TRUenergy is seeking development approval for two high-efficiency gas-fired power stations in Queensland to meet forecast increases in electricity demand in the state.

The two power stations will be developed in Ipswich, close to the projected population growth areas of southeast Queensland, and in Gladstone in central Queensland, which is projected to be a major hub for industrial growth. Both sites are close to existing infrastructure connections.

TRUenergy’s Managing Director, Richard McIndoe, said “We are proposing to develop the power stations using the newest natural gas-fired turbines, which will emit less carbon than existing coal-fired power plants.

“Queensland is the right state for these developments. The Australian Electricity Market Operator has forecast that the state will have a shortfall in energy reserves of between 341MW-779MW by 2013-2014.

“Additional investment in new power stations will be needed in order to meet the growing needs of households, business and industry.

The decision has also been encouraged by the State Government’s energy supply strategy, released in November last year and which reinforced the importance of private investment in energy supply.

Premier Anna Bligh said this marks the first major investment in energy since the carbon price was passed and shows that gas can compete in a carbon-priced economy.

"These stations will plug us all in to a future that is brighter than anything in our history and investments like this from TRUenergy are just the start of what is on the horizon for our State," she said.

The permitting process will occur over the next 12 months. Subject to the receipt of all permitting and development approvals, construction could begin as early as 2013.

The power stations will be developed in stages to match the growth in electricity demand with the initial units sized at around 500MW and have a total capacity of up to 1500MW each. They are expected to be able to meet the projected growth in demand for electricity in Queensland for the next 10 years and at full capacity they would increase the state’s generation capacity by a total of more than 20 per cent.

The initial investment will be around $400 million and when fully developed each power station would represent an investment of up to $1.8 billion.