AGL Energy has committed $185 million to procure four gas turbines from Siemens, a global equipment supplier, as it prepares to construct its inaugural power station in Western Australia. These turbines are earmarked for the Kwinana Swift Gas 2 project, a facility sanctioned by the Australian Energy Market Operator to deliver 176 megawatts of peaking power capacity from October 1, 2027. AGL Energy is an Australian energy company focused on providing sustainable and affordable energy solutions to homes and businesses. Siemens is a technology company focused on industry, infrastructure, transport, and healthcare.
The Kwinana plant is strategically aligned with the Western Australian government’s objective to decommission all state-owned coal-fired power plants by 2030, according to AGL. AGL has previously stated its intention to develop new gas power generation capabilities across all Australian states. The Kwinana Swift Gas 2 project represents a significant step in bolstering the state’s power infrastructure and ensuring a reliable energy supply as the transition away from coal progresses.
This investment underscores AGL’s commitment to supporting Western Australia’s energy transition and reinforces its position as a key player in the evolving energy landscape. The project is expected to play a crucial role in meeting peak electricity demand and maintaining grid stability as renewable energy sources continue to integrate into the system.
The commissioning of the Kwinana Swift Gas 2 plant will provide essential backup power during periods of high demand and contribute to the overall security of the Western Australian electricity network. With the turbines now secured, AGL is moving forward with the construction phase of the project, maintaining its projected operational commencement in 2027.