Robbie Katter has renewed calls to connect Mount Isa to the National Electricity Market to reduce power bills and boost mining activity in the region.
Subscribe now for unlimited access.
$0/
(min cost $0)
or signup to continue reading
Currently Mount Isa is an electricity island.
But back in 2011 the Federal Government had agreed to to a $320 million grant to build CopperString – a power line from Cloncurry to Townsville to put the north west onto the national energy market.
The project fell through when Mount Isa Mines decided to invest in the Diamantina Power Station instead.
Mr Katter said that decision has inflated priced for large industrial customers in the north west.
He said their power prices range from $140 to $180 per megawatt hour, while those connected to the NEM pay between $60 and $90 per megawatt hour.
Mr Katter says connecting to the national grid will help kick off the next wave of major mining investment and jobs in the region and inaction would put the region’s future at risk.
“I’ve spoken to most of the existing and prospective miners in the region and the consensus is that there is decades worth of minerals that can mined if the electricity price is reduced,” he said.
“The government has a huge role to play in getting electricity prices to a level that supports new investment and in this aim, the best thing they can do is support the connection of the North West to the NEM.”
Mr Katter said the NWMP currently had some of the highest electricity costs in the world.
Last year Glencore threatened to close copper operations in Mount Isa thanks to the soaring cost of energy.
“If electricity prices continue to rise, Glencore will be forced to consider the future of our copper processing assets across (North Queensland), as well as future investment in energy-intensive operations,” Mr Katter said.
Federal Kennedy MP Bob Katter said he has spoken with Prime Minister Scott Morrison about connecting Mount Isa to the NEM and meetings have already been held in Canberra to discuss the proposal.
Mr Bob Katter says CopperString is back on the table and with it comes enough power to meet base load electricity requirements for North Queensland.
“Proponents have said that it’s their belief, that they will be able to raise the money for their project if the government provides this same assistance and support CopperString is built,” he said.
