Integrated energy company AGL Energy Ltd
(ASX:AGK) has been selected as the renewable energy supplier for South Australia’s new 100 gigalitre per annum desalination plant.
The contract is for 20 years and the plant is currently under construction at Port Stanvac, south of Adelaide.
AGL says it will satisfy the South Australian Government’s requirement that the plant be powered by 100 per cent renewable energy.
The contract win follows the company’s announcement on July 30 that it had secured the energy supply contract for Victoria’s $3.5 billion desalination plant to be constructed near Wonthaggi.
Managing director Michael Fraser says the company will be providing renewable energy to these projects with a combined wind generation capacity of more than 540 megawatts.
AGL says in order to meet the Victorian Government’s requirement that the plant’s be offset by an expansion in renewable energy projects, it has committed to the construction of the Oaklands Hill wind farm in south west Victoria.
AGL Energy posted its strongest profit in five years in 2009, reporting profit of $1.59 billion.
