Eraring Energy was an
electricity generation
Electricity generation is the process of generating electric power from sources of primary energy. For utilities in the electric power industry, it is the stage prior to its delivery ( transmission, distribution, etc.) to end users or its s ...
company in Australia that was owned by the
Government of New South Wales, and had a portfolio of generating sites using
thermal coal,
wind
Wind is the natural movement of air or other gases relative to a planet's surface. Winds occur on a range of scales, from thunderstorm flows lasting tens of minutes, to local breezes generated by heating of land surfaces and lasting a few ho ...
, and
hydroelectric power. It was sold to
Origin Energy
Origin Energy an ASX listed public company with headquarters in Sydney. It is a major integrated electricity generator, and electricity and natural gas retailer. It operates Australia’s largest coal-fired power station at Lake Macquarie, Ne ...
in 2013.
Eraring Energy was established in 2000 under the and the .
Generation portfolio
Eraring Energy owned and operated the following power stations to generate electricity for sale under contract:
: – Progressively being upgraded to 4 x 720MW; commenced in 2011
: – Disconnected
Energy Reform Project
Subsequent to the NSW Government releasing its Energy Reform Transaction Strategy in September 2009, a Direction was issued to Eraring Energy on 14 December 2010 by the Special Minister of State, to the Board to enter into a GenTrader Transaction Implementation Deed.
On 27 February 2011, Eraring Energy entered into Generation Trading Agreements (GTA) with
Origin Energy
Origin Energy an ASX listed public company with headquarters in Sydney. It is a major integrated electricity generator, and electricity and natural gas retailer. It operates Australia’s largest coal-fired power station at Lake Macquarie, Ne ...
as part of the New South Wales Government's energy reform process with changes to the business as follows:
* The output from Eraring Power Station and the Shoalhaven Scheme Power Stations are separately contracted with Origin Energy. These contracts are due to expire in 2032 (Eraring Power Station) and 2038 (Shoalhaven);
* Eraring Energy is no longer responsible for the future procurement of coal;
* Eraring Energy no longer receives market income for the GTA contracted stations; and
* Eraring Energy is no longer responsible for future costs involved with carbon liabilities.
On 25 February 2011 a Direction was issued by the Special Minister of State to transfer Eraring Energy’s shares in Rocky Point Holdings (responsible for the development of the Cobbora coal mine) to the Cobbora Holding Company Pty Limited, a separate NSW
statutory corporation.
Under the agreements, Origin Energy has the right to trade the output of Eraring Power Station and Shoalhaven Scheme Power Stations and receive market revenue from these assets. In return, Eraring Energy receives a combination of fixed and variable monthly payments. In the event certain plant availability targets are not met, availability liquidated damages may be payable by Eraring Energy to Origin Energy.
Eraring Energy continues to operate the renewable assets of Hume Power Station, Burrinjuck Power Station, Brown Mountain Power Station, Keepit Power Station, Crookwell Wind Farm, and Blayney Wind Farm.
Asbestos liabilities
Eraring Energy manages the liability for asbestos related illnesses arising from exposure to asbestos at former Electricity Commission of New South Wales and Pacific Power sites. These sites include de-commissioned power stations such as Bunnerong, Ultimo, White Bay, Pyrmont and Wangi Wangi. These liabilities are managed by Eraring Energy on behalf of the NSW Government.
References
External links
Eraring Energy
{{EnergyNSW
Government-owned companies of New South Wales
Electric power companies of Australia