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Newcastle Herald
Newcastle Herald
National
Matthew Kelly

Renewables growth puts heat on Kurri gas peaker

Electricity generated from renewable energy reached record highs this spring while gas consumption continued to slide, new data shows.

A Climate Council analysis of National Energy Market (NEM) data shows renewables provided more than a third of the NEM's power, with solar and wind generation growing by more than 20 per cent in NSW and Victoria.

Gas generation in the NEM fell to its lowest spring levels in 15 years, providing less than five per cent of power needs, despite virtually no change in electricity demand.

Gas Free Hunter spokeswoman Fiona Lee said the data was further evidence that the Federal Government's $600 million, 660 megawatt gas-fired peaker at Kurri was not needed.

A petition containing the signatures of 55,000 people opposed to the project was delivered to the office of NSW Treasurer and Energy Minister Matt Kean on Wednesday.

Mr Kean has distanced himself from the project, which still requires state government approval.

"I'm focused on the industries of tomorrow like hydrogen and green steel and green ammonia," Mr Kean said at the launch of a green hydrogen project in the Upper Hunter.

"If the Federal Government wants to invest in the industries of the past, good luck to them. I'm not going to knock back half a billion dollars worth of Commonwealth funding."

But Nationals Senator Matt Canavan, who spent three days in the Hunter this week, hit back arguing the Kurri project was needed to revitalise the Hunter's manufacturing sector.

Matt Canavan

"I know how much people want to bring back manufacturing jobs back to the region. To revitalise manufacturing we are going to need all fuel types, including gas," he said.

"If we took the Matt Kean approach NSW would become a mendicantstate relying on its energy from overseas.

"Take the AdBlue (diesel additive) situation, because of a shortage of gas we can't run our trucks. This will cripple our country unless we get back to common sense."

"We should invest in renewables but we need coal, we need gas, we need all sorts of energy."

The Federal Government argues the Kurri project is needed to ensure stability and affordability of electricity supply following the closure of Liddell Power station.

The project's proponent, Snow Hydro, has already placed an order for the peaker's two gas turbines.

The turbines can utilize up to 30 per cent hydrogen for co-firing with current technology and can be configured in the future to operate on 100 per cent hydrogen for zero-carbon emissions.

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