State-owned company Queensland Hydro has awarded major works packages for the proposed $14.2 billion (USD 9.25 billion) Borumba pumped hydro energy storage project that is seen as a cornerstone of Queensland’s future clean energy system.
Once operational, the Borumba pumped hydro facility will be capable of dispatching 2,000 MW and storing up to 24 hours of energy with the capacity to supply electricity for up to 2.3 million Queensland homes.
The project, near Imbil, about 45 minutes south-west of Gympie, involves the construction of an underground power station, six new dams that will form a new upper reservoir, and one new dam wall and spillway immediately downstream from the existing Borumba Dam. The new dam wall will increase Lake Borumba’s storage capacity from 46 to 224 gigalitres.
Water2Wire, a joint venture (JV) between engineering and design firms GHD, Mott MacDonald and Stantec, will be responsible for leading the engineering and design of the seven proposed dams with the two contracts – one for the upper reservoir and one for the lower reservoir – valued at $40 million.
The $39.9 million pumped hydro energy storage (PHES) designer package was awarded to a JV between Swedish engineering outfit Afry and Melbourne-headquartered firm Aurecon. The package will see Afry-Aurecon advance the front-end engineering design, focusing on the technical elements of the pumped hydro scheme itself – such as the interplay between the turbines, cavern design, tunnel waterway design, and other equipment.
Additionally, a contract totalling approximately $111 million has been awarded to Australian-owned engineering and construction company Decmil to design and construct two temporary workers camps at the Borumba site.
France-headquartered engineering and consultancy group Systra has been selected to provide underground technical services and management services in support of the construction of the exploratory tunnels for the project.
Queensland Energy Minister Mick de Brenni said the announcement of the works packages is a major step forward for the project that will deliver the energy storage needed to reliably transition to Queensland’s future clean energy system.
“This is a huge milestone for one of the most important renewable energy projects anywhere in Australia,” he said.
“We’re bringing together local knowledge and global expertise to deliver what will be a nation-defining project to provide cheaper, cleaner and more secure electricity to all Queenslanders.”
Queensland Hydro, which is currently undertaking studies as part of an environmental impact statement, said main works are scheduled to commence in 2026, subject to regulatory approvals. The project is targeting first power by 2030.
Queensland Hydro Chief Executive Officer Kieran Cusack said pumped hydro is “unquestionably” the right technology to enable the clean energy transition but acknowledged that the enormity of the Borumba project would have an effect on the surrounding communities.
“Queensland Hydro is well aware of the potential disruption a project of this scale could have on small regional communities and we are working with them to ensure we get our plans right,” he said.
“In developing our plans, we respect these communities and we are taking the lessons from other projects to ensure we are good neighbours. A big part of this is minimising the impact on housing and roads near where we will operate.”
Once underway, the project’s main works are expected to generate more than 2,000 jobs during construction, and provide a significant economic boost for the regional economy.
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