PLEA Network

17 December 2015, Renew Economy, Tasmania switches gas fired generator back on as hydro runs low. Hydro Tasmania has announced that it will re-assemble and restart its Tamar Valley gas-fired generators for the first time in 18 months in response to the driest spring in the state ever recorded. The state-owned company, which powers the local grid mostly with hydro and wind energy, and exports some of that to the mainland, says hydro levels have sunk to around 25 per cent after the driest September to November period on record, although better inflows have been received in recent weeks. It says that restarting the Tamar Valley gas generators, which operate as a combined cycle gas turbine (broadly equivalent to base load rather than peaking) makes “good commercial sense”. Presumably because it allows the limited hydro to be conserved for higher pricing peaking events. The fall in hydro reservoirs is not just a problem in Tasmania. Earlier this year, Snowy Hydro decided to pay $234 million for the Colongra gas-fired power plant in NSW. Even though the plant had only operated for a total of 300 hours in 5 years, and rising gas prices basically priced it out of the market, Snowy Hydro bought the gas peaking plant as an insurance against the risk of declining water levels. Its gas plants in Victoria performed a similar role in the last drought in that state. Read more here