AGL announces development of $295m gas-fired power station

AGL has announced plans to invest $295 million to develop a 210mW gas-fired power station alongside the company’s Torrens Island plant, near Adelaide.

Construction of the Barker Inlet power station is scheduled to begin later this year, with full operation expected to be underway in early 2019.

“Our decision to move ahead with this development reflects our long-standing commitment to our South Australian customers and our contribution to creating a secure energy system as the market transitions,” said Andy Vesey, AGL’s managing director and CEO.

“Torrens A is now 50 years old. Our decision in June 2016 to defer its previously planned mothballing reflected the importance of maintaining security of supply in South Australia, following the withdrawal at short notice of other thermal power stations.”

Barker Inlet will comprise 12 reciprocating engines capable of generating around 18mW of output apiece, while operating at high efficiency with a lower heat rate than other forms of fast-start plants.

In the meantime, the four Torrens B turbines will continue to operate as normal.