Eraring power station in Lake Macquarie, NSW. Energy analyst Tim Buckley says the government could end up subsidising the plant to keep it running.Eraring power station in Lake Macquarie, NSW. Energy analyst Tim Buckley says the government could end up subsidising the plant to keep it running.
NSW’s power prices have typically been higher than its coal-burning neighbours, Victoria and Queensland. Renewable energy groups have also been calling for an acceleration of the rollout of solar and windfarmsA deal between the NSW government and Origin over Eraring’s future is widely expected soon.
Origin disputed Buckley’s estimates, including the original cost of Eraring, the size of subsidies received, and the costs of extending the plant. Including the 2010 purchase of the Eraring Gentrade business for about $950m, the full cost was closer to $1bn rather than a government handout.