Energy and Mines Issue 57

TROPICANA. IMAGE COURTESY PACIFIC ENERGY

MATT DUXBURY SENIOR COMMERCIAL MANAGER PACIFIC ENERGY

T R O PI C A N A . I M AGE C O U R T ES Y P A C I F I C E NER GY

Off-grid hybrid power for mines is now an economically viable, tried and tested technology. But as decarbonisation goals push miners to seek ever greater renewable penetration, new challenges can arise. Matt Duxbury, Senior Commercial Manager at Pacific Energy, shares the keys to a successful hydrocarbons-off operation in this Energy and Mines interview. KEYS TO A SUCCESSFUL HYDROCARBONS- OFF HYBRID POWER SOLUTION

ENERGY AND MINES: What are the latest advances in off-grid hybrid power for mines? MATT DUXBURY: As we move beyond modest levels of renewable energy penetration, one of the key challenges is dealing with ‘hydrocarbons-off’ operation and satisfying the customer’s requirements regarding fault contribution and system stability in the absence of synchronous generation. We’ve known for some time how to do this, and we back it up with tight alignment with our in-house power systems analysis team. We believe the next incremental shift will be the application of battery energy storage systems (BESS) for energy shifting. The use of BESS for stabilising hybrid power systems is already well understood; the application of BESS for energy shifting will become more economical as the price of energy storage continues to fall. We are already delivering projects that use substantial amounts of energy shifting BESS and this trend will continue. E&M: What’s the most economically viable and technically feasible energy mix on remote Australian mines at the moment?

MD: The most economically viable solution for a remote mine will depend on a range of factors, including the type and cost of fuel, the available contract term and the quality of the available renewable energy resources (sun and wind). That said, it is not a stretch to say that if you are running on diesel or high-cost gas, renewable energy will lower your cost of power. In terms of technical feasibility, the technologies of solar, wind and BESS are mature and proven, but what distinguishes a successful project is how well they are integrated. Beyond the basic economics, miners are well aware that they need to manage their emissions, including whether they are exposed to costs via the Safeguard Mechanism. Renewable energy provides a means of avoiding those costs, and that needs to be factored into the economic analysis. E&M: What challenges are Australian miners facing as they ramp up the percentage of renewables in their hybrid power systems? MD: As mentioned earlier, the move towards hydrocarbons-off operation introduces challenges around effective protection system operation as well

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