Hydro Tasmania today released its draft Market Engagement Approach for consultation. 

The document sets out the proposed principles and processes to explore contracting opportunities for new generation projects and new large energy loads (>50MW). 

Hydro Tasmania CEO Rachel Watson says the document aims to provide clarity for proponents.  

“We recognise the important role that Hydro Tasmania can play in facilitating new generation projects such as wind and solar farms,” Ms Watson said. 

“We encourage proponents of new and existing projects to come and talk to us about the variety of contract options available, including firming and power purchase agreements.” 

The draft Approach sets out a staged process for engagement, with evaluation criteria including development progress, technical feasibility, regulatory compliance and alignment with Hydro Tasmania’s strategic goals. 

“One of the most important factors we will assess is the project’s commercial viability and the ability to establish any contract at commercial rates,” Ms Watson said. 

The draft Approach also outlines a structured procurement process, such as an Expression of Interest or tender if there is a need for Hydro Tasmania to meet a specific portfolio requirement. 

“If we identify a specific need in our portfolio or in the wider energy system, and we know there are multiple proponents that could deliver, we’ll run a structured process. 

“This is the process we undertook last year, which ultimately resulted in a deal with TasRex for an offtake agreement to enable the 288MW solar farm at Cressy.” 

People access the draft Market Engagement Approach via the Hydro Tasmania website and send feedback to commercial.development@hydro.com.au.

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