Delta Electricity’s plans for a 230MW pumped storage facility in South Australia have been approved by the state government.

The project will be sited at Goat Hill, Port Augusta and will be able to supply 230MW for eight hours.

Delta has the development rights for the project, with Altura Group the project developer.

Delta’s Managing Director, Greg Everett, said the Goat Hill project was “the right solution for South Australia”.

“With the growth of renewables and a reliance on high cost gas generation, South Australians will benefit from the complementary, reliable and affordable energy storage that pumped hydro will provide,” Mr Everett said.

“Goat Hill is a world class energy solution that will be able to pump and store energy when renewable energy is abundant and will generate 230MW of electricity for up to eight hours when there is a need for reliable, on-demand dispatchable energy.”

Mr Everett said work was already underway for detailed plant design and construction contracting, and the project would be “shovel ready” well before competing projects in South Australia.

Project developer Altura Group has already engaged SNC Lavalin, WBHO and SRG, using GE Technology.

The South Australian Government has also committed $4.7 million to facilitate final project development.

Delta operates the 1320MW Vales Point Power Station on the NSW Central Coast and is also developing a $75 million, 45MW solar farm adjacent to the Vales Point generator.

Vales Point Power Station is one of two coal-fired power stations on the shores of Lake Macquarie, New South Wales.

It has two steam turbines, with a total generating capacity of 1,320MW of electricity.

Delta Electricity acquired the Vales Point coal plant in 2015 from the NSW government for $1 million, and was recently revalued at $722 million.

“Goat Hill is an important part of the Delta development story and granting of development approval takes us one step further along that path,” Mr Everett said.

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