Department of Planning

Media Releases
from the Minister

Media Releases
from the Department

Media Releases

Department of Planning

Media Release - Minister's Office

Sydney: 20 February 2009


GOVERNMENT SECURES HUNTER GAS SUPPLY FOR GENERATIONS

The NSW Government today announced that it has approved its portion of the $850 million Queensland to Hunter Gas Pipeline.

The pipeline approved is designed to alleviate gas shortages and bring down fuel costs in both the Hunter and greater NSW.

Declared critical infrastructure in 2008, the NSW section of the pipeline is expected to create up to 600 jobs during construction and 25 permanent jobs upon completion in 2012.

Minister for the Hunter, Jodi McKay, said the pipeline is great news for the Hunter and NSW.

“The prospect of 600 jobs during construction, 25 jobs after construction and the significant amount of investment it will provide to the Hunter is very welcome.” Ms McKay said.

“This pipeline will be of tremendous help in providing Hunter and NSW residents with reliable and constant supply.”

Planning Minister, Kristina Keneally, said the Queensland to Hunter pipeline would make ‘greener’ electricity generation possible, with gas producing around 40 per cent less CO2 and using less water when compared to coal.

“With any significant industrial development it is important to consider the impact on the natural and built environment,” Ms Keneally said.

“The proponent was able to comprehensively address environmental impacts. It got through a rigorous environmental assessment so I have approved the project.

“The assessment process included one-on-one meetings, information packs, presentations to councils and chambers of commerce, 11 public information stalls, public exhibition of the environmental assessment in 22 locations throughout NSW, a website and telephone hotline.”

QHGP Managing Director, Garbis Simonian, said there was still a lot of work to do in the lead up to construction, including further environmental studies, stakeholder consultation, appointment of engineering and construction contractors and materials procurement.

“The pipeline has the potential to enable the development of a NSW coal seam methane gas industry and provide gas for use in the Hunter Valley and Sydney regions as well as rural NSW,” Mr Simonian said.

“With ever increasing power loads, particularly at peak times, NSW needs more generation capacity.

“This pipeline is the medium term future for generating power within NSW.

“We are in some advanced discussions with a number of potential customers regarding gas transportation contracts with the gas delivered mainly for electricity generation.”


© NSW Department of Planning