Jessica Benton
GEELONG is set to become a clean energy hub after State Government committed $25 million toward a geothermal power plant trial near Anglesea.
Greenearth Energy’s Mark Miller said receiving the Government funding was “tremendous endorsement” for the project.
“We’ve worked diligently over the past two years developing, in our opinion, one of the most attractive renewable energy propositions in Victoria, if not Australia,” he said.
“This is the largest investment by state government in geothermal in the country. I think this is recognition of the greater Geelong area in two ways: that the area has substantial geothermal potential but also of its carbine constrained future – geothermal energy can assist with the future challenges.”
The Independent revealed the power plant plans in early 2008.
The project was estimated to cost about $20 million but it has now reached more than $60 million.
Mr Miller told the Independent his company was looking for large-scale energy users, investors and venture capital groups to invest in the state’s first geothermal power plant.
Greenearth has run studies around Geelong, the Bellarine Peninsula and Surf Coast in search of hot rocks under ground with potential to generate electricity. The company found that the region had the potential to supply 150 times Victoria’s energy requirements from “wet hot rocks” near Moriac and Geelong’s Armstrong Creek urban growth area.
The technology would produce renewable energy with minimal greenhouse gas emissions.
Energy and Resources Minister Peter Batchelor said the Government’s financial support was behind a push to move Victoria toward “a low-emissions energy future”.
“Importantly, the location is close to crucial electricity grid infrastructure and heavy industry, which is important to the expansion and commercialisation of the project,” he said.
The Government would provide $5 million “up front” for stage one of the development, he said. A further $20 million would go toward construction and demonstration of the $64 million plant if the project was deemed viable.