Tag: Snowy Hydro

News

Snowy 2.0 Declared Critical State Significant Infrastructure

09/03/2018

Snowy Hydro welcomes the New South Wales Government’s decision to declare Snowy 2.0 as a Critical State Significant Infrastructure (CSSI) project.

The declaration signifies the critical role that the Snowy 2.0 project, together with the upgrades to the NSW transmission network, will play in providing reliable energy and large-scale storage to NSW as we transition to a low emissions economy.

Snowy 2.0’s generation and large-scale storage capabilities, along with the existing Snowy Scheme, will continue to underpin the stability and reliability of the NEM as more intermittent renewables enter the market.

The CSSI declaration is not final approval for the project.  It is a framework that sets out the robust environmental assessment and approval process that is required for the Snowy 2.0 project.

Paul Broad, CEO of Snowy Hydro said that the CSSI declaration gives the company a very clear and transparent process to follow.

“Like any other project, we are preparing comprehensive Environmental Impact Statements which will include a range of scientific and technical studies to be carefully scrutinised by the NSW Government.

“We have the greatest respect for the Kosciuszko National Park. It’s  our backyard and for almost 70 years we have been excellent responsible environment managers operating the existing Scheme across the region.

“The project’s design is being done in a way that minimises its environmental footprint.  This includes putting the majority of the physical structures, such as tunnels and the powerstation deep underground”, Mr Broad said.

The EIS will detail the components of the project, the potential environmental, social and economic impacts of Snowy 2.0 and how to best manage them.  As part of the EIS, we will undertake thorough community consultation so that the wider community can have input into the process. The EIS will also be published for public comment.

Under the CSSI process and in accordance with the NSW Environmental Planning and Assessment Act 1979, Snowy Hydro will submit an EIS for assessment by the Department of Planning and Environment, in consultation with other key agencies such as the National Parks and Wildlife Service and the Environment Protection Agency.  

News

Good business makes good business: The Case for Snowy 2.0

10/01/2018

The National Electricity Market (NEM) has long been an outstanding example of Australia’s microeconomic reform. It brought much needed competition to an industry once dominated by inefficient, state-run enterprises.

Snowy Hydro has been at the heart of this market, with volatility being the key driver of value for our business.

Our unique portfolio of fast start generation assets and large storages allows us to generate at times of peak demand, provide cap contracts insuring retailers against price volatility, and “time-shift” surplus, low price energy to high price/demand periods. We also underpin system security through synchronous generation and strong inertia capability.

Snowy 2.0 is an expansion of what we already do.  It is not new or unique. The concept of expanding our pumped storage capability has been around since the 1960s. The growth of baseload power negated its viability, but the economics are changing rapidly.

As intermittent renewables grow, the market will experience greater volatility and uncertainty. The Australian Energy Market Operator confirms this trend as we move to a lower emissions future.

Snowy Hydro has witnessed this first hand, with increased demand for cap contracts in recent times.  As it’s often said, when the wind doesn’t blow or sun doesn’t shine, how you fill the gaps forms the cornerstone of a secure, reliable and affordable NEM. In fact, filling in gaps has always been a key role of Snowy Hydro. As renewables increase, the need for our services will increase exponentially.

All independent analyses show that large scale storage is paramount to a lower emissions future. Snowy 2.0 will deliver 350,000MWh of storage to consumers at lowest cost. In fact, the project’s economics blow the alternatives out of the water. If Snowy 2.0 wasn’t built, the alternative would be a combination of batteries and open-cycle gas plants, costing at least twice as much and resulting in higher prices for consumers.

Some commentators have mistakenly sought to model Snowy 2.0 on today’s NEM, rather than the NEM we see coming. The future NEM, dominated by renewables, will require significant flexible peaking generation and storage. Snowy 2.0 will come online from 2024 at precisely the right time to fill the gaps and stabilise the market.

