AGL recognises climate change is an industry-reforming driver, and has structured its asset portfolio accordingly. The Company has a market-leading position on investments in electricity generation that is renewable or low-greenhouse gas intensity.
AGL renewable generation investment is largely driven by opportunities created by Australia’s 20% Renewable Energy Target legislation, which has bipartisan political support.
Renewable electricity generation makes up to 27% of AGL’s operated capacity. AGL develops and operates renewable and low-emission generators across many locations and technologies, including:
- Landfill gas in the eastern states, Tasmania and Western Australia
- Biomass in Queensland
- Biogas in Victoria
- Solar in South Australia
- Wind farms in South Australia and under construction in Victoria
- Hydroelectricity assets concentrated around the Victorian and NSW border
- Gas fired generation in South Australia (Torrens Island Power Station), Queensland (Moranbah) and Victoria (Somerton).
In FY2012, a further 115.5 MW of renewable energy generation capacity commenced commercial operation. The operation of the AGL Hallett 5 Wind and Oaklands Hill Wind Farms increased AGL’s operated renewable capacity by 10% to 1,320 MW.
Installed capacity of operated generation assets¹
| Gas Fired |
1,451 |
29% |
| Coal |
2,200 |
44% |
| Hydro |
796 |
16% |
| Wind |
505 |
10% |
| Biogas, Biomass and Landfill Gas |
20 |
0.4% |
| Solar |
0.1 |
0.002% |
| Diesel |
0.4 |
0.01% |
| Sum |
4,972 |
100% |
| |
¹ |
This breakdown includes only those assets where AGL has operational control. When these figures are added to those assets where AGL has other ownership or operational interests, including the control of electricity dispatch or equity stake (apportioned by investment level), AGL's total installed capacity is 5447 MW. |
| |
|
|
A Lower-Emissions AustraliaAGL’s investment in renewable energy has positioned AGL to meet the Commonweatlh’s Renewable Energy Target (RET) and to operate with the introduction of the carbon price.
In August 2009, the Commonwealth Government passed legislation introducing a 20% RET by 2020 for Australia. The new target requires 41,000 GWh of renewable generation by 202 to 2030. Meeting the 20% target by 2020 will require an estimated $30 billion of investment in new renewable energy generation.
As an energy retailer with a significant market share of Australia’s electricity consumption, AGL’s developments are poised to make a noteworthy contribution to meeting the 2020 target.
AGL supports the introduction of the Commonwealth Government’s Clean Energy Future package, and specifically placing a price on carbon on 1 July 2012. AGL wants to see the bipartisan emission reduction target achieved at the lowest cost to our customers and all Australian families and businesses.
To learn more about AGL’s commitment to cleaner energy, read our 2011 Sustainability Report.