tunnelled 2.9 km to reach the underground power station cavern complex and we now have access to this site from both ends. We shortly expect to commence the 6km tailrace tunnel that will feed into Talbingo Reservoir and the excavation of intakes at Talbingo and Tantangara are proceeding very well.”

News

SNOWY HYDRO YEAR 9 CAREERS OPEN DAY

27/03/2023

At Snowy Hydro we understand the importance of developing students for the careers of the future, so we are excited to be hosting our inaugural Year 9 Careers Open Day on Thursday 30 March 2023.

The initiative, which is aimed at schools in the Snowy Monaro, Snowy Valleys and Towong local government areas, continues our strong focus on educational programs that spark an interest in science, technology engineering and maths (STEM) for local young people.

Snowy Hydro CEO Dennis Barnes said the Year 9 Careers Open Day would allow students to go behind the scenes at the Snowy head office in Cooma to explore the diversity of STEM careers.

“More than 100 students will hear from some of our engineers, climate scientists and technology experts and enjoy interesting, hands-on activities,” Dennis said.

“They’ll learn about Snowy Hydro’s operations and the amazing Snowy Scheme, participate in quality learning experiences, discuss STEM-related career pathways and learn how different engineering roles use maths on a daily basis.

“By showcasing what we do here at Snowy and what opportunities there are for local kids with an interest in STEM, we hope to inspire a future generation of engineers, scientists and technical specialists.

“The Year 9 Careers Open Day will also help students with their subject selections for year 10 and beyond.”

Students will begin their day at Snowy Hydro with a welcome from senior leaders. They’ll experience the fantastic Discovery Centre immersive theatre with a Snowy Scheme virtual flyover, visit the generation operations control room and learn about work experience, traineeships and apprenticeships and tertiary pathways at Snowy.

And that’s just the start!

Snowy Hydro is proud to be launching the Year 9 Careers Open Day in 2023 and establishing it as a fixture on the local schools’ calendar for years to come.

News

ADAMINABY TRUCK PARKING PROJECT

21/12/2022

Snowy Hydro is proud to be supporting a Snowy Monaro Regional Council project providing new truck parking bays in Adaminaby.

Six 3-metre wide and 30-metre long sealed parking bays will be built on the Snowy Mountains Highway in Adaminaby, allowing heavy vehicles to safely stop for logbook, food and drink breaks.

Acting Snowy Hydro CEO Roger Whitby said a $188,000 contribution from Snowy Hydro would assist council in delivering an important improvement for the town.

“We are extremely pleased to be partnering with Snowy Monaro Regional Council on the truck parking bays project,” Mr Whitby said.

“There is a lack of heavy vehicle parking areas between Cooma and Tumut, along with increased numbers of heavy vehicles passing through Adaminaby with the Snowy 2.0 project. So this is an opportunity to help with a really good legacy initiative that will benefit the town’s economy,” Mr Whitby said.

“Truck drivers taking a break in Adaminaby on their trips through the Snowy Mountains will have fit-for-purpose, sealed and lit bays to park their vehicles in.

“This improves safety for them and other road users, and means heavy vehicles will no longer need to park in residential areas of the town.”

The truck parking project, which is being conducted in consultation with Transport for NSW, will get underway early in 2023.

A temporary repair has been carried out to the area in front of the Big Trout statue in Adaminaby for long vehicle parking in the short-term.

In addition to the truck parking initiative, a separate council project will provide permanent parking facilities in Adaminaby that accommodate long vehicle parking for cars towing boats and caravans, along with recreational vehicles.

The two projects are scheduled for completion by April 2024, weather conditions permitting.

The Adaminaby parking projects are proudly funded by the Bushfire Local Economic Recovery (BLER) Fund, which is part of the $4.5 billion bushfire support program co-funded by the Australian and NSW governments for bushfire recovery, response and preparedness in NSW.

News

LAKE JINDABYNE RELEASES – 16 December 2022

16/12/2022

High inflows to the Snowy Scheme, including the Jindabyne catchment, have been experienced for more than 12 months and are continuing due to the late snow falls and wetter than usual weather conditions.

Lake levels are approaching 100% and continue to rise, so Snowy Hydro has consulted with NSW Department of Planning and Environment (DPE Water) to make pre-releases into the Snowy River below Jindabyne Dam from 1am Saturday 17 December 2022.

Pre-releases will be greater than the environmental releases notified on Snowy Hydro’s website and may change at short notice in response to the weather conditions. Releases are expected to remain below 2,000 megalitres per day, but could increase in response to further weather events.

If Lake Jindabyne reaches 100%, it will trigger the operation of the spillway gates. Dam safety is paramount, and the spillway gates will automatically release water whenever the storage reaches or exceeds 100%.

For the community the most important message is to stay safe and well informed. The public can stay updated about flood alerts here:

For more information about releases into the Snowy River visit

https://www.snowyhydro.com.au/generation/live-data/lake-levels/ and

https://dpie.nsw.gov.au/water/home

Snowy Hydro will continue to keep the community informed about management of water in Lake Jindabyne through its website and social media channels.

News

SNOWY HYDRO STATEMENT ON CLOUGH – UPDATED 16 December 2022

16/12/2022

Snowy Hydro welcomes the announcement by Webuild that it has reached an agreement with Clough Limited administrators to acquire Clough’s share of the Snowy 2.0 project contract and its related workforce.

Our priority remains ensuring the wellbeing and continuity of Clough’s workers on the project and the smooth progress of Snowy 2.0 construction.

We will continue to work closely with Webuild and the administrators throughout the acquisition process.