Snowy Hydro is already the leading provider of cap contracts. Increased market volatility, together with Snowy 2.0’s unrivalled storage capability, will allow us to expand our product offerings. These include insurance ‘floors’ and ‘collars’ (providing price certainty for wind and solar) and seasonal ‘energy exchange’ products. This will enhance long term energy security.

Snowy Hydro’s ability to provide ancillary services, critical for system security, will also increase to meet the demands of the future NEM.

As for claims that the economics don’t stack up – I refute them categorically.  Snowy 2.0 can be funded off our balance sheet, while delivering a healthy internal rate of return of 8%.

While historically we have not often used our pumping capability, we’re progressively pumping more and will be at capacity when Snowy 2.0 comes online. In fact, our analysis shows that future storage demand will surpass Snowy 2.0’s capacity from 2031, when we can again deliver by expanding the Scheme using the same reservoirs as Snowy 2.0, to benefit future generations.

The scale, complexity and challenging geology of Snowy 2.0 requires a significant investment. Like any major infrastructure project, it is not without risk. To mitigate these risks, we have handpicked a team of world experts as partners on the feasibility study and beyond as we finalise the project’s precise technical requirements.

Finally, to suggest Snowy Hydro isn’t paying for transmission is misleading.  The capital costs for Snowy 2.0 provide for the cost of the project’s transmission connection, that is, the lines connecting our assets to the wider shared network.  The shared transmission network is common infrastructure used by all generators, with Snowy Hydro being only one and in fact the most infrequent user today, given we only generate at peak times.

The transmission network was built decades ago around coal, and the ideal zones for renewables are not in the same locations. The shared network needs a major upgrade to cater for renewables growth as new projects – again one of which is Snowy 2.0 – come online. The suggestion that Snowy Hydro pay for the entirety of these upgrades is misplaced.

At Snowy Hydro, our financial track record speaks for itself. We conduct rigorous forensic analysis of all investment opportunities and apply stringent hurdles to ensure the best outcomes for our shareholders. Our independent Board exercises the highest levels of scrutiny in assessing investment decisions.

Our feasibility study demonstrated the sound economics of Snowy 2.0.  As we move towards a final investment decision late this year, our discipline will not waver. Our shareholders, and the energy industry, would expect nothing less.

News

Snowy 2.0 Feasibility Study Delivered

20/12/2017

Snowy Hydro’s independent Board of Directors has approved the Snowy 2.0 feasibility study, and for further work to be undertaken for the project to progress to a final investment decision in 2018.

The feasibility study released today confirms that the Snowy 2.0 pumped hydro expansion project is both technically and financially feasible.  The comprehensive study provides a base case design and a strong investment case that exceeds Snowy Hydro’s stringent investment hurdles, with significant input from leading experts in economics, engineering and geology.

Snowy Hydro’s CEO, Paul Broad, said that progressing Snowy 2.0 was a strategic business decision and the projected return on investment would enable the company to fund the project.

“Snowy Hydro already plays a critical role in keeping the lights on but Snowy 2.0 would supercharge our existing capabilities by adding an additional 2,000 megawatts of dispatchable generation and 350,000 megawatt hours of large-scale storage.

“Snowy 2.0 will underpin the security and reliability of the National Electricity Market (NEM) as we transition to a low emissions future, at least cost to consumers.

“As coal-fired generation retires and renewables continue to grow, Snowy 2.0’s scale and central location will provide secure and reliable energy generation and the necessary large-scale storage to prevent blackouts and lower future energy prices.

“Snowy 2.0 is a strategic long-term investment in the NEM that will firm up future wind and solar generation.  Intermittent renewables underpinned by Snowy 2.0 is a combination that could replace baseload generation when coal-fired power stations retire,” Mr Broad said.

