The Snowy Hydro Scheme, which has been earmarked for expansion by Prime Minister Malcolm Turnbull to alleviate the looming shortage of electricity generation capacity in the eastern states, is not foolproof, according to NSW Minerals Council CEO Stephen Galilee.
“Last decade during prolonged drought Snowy Hydro was dependent for a time on coal-fired power to pump water into its dams,” he said.
“Eastern Australia tends to have a big drought about once every 10 years so we still need more traditional capacity as even the Turnbull plan needs a back-up.
“Additional capacity is not coming from gas any time soon. We have a gas supply shortage, and a desperate scramble to find more just to keep manufacturing businesses going.
“So coal still has a big role to play.”
Galilee said coal was reliable, affordable and abundant.
“New technology coal-fired power plants operate much more efficiently than older plants and with emissions reduced by up to 40%,” he said.
“We have the highest quality coal in the world right here in NSW with existing distribution infrastructure. Other countries use these plants and our coal. So why don’t we?”
Galilee said environmental activists were already warning that any Snowy Hydro expansion could not involve any new dams or threaten any habitat or wildlife.
“How long will it take before some rare native grass, frog or bird is found that puts the whole plan at risk?” he asked.
“Let’s hope the national interest can prevail.”