Ann: Strategic Review Outcomes Presentation, page-62

BPT’s plan to go into gas storage business and possibly build peaking gas power plants is the right way forward. BPT has a natural advantage as it has gas reserves to readily go to gas storage.

From the AFR:

Snowy Hydro pushes gas power ambitions with major storage deal


Snowy Hydro has struck a 25-year deal for the storage of gas, providing a government-backed contract to underpin an expansion of the east coast’s biggest gas storage plant.

The agreement with the Iona gas storage facility in Victoria underscores Canberra’s expectations that the fossil fuel will remain part of the energy mix past 2050. The plant, near Port Campbell, plays a critical role in keeping gas supply reliable to the east-coast energy market, particularly during periods of high demand.

Iona is operated by Lochard Energy, owned by the Queensland Investment Corporation. It acquired the Iona facility from EnergyAustralia in 2015.

Under the deal, the Commonwealth-owned energy generator and retailer – which also owns gas plants in Victoria and NSW – will take storage capacity at Iona from 2028.

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Saul Kavonic, an analyst at MST Marquee, said the timing of the deal, “only a few weeks after a near miss on a gas supply shortage, signals the government is supporting gas generation through to 2050 and beyond via Snowy with an investment of up to $1 billion”.