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Author: Heather Quinlan

News

HAVE YOUR SAY: SNOWY HYDRO LAUNCHES COMMUNITY INSIGHTS CAMPAIGN 

05/04/2024

Snowy Hydro is launching a community insights campaign to better understand the social impacts of the Snowy 2.0 project.

The campaign seeks to engage and connect with community members across south-eastern NSW to gather insights, opinions, and experiences related to Snowy Hydro operations and the Snowy 2.0 project.

Through an online survey available at www.snowyhydro.com.au/haveyoursay, we invite residents, stakeholders, and interested parties to share their perspectives and help shape the future of their communities. A series of focus groups, one-on-one meetings, phone surveys and community pop-up stalls will support the online survey.

“This campaign reiterates Snowy Hydro’s commitment to transparent and inclusive community engagement,” said Snowy Hydro CEO Dennis Barnes. 

“We value the input of our community members and recognise the importance of understanding their needs and concerns.”

The survey, which will be open until 5 May 2024, covers a range of topics, including community sentiment, perceptions of the Snowy 2.0 project, and suggestions for improving Snowy Hydro’s community engagement efforts. Participation is open to individuals aged 18 and above who reside or own property in the Snowy Monaro, Snowy Valleys, Towong, Bega Valley and surrounding local government areas.

“We encourage you to take part in this survey and contribute to the dialogue surrounding the Snowy 2.0 project and its impact on our communities,” added Mr Barnes. 

“Your feedback will be important in informing Snowy Hydro’s social impact strategy and community engagement initiatives.”

Throughout April, Snowy Hydro representatives will engage with stakeholders in key regional towns, fostering open conversations about Snowy Hydro’s operations and future priorities. The consolidation of survey findings is planned for June 2024, with a publication of key results expected in July 2024.

For more information or to participate in the survey, please visit www.snowyhydro.com.au/haveyoursay.

Additionally, feedback or inquiries can be directed to Snowy Hydro via phone at 1800 623 776 or email at community@snowyhydro.com.au

News

SNOWY 2.0 PROJECT UPDATE – MARCH 2024 

03/04/2024

This month we’ll update you on tunnel boring machine (TBM) Kirsten, which is putting Snowy 2.0 at the forefront of TBM tunnelling innovation, along with the unique concrete segments she will install as part of the inclined pressure shaft excavation and lining.

Damon Miller, Senior Engineering & Quality Manager for Snowy 2.0, works with the design, manufacturing and construction teams to plan and deliver the engineering solutions behind Snowy 2.0, the pumped hydro expansion of the Snowy Scheme.

Building the inclined pressure shaft (IPS) will be a unique and technically challenging engineering feat for the project team

After finishing the 2.9 kilometre Emergency Cable and Ventilation Tunnel, TBM Kirsten has been substantially modified for her next critical role excavating the IPS.

This very steep, 1.6 kilometre, 10 metre diameter shaft forms part of the waterway and will connect the headrace tunnel with the underground power station. 

Project director Dave Evans believes the specially manufactured segments being used for this shaft are going to change the world of hydropower. “It means we can do less steel lining, we can move power stations closer to the surface which is what we’ve done here and construct an inclined pressure shaft with a tunnel boring machine which all makes it safer, quicker and the quality a lot better.”

To see the latest Snowy 2.0 project statistics, view the fact sheet here.

To cope with the extreme and fluctuating water pressures in the IPS, the concrete segment rings lining the tunnel require bespoke connectors.

The Force Activated Coupling System or FACS are specially-developed steel couplers with pin and socket elements.

When the segment rings are interlocked, the pre-stressed FACS keep the joint closed when the tunnel experiences sharp changes in pressure from turbine operations and shut downs. It’s like water hammer when opening or closing a tap at home, just on a much larger scale.

This new technology has been developed by Future Generation joint venture partner Webuild and their designer Lombardi, with the FACS segments being manufactured at our precast factory in Cooma.

A large-scale test is being conducted by installing eight FACS rings to link the emergency, cable and ventilation tunnel with the IPS.

Meanwhile, innovative design by the leading TBM manufacturer Herrenknecht has allowed TBM Kirsten to be modified to safely tunnel uphill.

The machine’s working platforms, equipment and operator’s cabins all pivot to remain horizontal and the walkways become steps and ladderways. 

A screw conveyor will move excavated rock from the cutterhead. This feeds into a sandwich conveyor that has face-to-face rubber belts to hold the material so it can be transported down the steep slope without spillage.

The IPS is on a 47% incline so a monorail is being installed to transport workers and there is a rack and pinion system for multi-service vehicle access including segment delivery up the steep slope to the TBM.

