Adani Group’s Galilee Transmission Pty Ltd (GTC) has announced a proposal for a major transmission line to power the development of the $5.9 billion Carmichael coal mine near Clermont in central Queensland.
The 250 kilometre transmission line would link Powerlink Queensland’s Strathmore substation near Collinsville to the new Galilee substation to be located on Adani’s Moray Downs ten kilometres east of the proposed Carmichael mine.
Deputy Premier and Minister for State Development, Infrastructure and Planning Jeff Seeney, who met with Adani executives in India last week, welcomed the proposal as a positive commitment by Adani to get the project up and running.
“The proposed development of this transmission line will remove a major barrier to the opening of other resource and commercial activities in the central Galilee Basin,” Mr Seeney said.
“What GTC is proposing is the construction of a $300 million open access power line without adding any debt to the State’s balance sheet.”
Mr Seeney said the Director-General of the Department of Energy and Water Supply issued Galilee Transmission Pty Ltd with a Transmission Authority under the Electricity Act 1994 for an area in the Galilee basin.
He said Adani had indicated it wants to begin coal production at the Carmichael mine in the Galilee Basin by 2016-17 and a key component of this process will be the construction of the transmission line.
“Adani proposes spending in excess of $7 billion on the coal mine operations and accompanying rail, port, water and power infrastructure,” Mr Seeney said.
“Adani has forecast the mining of some 60 million tonnes of thermal coal a year from open-cut and underground mining operations from 2022.
“This project, including the rail line, could employ up to 2500 workers during construction and up to 2940 workers when it is operational.”
Mr Seeney said the current status of the Carmichael project was that Adani had been asked to provide further information to the Coordinator-General relating to the Environmental Impact Statement.
He said the development of the Galilee Basin coal resources had the potential to be a huge part of Queensland’s economic future and the development of these resources is important to every Queenslander.
“During these uncertain economic times this Government has made it clear that it will support proponents that have the capacity to be first movers whether that be with pit to port solutions or with meeting their energy requirements,” he said.
“While there will be an advantage to first movers this will not stop other projects accessing infrastructure during their developmental stages.
“This government’s support for a consolidation of infrastructure remains unchanged.”