DECISION NO. CABINET MINUTE BRISBANE, s I 4 /19 /'/

Automation of Kareeya and Barron Gorge Hydro Power Stations.

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10 MR. MUNTZ 30

11 MR. MCKECH HE 31

12 MR. KATTER 32 13 MR. NEAL /~L 33 14 MR. CLAUSO~ / 34 MR. BORBID i:>E 15 35

16 MR. RANDELi.. 36

17 MR. COOPER 37

18 MR. HARVEY 38 MR. LITTLE PROUD 19 39 Master Fil! 20 40 ·.. -·

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C -0 N F I D E N T I A L

C A B I N E T M I N U T E

Brisbane , 5th April, 1988

Decision No. 53940

Submission No. 48656 TITLE : Automation of Kareeya and Barron Gorge Hydro Power Stations.

CABINET decided : -

That Barron Gorge and Kareeya Hydro-Electric Power Stations be automated for remote control at an estimated cost of $2 . 5 million.

CIRCULATJON: Electricity Commission and copy to Minister. Premier's Department and copy to Pr emier and Treasurer. Treasury Department and copy to Minister. Queensland Water Resources Commission and copy to Minister. All other Ministers for perusal and return.

(/IA.A-4 ( Certified ~ ~ e Cop~ SECURITY CLASSIFICATION - "C" CONFIDENTIAL

Submission .No .

Copy No .

FOR CABINET

AUTOMATION OF KAREEYA AND BARRON GORGE HYDRO POWER STATIONS

1 . It is planned that Kareeya and Barron Gorge Power Stations will continue in operation until at least the year 2010 . This operation is required whether or not the proposed Tully-Millstream scheme proceeds .

2 . The 72 MW Kareeya Power Station commenced operation in 1957 and the 60 MW Barron Gorge Power Station in 19 6 3 . They were constructed as t he major power sources for the isolated network . The stations were not automated and each had a significant staff establishment for operation and maintenance purposes to ensure their continued operation during the wet seasons when access could be difficult .

3 . The requirements for these power stations have progressively altered as the interconnection between the northern network and the rest of the State has developed and strengthened . The bulk power needs of North Queensland are now provided over the transmission grid and much of the operation of the hydro power stations is to provide peaking power for the larger State network .

4 . As well as this change in operating role there have been improvements in road access and considerable development of the power system control network , all of which means that there is now a reduced need to have large workforces at the power stations for operating and maintenance purposes .

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5. At present there are 29 staff for Barron Gorge Power Station with two 30 MW units and some 60 for Kareeya Power Station with four 18 MW units . The control rooms in the power stations are manned continuously . The operation and maintenance of the two power stations currently costs some $5 million per year . It is estimated this could be reduced by $1 . 5 million per year if they were automated and controlled remotely from the main system control centre as is done with the 500 MW Wivenhoe Power Station .

6 . The cost of automating the operation of the t wo power stations is estimated to be some $2 . 5 million in total and would be recovered within 2 years from the reduced operating costs .

7 . The reduction in operating costs would be obtained from lower staff numbers . It is estimated that the present staffing level at Kareeya Power Station would be reduced from the 60 at present to approximately 26 . The staff at Barron Gorge Power Station would be reduced from 29 to about 1 7 .

8 . The design , purchase and installation of the necessary equipment to automate the t wo power stations would take approximately 15 months to complete and it would not be intended to make any significant staff reductions before that time . The required staff reductions would be facilitated by the appropriate implementation of the Commission ' s Redundancy Agreement at that time. This makes special provision for retraining and continuity of employment in the Industry as well as special payments for those for whom specific employment cannot be made available .

9 . The staff at Barron Gorge Power Station currently reside in the Cairns area and there would be no accommodation changes for continuing staff .

10 . Most of the Kareeya staff have been housed in Cardstone Village , a special village which was created near the power station because the nearest town of Tully was some 60 kilometres distant over unmade roads which were subject to flooding and which became impassable in the wet . The operation and maintenance of this village has been a significant factor in the high staff numbers at Kareeya .

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11 . Once the station was automated there would be an ongoing requirement for approximately six employees to reside at Cardstone Village to provide emergency maintenance and site security for the power station . In addition approximately five employees would continue to be housed above to operate and maintain the Koombooloomba and associated works. Other employees at the power station would be encouraged to leave the village with the intention that by 1995 all other employees at the power station would be accommodated at their own expense away from the village . The school at the village would be phased out by that date .

12. Apart from the eleven employees required to reside at Cardstone Village or above Tully Falls , any new employees would be required to reside away from Cardstone Village .

13 . Cardstone Village would be utilised during the construction of the Tully-Millstream scheme if the project is approved by the Government when the feasibility study is completed late this year .

14 . If the hydro scheme is not approved by the Government , other Government Departments would be approached to determine if they had any need for the village . There would be no effort made to dispose of the village or any of its facilities until the need for it for Tully - Millstream or for some other Department is finalised .

15 . Recommendation

It is recommended that Barron Gorge and Kareeya hydro ­ electric power stations be automated for remote control at an estimated cost of $2 . 5 million .

M. J . TENNI Minister for Mines and Energy

Brisbane , 31 March 1988