AGL (ASX:AGL) has unveiled a suite of clean energy project to replace its coal fired power station that will close in 2022.
The energy provider’s total investment will be $1.36 billion with about $490 million going to stage 1 projects, with a total energy life of 15 to 30 years.
Its Stage 1 projects include a Solar offtake agreement, and an upgrade to Bayswater which will meet the Australian Government’s proposed National Energy Guarantee as well as customer demand.
AGL also has plans for Stage 2 in 2020 and 3 in 2021, which will also level it energy costs to $83/mwh.
AGL also announced if it was to extend Liddell beyond 2022, which it does not want to do, it would have to spend $920 million and it would only provide and asset life of five years, with higher energy costs.
The company also revealed it will split its energy operations into two segments, wholesale and customer markets.
Shares in AGL (ASX:AGL) are trading 0.98 per cent lower to $25.18.