, Australia
Photo from Origin Energy's website.

Origin eyes early retirement of 2,880MW Eraring coal-fired plant in 2025

It was initially targeted to shut down in 2032.

Origin Energy Limited proposed to shut down the coal-fired generation Eraring Power Station in New South Wales (NSW) by August 2025, earlier than the initial closure target in 2032, in a bid to speed up clean energy transition. 

In a statement, Origin CEO Frank Calabria said the company has already submitted notice to the Australian Energy Market Operator regarding the proposed early retirement of the 2,880-megawatt (MW) black coal plant.

“Origin’s proposed exit from coal-fired generation reflects the continuing, rapid transition of the [National Electricity Market] NEM as we move to cleaner sources of energy,” he said.

“Australia’s energy market today is very different to the one when Eraring was brought online in the early 1980s, and the reality is the economics of coal-fired power stations are being put under increasing, unsustainable pressure by cleaner and lower cost generation, including solar, wind and batteries,” he added.

The plant located on the shores of Lake Macquarie has four units that came online in 1984.

Origin said the company has “well-progressed” plans for a large-scale battery with a 700-megawatt capacity to be installed at the Eraring site.

The company also plans to participate in the NSW Government’s Electricity Infrastructure Roadmap process to support installation of batteries before the closure of Eraring.

It also plans to start the operations of additional renewable and storage capacity, including the potential expansion of the Shoalhaven pumped hydro scheme through the NSW Roadmap.

Origin also said that the current restoration and rehabilitation provision for Eraring site is at around $240m, adding that the costs will continue to be reviewed and were expected  to be “incurred over several years post any closure, with the timing dependent, in part, on a potential battery investment and ongoing ash dam operations.” 

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