13/11/06 – IPRA BURONGA PROPOSAL

International Power Australia (IPRA) has lodged a proposal to develop a 120MW distillate-fired peaking power station approximately 10km northeast of Buronga in south-western New South Wales.

The proposed $50m facility would comprise three separate 40MW generating units capable of operating individually or in conjunction, together providing a high level of reliable generation capacity within the region. The power station will use distillate-fired generators with dual fuel capability in the event that commercial natural gas supplies become available in the future.

The project proposal is in response to high voltage transmission system constraint scenarios in South West New South Wales, as identified by TransGrid. The Buronga Peaking Power Plant is proposed by IPRA as a solution to enhance the reliability of the regional and inter-regional electricity transmission.

It is anticipated that the Buronga plant would operate in a “peaking role” on an as-required, intermittent basis for a total maximum period of up to 10 % of any year.

IPRA is committed to meeting its environmental and community obligations throughout the process and is undertaking a consultation program with stakeholders during the environmental assessment process.

In addition, IPRA is currently investigating the feasibility of installing water treatment facilities capable of treating effluent from the Buronga sewerage treatment works for process use in the plant.

IPRA has prepared a preliminary environmental assessment report to allow the NSW Department of Planning to issue environmental assessment requirements for project approval. If approved, the project would take approximately six to twelve months to complete.

As with all major projects, International Power’s investment will be subject to normal commercial review and International Power Board approval.