Cleaner, diversified generation

Key elements of the Queensland Government's new Smart Energy Policy (outlined in ClimateSmart 2050) to reduce greenhouse gas emissions through cleaner, diversified generation include:

These new initiatives will stimulate investment in renewable energy and gas-fired power stations in Queensland to diversify the State's energy generation mix, and provide support for households to install domestic solar power systems.

The Smart Energy policies will build on the outcomes already achieved by the Department of Mines and Energy in reducing the State's reliance on coal based generation through:

Queensland 13% Gas Scheme

Queensland's 13% Gas Scheme — has diversified the State's energy mix by increasing the contribution of lower-emission gas generation. It requires electricity retailers and some other liable parties in Queensland to source at least 13 per cent of their electricity from gas-fired generation.

Since May 2000, over 1100 megawatts (MW) of gas-fired generation capacity has been commissioned in Queensland. The Scheme has secured investment of approximately $2.5 billion in new and committed gas-fired power stations since 2000.

Each megawatt-hour of electricity produced from natural gas reduces the growth in greenhouse gas emissions by around half (compared with coal-fired generation). From January 2005 to 1 September 2007, the 10,996,379 megawatt hours (MWh) of gas-fired electricity generated under the Scheme has resulted in a greenhouse emissions reduction of approximately 5.3 million tonnes, or the equivalent of planting 21 million trees, (compared with emissions from conventional coal-fired generation).

Renewable energy

Renewable energy plays an important role in the State's generation mix with biomass (primarily bagasse or sugar cane waste) the most commonly used renewable source in Queensland. Currently the State has the capacity to generate approximately 400 megawatts (MW) of biomass-fired electricity. The use of biomass as an energy source has added value to Queensland's sugar industry.

The Queensland Government has invested in a number of renewable energy generation assets, including:

Barron Gorge hydro station
Kareeya hydro station
Koombooloomba hydro generator
Thursday Island Wind Farm
Australia's first wet geothermal power station in Birdsville
Townsville Citiwater Biogas Co-generation Project
Swanbank B Power Station landfill gas supply

Currently, renewable generation accounts for 3.2 per cent of Queensland's electricity generated each year. This includes both on and off grid electricity generation. Under the 10% Renewable and Low-Emissions Target (10% RLEET) scheme, electricity retailers will be required to source 10 per cent of their annual energy sales from Queensland-based renewable and low-emissions generators by 2020.

The Queensland Government is supporting investment in new renewable energy technologies through grants and concessional loans available under the new $50 million Queensland Renewable Energy Fund.

Other initiatives the Queensland Government is investing in to encourage the further development of renewable energy generation, include:

$5 million Solar City project that will improve Townsville's grid-connected solar distributed generation, energy efficiency and demand side management as a electricity generation and supply solution; and
facilitating increased exploration of geothermal energy (five geothermal exploration permits were issued over western Queensland leases in early 2006).

Geothermal energy legislation

Queensland is the first State in Australia to have specific legislation for the development of geothermal energy. The Geothermal Exploration Act 2004 and the Geothermal Exploration Regulation Act 2005 have regulated the exploration of geothermal resources to parties interested in developing geothermal energy generation projects. These projects will be further progressed through the introduction of the new legislation enabling the production of geothermal energy.

Though much of the initial interest in geothermal energy sources has centred on the deep granite deposits in far south west Queensland, interest is now also being shown in geothermal energy sources closer to existing transmission lines.

Green Energy

Queensland businesses and households can support the further development of renewable energy, by purchasing government-accredited renewable energy (known as GreenPower) from their electricity retailers. In June 2007, more than 105,000 Queensland households and over 2,600 businesses purchased GreenPower.

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Last Updated 08 August 2008