September 4 (Renewables Now) - The Queensland government has pledged to provide a multi-million-dollar package to fund the construction of a transmission line for Genex Power Ltd’s (ASX:GNX) 250-MW pumped storage hydro project, known as K2-Hydro.
With up to AUD 132 million (USD 89.6m/EUR 81.5m), the Palaszczuk government will support state-owned transmission network service provider Powerlink Queensland to build a 186-km (116-mile) single-circuit link from the project site in Kidston to Mount Fox. The transmission line will be owned and operated by Powerlink and will link K2-Hydro to the National Electricity Market, Genex said on Wednesday.
K2-Hydro, which is part of the Kidston Clean Energy Hub, will be integrated with a solar project of up to 270 MW (K2-Solar). Genex noted that the new transmission line will “unlock additional stages” of the renewables hub project that will also include up to 150 MW of wind power capacity.
Genex secured a Generator Performance Standards (GPS) approval for K2-Hydro from the Australian Electricity Market Operator (AEMO) in June. The particular project will be backed with up to AUD 610 million in debt from the Northern Australia Infrastructure Facility (NAIF).
(AUD 1.0 = USD 0.678/EUR 0.617)