In a significant move towards its climate goals, Rio Tinto has announced plans to purchase all the electricity from the Upper Calliope Solar Farm, one of Australia’s largest solar power projects.
The 1.1GW project, located near Gladstone, Queensland, will supply renewable power to Rio Tinto’s crucial operations in the region. This agreement represents a key step in Rio Tinto’s commitment to reducing its global Scope 1 & 2 carbon emissions by half within this decade.
The power purchase agreement (PPA) was signed with European Energy Australia, stipulating a 25-year commitment to buying all power generated by the Upper Calliope solar farm. The plant, to be constructed and operated by European Energy, is awaiting development and grid connection approvals at a site approximately 50km southwest of Gladstone.
Upon approval and completion, the Upper Calliope Solar Farm has the potential to decrease Rio Tinto’s operational carbon emissions by an impressive 1.8 million tonnes annually.
This initiative is part of Rio Tinto’s broader efforts to transition to sustainable energy sources, with the goal of re-powering its three Gladstone production assets: the Boyne aluminum smelter, the Yarwun alumina refinery, and the Queensland Alumina refinery.
Rio Tinto CEO Jakob Stausholm expressed enthusiasm, calling the agreement a “first important step” in re-powering its Gladstone operations.
“The task remains challenging, but we have a pathway to provide the competitive, firmed power our Gladstone plants need and we are continuing to work hard with all stakeholders, including the Queensland and Australian governments, on getting there,” Stausholm said.
“Competitive capacity, firming, and transmission, are critical to developing a modern energy system that can ensure more large-scale renewables development in Queensland and help guarantee the future of Australian industry.”
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