Tallawarra B Dual Fuel Capable Gas/Hydrogen Power Plant

April 4th, 2024

Tallawarra B Dual Fuel Capable Gas/Hydrogen Power Plant

The Tallawarra B power station, to be located in the Illawarra region of New South Wales, will operate as a dual fuel capable ‘peaking’ plant and be capable of using a blend of natural gas and renewable-based hydrogen in its operations.

Main proponents:

EnergyAustralia

 

Main end-use classification:

Electricity generation

Status:

Under construction (hydrogen use component) – while EnergyAustralia opened the Tallawarra B gas-fired power station in February 2024, it continues to assess the feasibility of using hydrogen in Tallawarra B’s fuel mix by the end of 2025

Estimated cost:

 

Other involvement:

 

Production/consumption details:

EnergyAustralia would offer to buy 200 tonnes of renewable-based hydrogen per year from 2025. EnergyAustralia notes that this timing is dependent on the development of a hydrogen manufacturing industry of an appropriate size and scale. 

 

Location:

New South Wales, Australia

Announced funding:

AUD$83 million whole of project – combined funding from the New South Wales Government (up to AUD$78 million) and the Australian Federal Government (AUD$5 million)

Project description

In early May 2021, EnergyAustralia and the New South Wales Government announced that the Tallawarra B power station development would proceed to construction following execution of a funding agreement between the two parties.

Funding support of up to AUD$78 million is to be provided by the New South Wales (NSW) Government and AUD$5 million from the Australian Federal Government in support of financial close of the project and to support the project being hydrogen-ready.

Tallawarra B would operate as a ‘peaking’ power station; essentially, being able to ‘fire up’ quickly when required to stabilise the power grid during demand peaks.

Tallawarra B will be a dual fuel capable peaking plant; capable of using a blend of natural gas and 5 per cent by volume renewable-based hydrogen (through an open-cycle, hydrogen and gas capable turbine).

Under the funding agreement, EnergyAustralia would offer to buy 200,000 kilograms (200 tonnes) of renewable-based hydrogen from 2025 (equivalent to over five per cent of the plant’s fuel use) and will offset direct carbon emissions from the project over its operational life.

EnergyAustralia will also undertake further engineering studies to investigate optionality for increasing the use of renewable-based hydrogen.

The 316-megawatt (MW) Tallawarra B power station was constructed adjacent to  EnergyAustralia’s existing Tallawarra A 435 MW gas-fired power plant, located in Yallah on the western shore of Lake Illawarra in NSW (approximately eight miles southwest of the city of Wollongong).

EnergyAustralia ordered a GE 9F.05 open cycle, hydrogen and gas capable turbine to power the Tallawarra B station.

In December 2023, EnergyAustralia announced that it had successfully completed the first test fire of its new 316 MW Tallawarra B gas-fired power station. In February 2024, EnergyAustralia announced that it had opened the Tallawarra B gas-fired power station noting the plant is completing commissioning and testing works. The February 2024 release also noted that EnergyAustralia is continuing to assess the feasibility of using hydrogen in Tallawarra B’s fuel mix by the end of 2025 noting this timing is dependent on the development of a hydrogen manufacturing industry of an appropriate size and scale. 

 

Updated (based on publicly available materials): April 2024