energy diversity and supply security
Coolimba Power is an important part of the energy mix for Western Australia. It brings geographical and fuel diversity which adds efficiency and security to the long term supply of electricity for all West Australian customers
Approximately 90% of electricity in the South West Interconnected System (SWIS) is generated from sources located south of Perth. This geographical aggregation has significant economical implications, as approximately 12% of power supplied by the SWIS to the Mid West is lost in transmission. Furthermore, the energy market has limited diversity of fuels for electricity generation with 90% of power sourced from Collie coal or gas from the Dampier Bunbury Natural Gas (DBNG) pipeline.
The Western Australian Government is seeking to support diversity in the electricity industry through its recent reforms. The objective of these reforms is best summarised in its "Fuel Diversity Policy" published at: www.energy.wa.gov.au/2/3199/64/fuel_diversity_.pm
The Government aims to maintain a fair and open competitive market for power generation fuels in Western Australia.
To ensure that all fuel types compete on a consistent basis, the new electricity market arrangements will provide the basis for entry of new players into the market in a way that allows for fair competition between new and established generators and fuel suppliers.
The Government will ensure that regulatory regimes encourage efficient and timely investment in infrastructure, encourage efficient and timely development of fuel sources, and provide long term certainty for investors in fuel supply industries.
Coolimba Power will contribute to these objectives by adding geographical diversity to energy generation in the SWIS, as well as creating a third major fuel source for the network.
As the only baseload power station located north of Perth, Coolimba Power is the key to unlocking the resource and industry potential of the Mid West region. Ultimately, Coolimba Power will underpin economic development and growth in the Mid West and provide a competitive power source into the SWIS.