Southern Ports Authority has signed an agreement with Horizon Power to purchase power for the Port of Esperance commencing March 2022.
The Port of Esperance is one of the largest power consumers in the Esperance region, consuming approximately 25 per cent of Horizon Power’s annual electricity output for the region.
The signing of the supply agreement follows the State Government’s announcement to award the new Power Purchase Agreement for Esperance’s power project to Contract Power Australia.
Esperance’s new power solution will include a state-of-the-art gas power station, and a centralised battery and renewables hub consisting of a solar farm and two wind turbines.
Construction of the $80 million project is scheduled to commence in October and it is estimated that over 50 jobs will be created during the 15-month construction phase.
As part of the project, Southern Ports Authority will lease a site in Shark Lake Industrial Estate to Horizon Power to accommodate the new renewables hub.
As stated by Ports Minister Alannah MacTiernan:
“This is a good news story of two State trading entities working together to provide a competitive long-term solution of mutual benefit to themselves and their customers.
“Under this new supply agreement, Southern Ports Authority will become Horizon Power’s largest customer in the Goldfields-Esperance region, procuring 25 per cent of Esperance Power Station’s supply.
“Horizon Power will use Southern Ports Authority land in the Shark Lake Industrial Estate to construct the new renewables hub, which will help pave the way for increased activity in the area.”
As stated by Energy Minister Bill Johnston:
“Southern Ports Authority will be an important foundation customer for the Esperance Power Project, which is delivering cleaner, greener energy to communities in the southern coastal region.
“Horizon Power’s new power solution for Esperance will deliver the State Government average annual cost savings of around $10 million a year.
“Esperance’s new power solution will deliver a 50 per cent reduction in emissions, and increase the amount of electricity generated annually through renewables including wind and solar.”