Planning and approvals for Enertrade’s $350 million Townsville South gas-fired power station were well underway in June, with the company proceeding with its concept study including consultation, environmental assessment, equipment pricing and fuel reserve proving.

The project involves the construction of a 380-400 MW combined cycle gas turbine power station and around 3 km of gas pipeline. The power station will initially be fuelled by coal seam gas supplied through the North Queensland gas pipeline, which has sufficient capacity to supply the required 12 to 20 PJ/year that is required. The fuel could also potentially include natural gas if it becomes available. The go-ahead for the power station rests on a State government decision due in mid to late next year.

A draft Terms of Reference (ToR) for the Environmental Impact Statement (EIS) is being developed in accordance with the guidelines issued by the Queensland Environmental Protection Agency – both documents will be made available to other government departments and the public for comment later this year. Enertrade aims to complete a feasibility study this year, which would go before the board in 2006 and, if approved, would be submitted to State Government shareholder ministers for final approval, allowing construction to commence in late 2006, with the plant commissioned in late 2008.