Stanwell Corporation Limited (Stanwell) today denied claims that its decision to withdraw Swanbank E Power Station from service for three years was related to possible privatisation.
Stanwell Chief Executive Officer Richard Van Breda said the decision was a commercial one to ensure Stanwell got the best return on its energy assets and had nothing to do with privatisation.
“In the current market, we get more money from selling gas than burning it to generate electricity,” Mr Van Breda said.
“Stanwell is a commercial entity, operating in a highly competitive electricity market,” he said.
“We need to pursue strategies that deliver the best return for our shareholders; the people of Queensland.”
Stanwell will withdraw the 385 MW Swanbank E Power Station from service for up to three years from 1 October 2014. Stanwell will sell the gas into the market rather than use it to generate electricity at the power station.
Mr Van Breda said Stanwell was consulting with Swanbank employees on the preliminary decision to restructure the workforce at the power station.
“There will be no forced redundancies of Stanwell employees, in line with our Enterprise Agreement.”
Jay Merritt
Corporate Communication Manager
3228 4121 or 0437 830 578
Jay.merritt@stanwell.com