The feasibility study outlines:

  • A strong investment case for the project and funding strategies.
  • A base case technical design, to be further refined as the project moves to final investment decision.
  • The independent estimation of costs between $3.8 – $4.5 billion, which takes into account the need for extensive reinforcement of the project’s structures due to the challenging geological conditions that were uncovered during the geotechnical drilling program.
  • If Snowy 2.0 is not built, the NEM would need a combination of batteries and gas peaking stations to meet future energy needs.  This would cost at least twice as much as Snowy 2.0.
  • A project schedule that will see the first power generated from Snowy 2.0 in late 2024, in time to meet market needs.

“Completing this study is a significant and exciting milestone for us but it’s only just the beginning. The sheer size of Snowy 2.0 makes it a complex and significant project that will put the Snowy Mountains back in the global spotlight,” Mr Broad said.

Between now and final investment decision, Snowy Hydro will undertake further work including additional geotechnical drilling, issuing project tenders, finalising funding for the project and working through well established and rigorous environmental and planning approval processes.

The project will also boost economic activity across the Snowy Mountains from employment opportunities across the supply chain and in supporting services.

Snowy Hydro would like to acknowledge the work of our lead study engineer SMEC Australia and the Australian Renewable Energy Agency for their contributions to the study.

The feasibility study and more information on the project can be found on our website here.

To watch a video on the project click here.

News

Snowy’s highest power station to reach new heights

10/11/2017

Snowy Hydro, working with Andritz Hydro, is about to commence detailed design work for the replacement of the generator in unit one at Guthega Power Station. After more than 60 years of reliable operation this is the first time any generator across the Snowy Scheme has needed to be replaced.

The generator is connected to the turbine and is the part of the machine that converts the power produced by the spinning turbine into electrical energy for consumers. This project is certainly not your average flat pack. The generator will be assembled from thousands of individual pieces and weighing in at 230 tonnes it will need specialised trucks and trailers to get it on site.

Paul Broad, CEO of Snowy Hydro said this $13 million replacement project was the latest example of the company’s strategic investment in the Snowy Scheme.

“It’s not just Guthega Power Station we’re investing in. We have a thorough asset maintenance and modernisation program that upgrades our power stations and the water infrastructure across the Snowy Scheme.

“We’ve undertaken asset improvements that have actually increased the Scheme’s total generation capacity”.

“We’ve also implemented new technologies that allow us to start our generators faster, respond more quickly to changing market conditions and run our power stations remotely through our central control centre”, Mr Broad said.

The new generator will have a higher design rating (40 megawatts) than the existing unit to match the previously upgraded turbine. Every generator across the Scheme can be used independently and therefore each unit wears differently and is replaced based on its condition rather than age.

After undertaking a competitive tender process Snowy Hydro appointed Andritz Hydro to undertake the design, fabrication, install and commissioning of the generator. Andritz Hydro is a global supplier of electromechanical systems and services for hydropower plants and hydraulic power generation. The detailed design process and unit fabrication is expected to take around 12 months.

The Guthega Power Station houses two 30MW hydro-electric generating units and was the first power station built with construction starting in 1951. It’s on the Snowy River, just 12 kilometres from the summit of Mount Kosciuszko and sitting at 1330 metres above sea level, it is the highest power station in the Snowy Scheme.

Media contact: Stephanie McKew – General Manager, Corporate Affairs & Media 0409 298 757

News

National Science Week Winners

31/10/2017

After much deliberation from the judging panel, ten winners of the ‘Science of the Snowy’ competition were announced today.

The winners came from schools across the Snowy Mountains. The calibre and creativity of entries greatly impressed the judging panel which included the Hon Mike Kelly Member for Eden Monaro, Carolyn Ewart, from Country Universities Centre, and Tumut radio personality David Eisenhauer.

Chief Executive Officer, Paul Broad, said it was fantastic to see local children so engaged in science and technology. With more than 40 entries from Batlow to Bombala, the judges had a very tough job selecting the winners.

“Snowy Hydro is a modern and growing business. While some parts of the Scheme are more than 60 years old, we’re constantly upgrading our assets and integrating the latest technology into our operations.

