South Australia will get a new $750m gas-fired power station to meet its demand in peak summer.
The Cherokee Power Station will be built in Riverland by Tungkillo Power Company, a subsidiary of Investec Bank subsidiary.
According to the South Australian Government, the unit will kick in at times of peak demand and should reach a maximum generating capacity of 1,000MW by 2021.
South Australian industry and trade minister Tom Koutsantonis told AdelaideNow that the first stage of the project will generate 250MW at an estimated cost of $200m and is scheduled to come on line in 2013.
“On the completion of its final stage, the facility will be capable of meeting up to 25% of the state’s peak demand,” Koutsantonis said.