Renewable power key to Hunter's transition

Red hot: Molycop switched to renewable energy last September as part of a long-term purchase agreement with energy retailer Flow Power.

A new research project aims to identify opportunities for the Hunter to transform into a diverse renewable energy-based economy.

The project led by the climate change think tank Beyond Zero Emissions is working with the region's high energy users on a plan to produce their industrial heat from electricity generated from renewable energy.

"The Hunter region can transition from a coal energy hub to a renewable energy hub - and repower its heavy industries with renewable generated electricity," Heidi Lee, BZE's business and industry program leader said.

"As part of our outreach in the Hunter, we have been engaging with a number of local companies who are being really proactive about addressing their future energy needs."

The project coincides with the Grattan Institute report Start with steel: A practical plan to support carbon workers and cut emissionsthat highlights the opportunity for the Hunter to become a producer of 'green steel'.

Waratah-based steel manufacturer Molycop and specialist energy consultants Northmore Gordon were among the companies that participated in an Australian Industry Group webinar last week to discuss low-emissions manufacturing.

Molycop switched to renewable energy last September as part of a long-term purchase agreement with energy retailer Flow Power.

The contract is underwritten by agreements with the Bomen Solar Farm and the Sapphire Wind Farm in regional NSW.

Under the agreement, the company's expected offtake of renewable energy is 100,000 megawatt hours per year, which covers more than half of its electricity consumption in NSW.

Australian Industry Group Hunter Region manager Trevor Stuart said a global transition towards lower emissions was both necessary and inevitable to achieve a state of net zero emissions.

"However, such a transition needs heavy industry participation and development of a clear pathway. We are keen to ensure that in twenty or thirty years time the Hunter Region maintains its position at the centre of energy production and innovation," he said.

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