Economic impact report for long duration energy storage project in Broken Hill Confirms it will create significant employment during construction and operations.
June 7, 2021 (Broken Hill, Australia) – Hydrostor, a long duration energy storage solution provider, today announced the latest results from a third-party economic impact report produced by ACIL Allen for its 200 MW Advanced Compressed Air Energy Storage (A-CAES) project being developed in Broken Hill, New South Wales.
The report demonstrates significant economic benefits to New South Wales and the local community of Broken Hill. Highlights of the report include:
- The total investment is expected to be up to $560 million, with the vast majority of construction expenditures occurring in New South Wales and the community of Broken Hill.
- The Project will employ an average of 260 full time equivalent (FTE) construction jobs* over three years, with a peak in the second year of 350 workers. It is anticipated that many of these workers will be sourced from the local Broken Hill region.
- During the 50+ year project life, approximately 53 percent of all operations expenditures will be purchased from the Broken Hill region, equivalent to a total of $460 million or roughly $12 million per annum.
- Over the project’s economic life to 2075, it is expected that the project will support substantial local employment opportunities with 70 FTE jobs in the Broken Hill region and over 90 FTE jobs in New South Wales as a whole.
- In addition to the direct jobs generated during the construction and operation phases, the project will require significant quantities of New South Wales goods and services, which will further increase labour demand across the State.
In addition to these economic benefits, the A-CAES project at Broken Hill provides a critical long-term grid reliability solution to the remote mining community, in a manner that does not rely on fossil fuels, thereby eliminating potential supply chain disruptions and the need to truck in vast amounts of diesel fuel over large distances to ensure electrical supply. Importantly, the A-CAES project enables the community and mining operations to grow over time, serving an increasing electrical load in the most cost-effective manner for the grid.
Curtis VanWalleghem, CEO, Hydrostor, said: “New South Wales is one of the first regions to future proof its transition to renewable energy by investing in long duration energy storage. Hydrostor’s A-CAES system will allow renewable energy to support the grid on-demand, even in unfavourable weather conditions for wind or solar energy. This supports the direct replacement of fossil fuels and protects the Broken Hill energy system for generations.”
Simon Currie, Principal, Energy Estate, Hydrostor’s development partner, said: “Hydrostor’s innovative technology is perfectly suited to a location like Broken Hill. It will deliver long duration energy storage by utilising existing mine infrastructure and will facilitate the development of new renewable energy projects, as well as service the local community and new and existing mining loads. Compressed air projects can be sited more flexibly than other viable long duration options such as PHES and Broken Hill is the first in a pipeline of projects we plan to jointly develop in Australia.”
Darriea Turley, Mayor, Broken Hill City Council, said: “This is a very exciting and innovative project for Broken Hill, and one that I think will be welcomed by locals. It will bring employment and energy security to our region and provide a new method of utilising mining infrastructure. This project aligns with Council’s own Renewable Energy Action Plan and Sustainability Strategy and will complement renewable energy projects in our city well into the future.”
Advanced-Compressed Air Energy Storage (A-CAES) is Hydrostor’s long-duration energy storage system that provides reliable, emissions-free energy storage where the grid needs it. A-CAES uses proven components from mining and gas operations to create a scalable energy storage system that is low-impact, cost-effective, and can store energy for up to 6+ hours.
In 2020, Hydrostor’s 200 MW and 8 hours (or 1600 MWh) A-CAES system was selected by NSW’s Transmission Network Service Provider, Transgrid, as the preferred option in its Regulatory Investment Test for Transmission (RIT-T) for reliable and secure supply for Broken Hill. Hydrostor and Energy Estate are actively developing this project, which has received grant funding from the NSW Government’s Emerging Energy Program to complete pre-feasibility work.
To learn more about this project, visit: http://www.strata-store.com/brokenhill-a-caes-project/
*One Full Time Equivalent (FTE) means one person working for one year on a full-time basis.
Hydrostor is a long duration energy storage solutions provider that provides reliable and affordable utility integration of long duration energy storage, enabling grid operators to scale renewable energy and secure grid capacity. Hydrostor supports the green economic transition, employing the people, suppliers, and technologies from the traditional energy sector to design, build, and operate emissions-free energy storage facilities. Hydrostor has developed, deployed, tested, and demonstrated that its patented Advanced Compressed Air Energy Storage (A-CAES) technology can provide long duration energy storage and enable the renewable energy transition. Hydrostor has projects worldwide in various development stages for providing capacity of over 200 MW and for 6 or more hours. Learn more about Hydrostor here: hydrostor.ca
About Energy Estate
Energy Estate is an advisory firm and business accelerator, focused on accelerating the transformation of the global energy sector. Energy Estate has successfully developed large scale renewable energy projects in NSW such as the 120MW Bomen Solar Farm and their pipeline of projects includes Walcha Energy Project in NSW and Central Queensland Power and Abbot Point Clean Energy Hub in Queensland. Energy Estate is committed to the development of long duration storage options in multiple markets globally as we believe solutions such as A-CAES are critical to meeting the needs of energy users in a decarbonising energy system. Learn more about Energy Estate here: energyestate.com
2 thoughts on “Hydrostor Project to Contribute more than AUS$500 million to New South Wales Economy”
Pingback: A deep dive into Lazard’s LCOE report – pv magazine USA
Pingback: A deep dive into Lazard’s LCOE report | Your Solar News Aggregator
Comments are closed.