Assessment ongoing | Environment Victoria

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Assessment ongoing

Monday, 9 January 2012
Latrobe Valley Express

Funding for a proposed demonstration power plant near Morwell is currently under assessment by the Federal Government, after a deadline for project milestones passed on New Year's eve.

HRL's proposed dual-gas fired plant received a grant of $100 million in Federal Government funding in 2007 by the Howard Government, on the condition certain "project milestones" were met by 31 December 2011.

Required milestones are believed to include proof of financial backing, works approval and demonstration of utilisation of carbon capture and storage technology.

Works approval is subject to challenges of Environment Protection Agency's approval of the project, currently under review in the Victorian Civil and Administration Tribunal.

A spokesperson for Federal Industry and Resources Minister Martin Ferguson said the Department of Energy and Tourism was currently assessing HRL's progress against milestone schedules.

The Express understands it would be a number of weeks before Minister Ferguson received the departmental advice.

HRL declined to comment on the issue.

HRL's VCAT proceedings are due to recommence on Monday, 6 February for closing submissions from all parties.

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