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HRL’s Coal Gas Plant in Victoria Gets Conditional Environment Approval

HRL Ltd., a privately held Australian electricity generator, got conditional approval to develop a plant in Victoria state that will be powered by gas from brown coal, the Environment Protection Authority said.

The Environment Protection Authority, or EPA, approved construction of a 300-megawatt plant by Duel Gas Pty, a subsidiary of HRL, the department said in a statement today. The company submitted a proposal for a 600-megawatt project, it said. One megawatt can power about 1,000 Australian homes.

“The demonstration project is best practice for this type of brown coal technology and will produce electricity with a around a 30 percent improvement on current greenhouse gas emissions from coal-fired power stations,” EPA Chief Executive Officer John Merritt said in the statement.

The approval is reliant on the company submitting details on how it will meet conditions prior to construction of the plant, including additional measures to reduce sulfur dioxide emissions, the EPA said. An expansion of the power-station will be reviewed once Duel Gas demonstrates successful operation of the initial plant, the EPA said.

To contact the reporter on this story: Ben Sharples in Melbourne at bsharples@bloomberg.net

To contact the editor responsible for this story: Alexander Kwiatkowski in Singapore at akwiatkowsk2@bloomberg.net

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