News

BREAKTHROUGH MILESTONE FOR SNOWY 2.0

05/01/2024

Snowy Hydro is pleased to announce another major achievement for the Snowy 2.0 pumped-hydro project, with the breakthrough of the final three metres of the power station’s 223-metre long transformer hall cavern crown.

The Snowy 2.0 delivery team began excavating the transformer hall and machine hall caverns in June 2023. The Snowy 2.0 power station will be located approximately 800m underground at Lobs Hole in the Snowy Mountains. When completed, the machine hall will be 251 metres long and 52 metres high and the transformer hall 223 metres long and 46 metres high. Together they will form one of the largest and deepest caverns in the world, big enough to fit the Sydney Opera House inside. 

Precise drill and blast methods are used to profile the curved cavern crowns (or ceilings) and break up the rock, which is mucked out and followed by surface scaling to remove any remaining loose rock. The exposed solid rock face is then supported with rock bolts and shotcrete. The excavation sequence of the cavern crowns is carefully planned and executed, as the rock mass relaxes and moves inwards as the excavated void increases. These movements are expected and are closely monitored during the process.

So far, about 17,000 cubic metres of material has been excavated from the central heading of the transformer hall cavern crown. The heading has been advanced in 3-4 metre rounds from either end of the cavern for a total of 77 blasts.

The machine hall cavern crown breakthrough will take place in coming weeks, and widening of both cavern crowns, known as side slashing, is ongoing and planned for completion in coming months. Excavation of both power station caverns is set to continue through 2024. 

The breakthrough of the transformer hall cavern crown represents another important milestone for the Snowy 2.0 pumped-hydro project that will significantly expand the existing Snowy Scheme and will provide an added 2,200 megawatts of on-demand power and 160 hours of large-scale renewable energy storage for the National Electricity Market.

Snowy Hydro CEO Dennis Barnes said: “The breakthrough of the transformer hall cavern crown is a really pleasing milestone for the Snowy 2.0 team, reinforcing that we’re making good progress with our underground drill and blast excavation activities. We are well on our way to delivering the largest single project that will help ensure Australia’s secure and reliable transition to renewable energy.”

News

NEW MAJOR PARTNERSHIP – SNOWY VALLEYS SCULPTURE TRAIL

23/10/2023

Engineering meets art on a grand scale, with Snowy Hydro CEO Dennis Barnes today announcing a new major sponsorship of the Snowy Valleys Sculpture Trail (SVST).

The SVST partnership includes funding from Snowy Hydro for seven new sculptures and a school education program aimed at delivering artist-led sculpture workshops to more than 1,500 school children in the Snowy Valleys Region.

“Snowy Hydro is proud to take on the role of Major Partner of the Snowy Valleys Sculpture Trail, a partnership that underscores our long-term, ongoing commitment to the local communities we operate in,” Dennis said.

“The Snowy Valleys Sculpture Trail is celebrated for its eye-catching outdoor art installations throughout the picturesque Snowy Valleys region and our support will enhance the trail’s reach, making it more accessible and engaging for both residents and visitors alike. We hope it will also draw more tourists to the region, thereby benefiting the local economy.”

The seven new Snowy Hydro-funded sculptures will be leased and installed over the next two years adding to the 35 existing artworks located between Adelong and Tooma, including the historic towns of Batlow, Talbingo and Tumbarumba. 

A key element of Snowy Hydro’s exciting partnership with SVST is the School Education Program. This program will bring artist-led sculpture workshops to 14 primary schools in the Snowy Valleys Region, along with two schools in Cooma and the Adaminaby Public School. Students will have the opportunity to immerse themselves in the world of art, creativity, and engineering through the added participation of Snowy Hydro engineers in the workshops.

Dennis emphasised the importance of the program, which aligned with Snowy Hydro’s education focus on science, technology, engineering and maths and engaging young people in activities that spark future careers.

“We believe that art and engineering go hand-in-hand, which is why they’re both core parts of our Next Generation Education Academy activities. Sculptures, like our hydroelectric projects, require a high level of engineering skill and creativity. 

“By exposing students to these artist-led workshops, we hope to inspire the next generation of engineers and artists right here in our local community.”

Snowy Valleys Sculpture Trail Founding CEO & Artistic Director David Handley expressed that:“It has been a humbling privilege to work with the local communities across the Snowy Valleys to create the Snowy Valleys Sculpture Trail as one of the most important cultural projects in regional Australia.  

“Snowy Hydro’s sponsorship means we are able to continue to deliver what we set out to do in providing the School Education Program for free to thousands of students across the Snowy Valleys, while building on the sculpture trail to offer visitors another reason to come back again and again to enjoy this stunning part of Australia.”

Snowy Hydro looks forward to working closely with the Snowy Valleys Sculpture Trail team and schools across the region to foster a deeper appreciation for art, engineering and innovation.

