Calls for more local renewable power purchasing

THE wider Grampians region has become an epicentre of renewable energy generation and now there are calls for big users of electricity in the area buy up some of that power.

With windfarms popping up all over district a leading industry academic, along with the Grampians New Energy Taskforce, are calling on big business, especially manufacturers, to lock in power buying arrangements.

“Encouraging manufacturers in the region to invest in switching from gas to renewable electricity, secure power purchase agreements and invest in new behind-the-meter technologies will drive emissions reductions,” said RMIT senior industry fellow Alan Pears.

“Going forward, securing a power purchase agreement may be less risky for industry than competing in the wholesale energy market. Future high gas prices have a significant potential impact on large gas users in the region, and they need to consider the emerging energy options.

“It is likely that industry will have more capacity to manage electricity costs than gas costs in the future. Behind the-meter, energy efficient, connected equipment and systems including storage options will also reduce energy use.”

GNET has set a goal of zero net greenhouse gas output by 2050, while the organisation’s soon to be released Roadmap to Zero Emissions for the Grampians region says that industry has a part to play in that, and should seek to cut emissions by 32 per over the same timeframe.

Yet with more efficient energy use, buying more renewable energy, and increasing support from State and Federal government, the Roadmap says industry emissions could be slashed by up to 80 per cent.

GNET head Stuart Benjamin is calling on more large energy users to follow the lead of companies like Mars Wrigley.

“Organisations such as Mars are demonstrating how manufacturers can reduce energy use, reduce greenhouse gasses and combat the effects of climate change,” he said.

“A 20 year power purchasing agreement with a renewable energy provider is set to generate the equivalent of 100 per cent of Mars’ electricity from renewable solar energy by 2020; this is really very exciting as the agreement will provide energy for all six factories run by Mars in Australia including here in Ballarat.”

With so much wind power being generated in the region, Mr Benjamin said it made sense on many levels for local factories to lock in deals to use homegrown electricity, and they should do it while it’s still available.

“A lot of the power that’s being produced in the region on power purchase agreements are owned by energy users that sit outside of the Grampians,” he said. “That means they get the credit for the renewable energy, not us.

“We understand that being the most renewable dense region in Australia that we’re going to be producing energy not just for ourselves, but it would be nice to see some of the energy we’re creating going to major commercial users locally.

“The less distance you have to send the power, the fewer transmission lines you need, which has been a big issue for this part of the world.”

GNET’s Roadmap to Zero Emissions for the Grampians Region document is expected to be released in the next few weeks.

It’s been developed over 12 months following consultation with stakeholder groups from across the region.