Gas vital in transition to renewables
Gas offers a pipeline to Tassie’s ambitious renewable target, writes
IT might not be the first thing you think of when it comes to renewable energy, but natural gas has an integral role to play in helping the state reach the Tasmanian Renewable Energy Target.
By the government’ s own admission, the target of doubling Tasmania’ s renewable energy generation to 200 percent of the state’ s current needs by 2040 is an ambitious one.
And ambition is just what Tasmania needs to realise the full potential of its rich abundance of water and wind resources and truly become a world leader in renew ab les.
As with any ambitious undertaking, the Tasmanian Renewable Energy Target will take time to reach and require support from existing systems in its transitional phase. While it’ s a target set by government, it will take co-operation from Tasmania’ s people, businesses and industries to become a reality.
The Marin us Link will considerably alter the energy landscape and optimise Tasmania for renewable exports, but isn’ t set to be commissioned until at least 2028 ,leaving a seven-or eight-year gap whereby the state is left at the crossroads between its current energy mix and its renewable future.
Due to COVID-19’s economic impact, this gap comes when affordable and reliable energy is needed more than ever to kick start economic recovery. The Tasmanian Gas Pipeline is able to help fill this void, and see Tasmania’ s transition to a renewable energy future happen smoothly and efficiently, while making sure the economy is powered up to rebound from COVID-19.
Analysis by De lo it te Access Economics shows the 20 main users of the Tasmanian Gas Pipeline support about 4200 direct Tasmanian jobs and more than 8500 Tasmanian jobs in total. Their contribution to the state’ s economy is c lose to $ 1bn a year ,3 percent of Tasmania’ s Gross State Product.
These main users are key components of the state’ s economic engine room, and include mining, manufacturers and companies behind our favourite food and beverages.
Many industrial users rely on natural gas as a primary fuel for processes requiring heat, which are important to manufacturing industries including dairy, food processing, aluminium, zinc and fertiliser. Natural gas provides the cheapest and most efficient form of heat, is difficult to substitute without costly capital expenditure, and has low emissions compared with other energy sources.
By adding competition to the energy market via the Tasmanian Gas Pipeline, gas has enabled businesses to be more competitive in Australian markets as well as in Asia. With issues of domestic capability and supply-chain management brought to the fore by the pandemic highlighting a need for greater self-sufficiency, gas has a bigger role to play.
Gas is crucial in ensuring the electricity system is constantly able to meet state demand and avoid black outs. This was clear in the 2015-16 energy crisis, when the combination of extended drought affecting dam levels and a break in the Bass link inter connector saw energy security compromised. The gas-fired Ta mar Valley Power Station operated at capacity, which conserved water storage sand prevented extended power out ages, helping keep the light son in Tasmania.
With climate extreme sand uncertainty in long-term trends increasing, if sustained low rainfall does occur before Marin us is online, having the back-up of the Ta mar Valley Station will again be crucial to energysecurity.
The Tasmanian government’ s commitment to a renewable energy future is to be commended, but it’ s important the state continues to have the energy security and manufacturing capability provided by natural gas to make sure the transition doesn’ t leave Tasmania in the dark.