News

SNOWY 2.0 PROJECT UPDATE – SEPTEMBER 2023

05/10/2023

Following the recent announcement of the Snowy 2.0 project reset, the Snowy Hydro and Future Generation contractor teams are now a single team, working in close collaboration to achieve full commercial operation by December 2028.

The Snowy 2.0 Project Team is focused on excellent environmental outcomes while maintaining all-important safety principles. Safety is the number one priority for Snowy Hydro and core to the company’s values. High expectations for the management of all safety risks extend across the Snowy 2.0 project, without compromise.

Snowy 2.0 is critical to Australia’s transition to a low-carbon economy and when complete it will have broad-scale environmental benefits. Consistent with its responsible operation of the Snowy Scheme in Kosciuszko National Park for almost 70 years, Snowy Hydro is equally committed to minimising potential impacts from Snowy 2.0.

SAFETY PERFORMANCE
– As at September 2023, the project’s 12-month rolling TRIFR (Total Reportable Injury Frequency Rate) is 2.97, below the target of 4.0.**
– There has been a reduction in recordable and serious incidents on the project, with a focus on planning and a coordinated approach to safety management.
– Snowy 2.0 works closely with Comcare and SafeWork NSW and will continue to incorporate lessons learned and findings from the regulator into operational practices. 
**Calculated per million hours worked. Total hours worked to end September 2023: >17.7 million.

Construction of Snowy 2.0 will temporarily impact less than 0.1% of the park with any short-term unavoidable impacts rehabilitated throughout the project, in accordance with environmental project approvals. This includes around $100 million provided by Snowy Hydro to the offsets program for Kosciuszko National Park. Once operational, Snowy 2.0’s footprint within the park will be only 0.01%.

ENVIRONMENTAL PERFORMANCE
– 4 independent audits of the Snowy 2.0 project undertaken since project commencement. 
– 1,500 hours spent annually to proactively monitor the 163 biodiversity sites.
– More than 200 kilograms of native seed collected over three years for rehabilitation activities.
– 27 heritage site excavations and more than 35,00 indigenous artefacts salvaged and currently being documented, adding to the history of the Snowy Mountains Indigenous people. 

In this month’s update from the main worksite at Lobs Hole, Project Integration Manager Paul Smith recaps progress to date with over 40 per cent of Snowy 2.0 now complete, including:

  • Excavation of the 2.85 kilometre main access tunnel, lined with almost 13,000 locally manufactured concrete segments.
  • Excavation of the 2.9 kilometre emergency, cable and ventilation tunnel. 
  • Major upgrade of Ravine Road, the steep and winding 15 kilometre access road into Lobs Hole.
  • Infrastructure to support construction including the main yard workshops, worker campsites and more than 50 kilometres of access roads across three main worksites at Lobs Hole, Marica and Tantangara.

Excavation is underway of the huge 250 metre-long underground power station cavern and the tailrace tunnel, and TBM Kirsten is being modified to excavate the world-leading inclined pressure shaft. Drill and blast to create 11 cross passages and construction tunnels continues.

Above ground, there is plenty of activity across all sites. Lobs Hole Surface Works Project Manager Steve Lee helps ensure the Snowy 2.0 project is delivered in a safe and timely way, and to the quality standards and requirements of Snowy Hydro.

Surface works refers to a broad mix of activity such as haulage of spoil, maintenance of site roads, environmental controls, main yard area activity, office facilities and directional drilling, as well as the Talbingo intake build.

Latest progress on site includes Stage 2 earthworks with a recent blast covering an area of 4,500 square metres. About 10,000 cubic metres of material is being removed as the excavation of the 104-metre-high intake continues.

Snowy 2.0 is the largest renewable energy project under construction in Australia and will provide crucial deep storage central to Australia’s renewable transition. When complete, Snowy 2.0 will deliver 2,200 megawatts of dispatchable generation.

News

SECURING THE FUTURE OF CRITICAL ENERGY TRANSFORMATION PROJECTS

31/08/2023

Snowy Hydro today announced the outcomes of its major projects resets, for Snowy 2.0 and the Hunter Power Project. 

