West Australian
Tuesday 19/8/2008 Page: 4
A new electricity grid will be developed as part of a Labor plan to encourage development in the resource-rich Pilbara, Alan Carpenter will reveal in Karratha today. The Premier said the Pilbara energy project would make many smaller resource projects viable and encourage the development of downstream processing industries by removing the need for proponents to develop their own standalone power stations and providing a cheaper supply of power.
He said the North-West interconnected system would cater for the massive expansion in the iron ore industry, an increasing number of ports and population growth. A feasibility study into developing the grid had started and was being backed by major industry players, but Mr Carpenter said it was envisaged State utility Horizon would manage the network. "It will be a massive step forward in the development of the North- West of the State," he said. "If you have an integrated system it is much more cost-effective for everybody, it can be run by the State.
"It is cheaper for (industry) because they would have to do it themselves anyway and it allows all these other players to plug in who would otherwise not be able to afford to do it and it improves the facilities in the towns. This will be a huge step in the economy of the Pilbara." Mr Carpenter said gas and solar energy sources would dominate the system, which would also reduce greenhouse gas emissions and improve reliability of supplies.
WA was seeking money from the Federal Government's Infrastructure Australia fund, but Mr Carpenter said the public spending needed for the project was not yet known. It was "very possible" the project could be entirely funded by the private sector. The details, as well as a time frame for the plan, were being investigated as part of the feasibility study, which would report by the end of the year.
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