“The level of research and effort that went into the entries shows we have many budding scientists and engineers in our local community.

“It’s great to see curious,young minds and I hope to see some of their names pop up on applications for jobs at Snowy Hydro in the years to come”, Mr Broad said.

Recognition and thanks must go to our judging panel and all the teachers that encouraged their students to enter the competition.

Competition winners: Jamie Jessup, Jackson Trellis, Ashley Lloyd, Dakota Simpson,
Hayley Bell, Sophie Wood, Courtney Bennett, Bridie Hampshire and Tye Gulliford.

Along with the 9 students, the judges also selected the entry from the Batlow Technology School to round out the winners.

Highly commended entries Brandy Cotty, Luke Jones, Taya Douch, Lily Edgecombe, Jemima Merritt, Finn Sullivan and Rachael Babidge.

The ‘Science of the Snowy Competition’ was launched as part of Snowy Hydro’s National Science Week Celebrations. To enter students in years 3-6 in the Snowy Mountains area shared their favorite favourite science, engineering, or technology fact about the Snowy Scheme.

The winners will receive a behind the scenes tour of the Snowy Scheme. Both winning and highly commended entries will be displayed in the Snowy Hydro Discovery Centre in Cooma.

News

National Science Week Competition

14/08/2017

‘The Science of Snowy’

As part of National Science Week this year, Snowy Hydro is running a ‘Science of the Snowy’ competition for Snowy Mountains students in years 3-6.

Paul Broad, Chief Executive Officer, said that National Science Week was a great opportunity for students to learn more about the science and engineering aspects of the Snowy Scheme.

“The construction of the Snowy Scheme was one of the civil engineering wonders of the modern world and from our pioneering past, we have grown into a modern and innovative energy company,” Mr Broad said.

To enter the competition just tell us your favourite science, technology or engineering fact about the Snowy Scheme. Your entry can be in words, pictures, a drawing or even a video.

Mr Broad said his favourite fact is that the Snowy Scheme acts like Australia’s biggest battery.

“While the Snowy Scheme may not look like a typical battery, it acts just like one. In the same way as a battery stores energy, the Snowy Scheme stores water which can be quickly used to create energy when it’s needed”, Mr Broad said.

Each winner will get two tickets to a VIP tour of the Snowy Scheme (including a power station) with some of Snowy Hydro’s very own scientists and engineers.

All winning and highly commended entries will also be displayed in the Snowy Hydro Discovery Centre in Cooma.

The competition is open to students at schools within the Snowy Valleys Council and Snowy Monaro Regional Council regions and in years 3-6.

The ‘Science of the Snowy’ competition opens on 14 August 2017 and closes at 5pm on 22 September 2017. An independent panel of judges will select the winners, with the panel to be announced shortly.

For more information on how to enter and some Snowy Hydro topic ideas visit our NSWk competition page here

News

Snowy 2.0 activities adjacent to the Snowy Mountains Highway

03/08/2017

Over the coming weeks there will activities conducted as part of the Snowy 2.0 feasibility study adjacent to the Snowy Mountains Highway, about 12km north of Kiandra.

This work includes preparing for and undertaking investigative geotechnical drilling and you may see some trucks in and around the area.

At times there will be work on both sides of the highway and activity will be underway both during the day and at night.

The work involves drilling small core holes so we can better understand the rock underneath and inform the feasibility study. Approvals for the work was provided by National Parks and Wildlife Services after Snowy Hydro conducted a thorough environmental assessment.

Snowy Hydro takes safety very seriously and drivers are asked to exercise caution in the area. A traffic management plan will also be in place although we expect the any impacts on traffic to be minimal.

More information about the Snowy 2.0 project can be found here.

News

Visitors in Cooma ahead of drilling for Snowy 2.0 commencing

28/06/2017

The Prime Minister, Malcolm Turnbull, Deputy Premier John Barilaro and Parliamentary Secretary Bronnie Taylor visited Cooma today ahead of investigative drilling commencing for Snowy 2.0.

