Hydro Tasmania has launched the first stage of a construction tender for the proposed redevelopment of the Tarraleah hydropower scheme, marking a milestone in the project’s planning process.
The utility is seeking proposals from industry covering construction works and the supply of generation equipment for a proposed new power station. The initiative forms part of a staged procurement process designed to refine construction planning and cost estimates before any final investment decision is made.
Hydro Tasmania CEO Rachel Watson said the tender process would create opportunities across the supply chain.
“We are going out to the market to request proposals from construction contractors suitably qualified to build the reimagined scheme. We’re also making sure that local businesses will have ample opportunity to subcontract to the project,” Watson said. “We will utilise the Industry Capability Network Tasmania as a central part of our approach to ensuring Tasmanian business participation.”
The company will also hold an industry briefing to outline procurement stages and participation pathways for potential suppliers.
Watson said that she was thrilled to be at the helm of Hydro Tasmania for this significant project milestone: “This is an important part of ensuring a high degree of confidence and certainty in the project constructability and the final cost estimate.
“The Tarraleah Scheme has given more than 85 years of faithful service. But it is reaching the end of its operational life and there is no ‘do nothing’ option for its future.
“Our proposal is to fully redevelop the scheme, building a more efficient water transfer system and a new power station that can generate more energy.
“Investing in the scheme’s future means more energy and flexible capacity to meet the forecast growth in demand, address the risks posed by ageing assets and increase revenue and value that can be returned to Tasmanians.”
Watson noted that Tarraleah is one of two major hydropower developments under consideration by the utility, alongside a proposed long-duration pumped storage project at Cethana.
“The Australian Energy Market Operator (AEMO) confirmed that long duration storage is essential, with hydro and pumped hydro central to Australia’s grid reliability,” Watson said. “In an energy future based increasingly on wind and solar, our proposed 750MW pumped hydro project at Cethana will help underpin future energy reliability.”
Hydro Tasmania is inviting requests for proposals from qualified parties interested in constructing the redevelopment. The tender represents the first step in a procurement process intended to clarify construction requirements and costs. The project has not yet reached a final investment decision and remains subject to environmental and planning approvals, as well as approval by the Tasmanian Parliament.
