An ambitious plan to connect north-west Queensland with the national electricity grid has been thrown into turmoil, after mining giant Xstrata decided not to back the project.
The much-hyped CopperString Project aims to construct a 1,000-kilometre transmission line from Townsville to Cloncurry, and would give towns, new mines and renewable energy projects energy security.
But Xstrata has instead signed a contract with a natural gas company to construct a gas-fired power station, effectively leaving the rest of the region in the dark.
Windlab was one company planning to tap into CopperString’s transmission lines, but chief executive Roger Price says its plans need to be reassessed.
“It’s obviously very disappointing. It will have a direct impact on Queensland’s ability to meet its renewable energy targets,” he said.
“So it is disappointing, it’s not a positive step forward for the development of clean energy in Queensland.”
Disappointment has been expressed by all levels of government, with Queensland Premier Anna Bligh saying the situation isn’t ideal, and Xstrata’s decision is surprising.
Federal Treasurer Wayne Swan, who was a vocal supporter of the project, has said in a statement to the ABC that the Federal Government is disappointed with the decision, and they will now reassess the energy future of the north-west.
Federal independent Member for Kennedy Bob Katter says the decision means the death of clean energy in the region.
But Steve Du Kruijff, the chief operating officer of Xstrata Copper in North Queensland, says the gas-fired Diamantina Power Station was the best option for the energy needs of Xstrata Mount Isa Mines.