Snowy Hydro Limited CEO Paul Broad and Snowy Mountains Engineering Corporation (SMEC) CEO Andy Goodwin provided a Snowy 2.0 update and showcased one of the drill rigs.

Mr Broad said the investigative drilling, which is expected to commence next month after all approvals, is a critical milestone for the Snowy 2.0 feasibility study.

“The drilling will provide us with detailed geotechnical information about the rock formations, strength and structure of the area where the tunnels between the Tantangara and Talbingo reservoirs and underground power station will be located.”

“The core holes will be drilled in key locations so that we have a very clear picture of the geology and can better plan and cost the project.” Mr Broad said.

The geotechnical information collected through this process will be shared with research and education institutions for science and research purposes.

The Prime Minister, Deputy Premier and Parliamentary Secretary’s visit was also an opportunity for Snowy Hydro and SMEC to bring together their local project teams to celebrate the reopening of the SMEC office in Cooma.

SMEC’s CEO Andy Goodwin said the reopening of their Cooma office and work on the Snowy 2.0 feasibility study will continue to generate economic activity in the region.

“It’s great to be working on such a iconic hydropower project with Snowy Hydro that reflects on our namesake and history. For SMEC this is an opportunity to bring back our local people with global experience to contribute to the legacy for the next generation.

“The Feasibility Study will generate more than 250 jobs across professional services, construction and administrative support and if Snowy 2.0 goes ahead we expect to create about 5000 jobs over the life of the build,” Mr Goodwin said.

The Snowy 2.0 Feasibility Study will be completed by the end of this year.

Snowy Hydro is proud to provide secure, stable and reliable renewable energy to households and businesses. If built, Snowy 2.0 would increase the generation capacity by up to 50 per cent, making up to 2000 megawatts available to the National Electricity Market.

News

Snowy Hydro briefs industry on Snowy 2.0

15/06/2017

Snowy Hydro Limited (SHL) held an industry briefing in Sydney today for a large group of representatives of leading construction and engineering firms on the Snowy 2.0 pumped hydro project.

The industry briefing was told that SHL’s feasibility study was in full swing, with plans in place for geotechnical tests to begin shortly. While it was still early days, the company felt optimistic about the viability of the project and all going well, construction could begin in 2018, subject to the outcomes of the feasibility study.

SHL CEO Paul Broad told the briefing that the Finkel Review’s recommendations of a new Clean Energy Target and Regional Security Obligation offered major opportunities for the Snowy 2.0 pumped hydro project.

Mr Broad said there would be a strong increase in the use of intermittent power in the market – wind and solar – that would require reliable and rapid back-up supply of renewable energy. Snowy 2.0 would help further strengthen the critical role that SHL currently plays in ensuring system security and reliability.

“We are already the largest and most reliable battery storage option for the National Electricity Market. With Snowy 2.0, we will be able to provide an extra 2,000 MW of new renewable capacity and provide increased energy security and stability. This will be crucial as Australia transitions to a low-emissions economy over the next 20 to 30 years,” Mr Broad said.

Mr Broad said the importance of the Snowy 2.0 project was apparent from the participation today by key representatives of leading global and local civil engineering, tunnelling and electrical experts.

“There was strong support for the project from the leading industry players who attended the briefing today, and who are keen to partner with us to deliver this exciting project.There has been nothing like this in Australia since Snowy was completed in the 1970s and we want the best people available to assist us,” Mr Broad said.

Snowy Hydro advised industry that it would be undertaking a three-stage process to procure two packages of services, with one covering civil works and the other electrical/mechanical works.
Expressions of Interest would be called for shortly, with selected suppliers to be shortlisted for an Early Contractor Consultation Phase by late July.

Snowy Hydro Media Enquiries:
Simon Troeth

0439 300 335

e: Simon.Troeth@newgatecomms.com.au

News

Snowy Hydro welcomes Finkel Review

09/06/2017

Snowy Hydro Limited welcomes the support of the Finkel Review of pumped hydro as a key to energy security as it focuses on recommendations aimed at strengthening reliability in the National Electricity Market.

Snowy Hydro CEO Paul Broad said the Snowy 2.0 project would play a key role in both ensuring security of supply and backing up the expected big increase in intermittent supplies – wind and power – in the market.

The report states on p33 that “Battery and pumped hydro storage will be able to support a reliable and secure NEM, as and when they are deployed at scale.”

Mr Broad said the Finkel Review had identified the need to guarantee back-up to any new intermittent power supply projects.

“Snowy 2.0 fulfils the objectives of the Finkel Review on energy security, in that it can uniquely provide the largest scale and affordable storage of renewable energy to support the reliable and secure power supply that is needed for Australia to move safely to a low emissions economy”, Mr Broad said.

“The Finkel review rightly points to the importance of pumped hydro as an essential back-up to intermittent wind and power to protect consumers and business, and ensure we don’t face the catastrophic supply failures that we have seen in South Australia.”

Snowy Hydro also supports market-based mechanisms to achieve the Government’s commitment to climate change targets, as well as stable and long term policy certainty. We will be actively engaging with relevant bodies to implement policies which best meet the energy trilemma of market efficiency, energy security and emission reductions.

Snowy Hydro Media Enquiries:

Simon Troeth

0439 300 335

e: Simon.Troeth@newgatecomms.com.au

www.snowyhydro.com.au

News

Snowy Hydro and SMEC reunite for Snowy 2.0

11/05/2017

Snowy Hydro Limited and the Snowy Mountains Engineering Corporation Australia (SMEC) will join forces once again, this time to carry out the feasibility study into the potential expansion of the Snowy Scheme’s pumped hydro storage capability.

Snowy Hydro and SMEC have a long association and worked together from the earliest days to develop the iconic 4,100 megawatt (MW) Snowy Mountains Hydro-Electric Scheme under the auspices of the Snowy Mountains Hydro-Electric Authority, established in 1949.

Selected through a tender competitive process which attracted interest from a field of world-class engineering firms, SMEC has now been appointed as the lead consultant engineer for the feasibility study into the first major expansion of the Scheme since construction days.

Snowy Hydro CEO Paul Broad said “SMEC was the obvious choice to partner with us on the study, given we share the same DNA. It really is a case of getting the band back together. The task now will be to bring together our best and brightest to revisit some of the visionary proposals developed over many years by the talented men and women who built the Scheme.”

The feasibility study will first review existing proposals to expand pumped hydro storage on the Snowy Scheme, many of which have existed since the 1960s. Under the most prospective proposal, up to 2,000 MW of hydro-electric energy could be added to the grid to act as rapid response back-up during periods of high demand and fill the gaps in energy supply caused by the growth in intermittent renewables and the exit of thermal baseload power.

The pumped hydro capability means the water utilised for electricity generation can be recycled to provide supply when it’s needed most, with no impact on the Scheme’s ability to continue to supply valuable water to irrigators in the food bowl of south-eastern Australia.

“This project has the potential to deliver one of the largest pumped hydro schemes in the world and underscores the importance of the Scheme’s existing role as the battery of the National Electricity Market.”

“While it has long been an Australian engineering icon, the importance of the Snowy Scheme’s role as the battery storage of the NEM will only become more critical as we move to a low carbon economy. The reliable, fast-start Scheme can help to responsibly manage the exit of baseload thermal power and the rise of intermittent renewables.

“As we move through the feasibility study phase, we will gain greater clarity around the technical and engineering requirements for the expansion as well as costs and timeframes for its construction”, Mr Broad said.

SMEC CEO Andy Goodwin said “Snowy Mountains are part of our namesake and the backbone of our heritage, so the chance to be involved in this project again is a unique ‘twice-in-a-lifetime’ opportunity, both for our organisation and those engineers who worked on the original scheme.

The Snowy 2.0 project will provide us with new design challenges from its predecessor and we’ve created a team of our most experienced specialists to deliver the feasibility stage.

We’re honoured to be part of the project and looking forward to resuming our presence within the Cooma community again.”

SMEC’s appointment will deliver significant benefits to the local Snowy Mountains community. As part of its commitment to this project, SMEC will reopen its previous offices in Cooma, which will see more than 30 staff permanently based in the town.

News

Expanding Pumped Hydro Storage

15/03/2017

The iconic Snowy Scheme’s role as the battery of the National Electricity Market (NEM) could be supercharged as part of plans to expand the pumped hydro storage capability within the Scheme.
Snowy Hydro, working with the Australian Renewable Energy Agency (ARENA), will shortly commence a feasibility study into several sites across the Scheme which could support new large-scale, pumped hydro-electric energy storage.

The proposal could add up to 2000 megawatts of new renewable energy to the NEM and act as rapid response back-up to fill the gaps in energy supply caused by intermittent renewables and generator outages.

The pumped hydro capability means the water utilised for electricity generation can be recycled to give continuous supply when it’s needed most, with no impact on the Scheme’s ability to continue to supply valuable water to irrigators in the food bowl of Australia.

Snowy Hydro Managing Director and CEO, Paul Broad, said the proposal has the potential to deliver an innovative clean-energy solution to the critical security and supply issues in the NEM, helping to take the pressure off power prices for consumers and businesses, while reducing emissions.

“From our earliest days, Snowy Hydro has been moving water to support the irrigators in the food bowl of Australia and generating electricity during peak demands to keep the lights on in the NEM,” Mr Broad, said.

“The creators of the Scheme foresaw a time when its capabilities may need to be expanded and, as a result, there are very real options in-built in the Scheme’s design to extract more value to the community.

“At a time when the security and stability of the NEM, energy affordability and emissions reduction are under scrutiny, there is an opportunity to leverage the iconic Snowy Scheme to once again deliver an energy solution for the country.

“By supercharging the utilisation of the Snowy Scheme’s storage, we can help the NEM best cope with peak demand through new supply at a time when baseload energy is exiting the market and renewables with intermittent generation are not providing the reliable capacity needed by Australian businesses and consumers.

“While the feasibility study is the first step, this project could once again bring together the world’s best and brightest engineers and technicians to enhance a national icon.”

The Scheme itself already operates as the ‘battery storage’ of the NEM, utilising dams to store energy in the form of water that can be delivered to the grid within minutes through the fast start capabilities of the Scheme’s nine power stations.

There are a number of sites across the Scheme capable of supercharging Snowy Hydro’s storage capability – providing additional generation capacity, helping the security and stability of the NEM, and with pumping capability to maximise the water resources and existing dam storage in the Scheme.  The most prospective project could increase the capacity of the 4100 megawatt Snowy Scheme by 50 per cent and result in a power station at least as powerful as Snowy Hydro’s 1800 megawatt Tumut 3 Power Station, which already includes pumped hydro capability.

The feasibility study will explore the physical, technical and environmental requirements for expansion of pumped hydro at sites across the Scheme, the potential output of new pumped hydro facilities and the costs associated with each project.

The Australian Government, through ARENA, is negotiating grant funding to support the Snowy Hydro feasibility work as part of ARENA’s ongoing efforts to accelerate Australia’s shift to renewable energy.

ARENA CEO Ivor Frischknecht said expanding the Snowy Scheme could help to deliver ARENA’s goal of ensuring a smooth transition to a renewable energy future.

“Australia’s energy system is rapidly evolving and ARENA is funding solutions like pumped hydro storage that provide consumers with more affordable and reliable renewable energy,” Mr Frischknecht said.

“Pumped hydro is economically viable right now and supports our grids by providing long term energy storage capacity that’s available on demand.”

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