Snowy 2.0

  • Revised total cost to complete is $12 billion. At the end of June 2023, expenditure on the project was $4.3 billion, with 80% of these funds reinvested in the Australian economy. 
  • First power to be delivered in the second half of 2027 and a target date for commercial operation of all units of December 2028. 
  • The fixed-price EPC Contract was executed by Snowy Hydro and Future Generation Joint Venture (FGJV) following Final Investment Decision in a relatively benign and supportive environment.  The EPC Contract is no longer fit for purpose. 
  • Snowy Hydro and FGJV are finalising an amendment to the existing EPC Contract to move to an incentivised target cost contract model. Snowy Hydro will also settle all outstanding claims with FGJV. 
  • Delivery of an additional 200 MW or 10% capacity; bringing total capacity to 2,200 MW. 
  • Snowy 2.0 is the largest renewable energy project under construction in Australia and will provide crucial deep storage central to Australia’s renewable transition. 
  • The value of Snowy 2.0 to the national electricity market has increased materially since the Final Investment Decision in December 2018. 
  • Snowy 2.0 will provide 350,000 MWh of energy storage for 150 years. 
  • Snowy 2.0 remains value accretive, with the Company currently projecting a NPV of approximately $3 billion (based on a $12 billion revised target total cost and December 2028 delivery). 
  • Snowy Hydro is working closely with its Shareholder to develop an appropriate capital structure for the Company to support the increase in costs and to maintain the Company’s target credit rating of BBB+. 

HPP

  • The total target cost is now $950 million and will be funded by Snowy Hydro.
  • The project delivery remains December 2024. 
  • The project remains economically viable on a forward looking basis with the value of its firming capacity clearly demonstrated in the May/June 2022 energy crisis. 

Snowy Hydro CEO Dennis Barnes said the project resets will enable the commercially sustainable and successful delivery of both projects. 

“I am committed to ensuring these critically important projects are transparent and are placed on a robust and sustainable footing. Moving to an incentivised target model with FGJV will result in closer collaboration, stronger oversight and alignment of interests between Snowy Hydro and FGJV. ” Mr Barnes said. 

“Snowy 2.0 is being engineered to deliver clean and reliable storage and electricity generation for Australians for the next 150 years. It is a truly transformative national project that is generating jobs and significant investment in regional areas; it will deliver benefits immediately following its completion and will continue to do so for many future generations of Australians.

“Snowy 2.0 involves billions of dollars of investment, with approximately 80% going into Australian jobs, goods, services and skills. We are building the skills of local workers that can later be used elsewhere to assist in Australia’s ongoing energy transition.”   

“The Hunter Power Project is an important project in Australia’s energy transition, enabling the roll-out of wind and solar projects by firming these intermittent generation sources into reliable power,” Mr Barnes concluded.

Fact sheet 

Webuild Clough media statement

Background Information

Snowy Hydro today detailed the outcome of the review and reset process for key electricity projects, Snowy 2.0 and the Hunter Power Project.  

Snowy 2.0

The estimated total cost for Snowy 2.0 project delivery has been revised to $12 billion, with expenditure on the project to date of $4.3 billion. The terms of the contract with Future Generation Joint Venture (FGJV) are being finalised to move to an Incentivised Target Cost contract model, which will result in closer collaboration, stronger oversight and alignment of interests between Snowy Hydro and FGJV.  Snowy will also settle all outstanding claims with FGJV.

The target date for commercial operation of all units is December 2028 with first power to be delivered in the second half of 2027.

Through the project reset process Snowy Hydro has worked with FGJV and hydro technology contractor Voith Hydro to increase the capacity of the power station by 10%. Snowy 2.0 will now deliver dispatchable generation capacity of 2,200 MW, as well as providing energy storage of 350,000 MWh (or 160 hours of generation at maximum output). 

The cost revision reflects the compound effect of extraordinary factors. The external factors have impacted major projects around Australia and globally, in particular:

  • The major disruption caused by the Covid-19 pandemic; 
  • Delayed ability to mobilise, given critical shortages of skilled labour, exacerbated by quarantine and movement restrictions;
  • Extended and ongoing disruption to global shipping and supply chains caused by the pandemic, conflict and natural disasters, delaying access to key materials; 
  • Significant inflation in costs of key construction materials and inputs; and
  • Significant inflation in labour costs.  

In addition to the external factors, the project has been impacted by:

  • Design immaturity at final investment decision, with a number of design elements requiring more time to complete due to their technically complex nature. The final design now being more expensive to construct; and  
  • The impact of variable site and geological conditions, with the most impactful being the soft ground encountered that is delaying tunnel boring machine (TBM) Florence’s progress at Tantangara.

Despite the challenges outlined above, the project remains economic. Strong and growing market demand for dispatchable electricity is expected to underpin demand for the services provided by the project well into the future.

Construction of Snowy 2.0 is now approximately 40% complete and solid progress continues to be made, including:

  • Excavation of the main access and emergency cable and ventilation tunnels is now complete – approximately 6km of tunnelling;
  • Excavation on the 6km tailrace tunnel has commenced and tunnelling on the 1.45km inclined pressure shaft will commence shortly;
  • Work on the underground power station is now underway with access available from both ends and excavation and support of cavern crowns underway;   
  • Excavation at the Talbingo intake (where water will enter during pumping and exit during generation) is halfway complete, with 310,000m3 of earth excavated, while the first stage of earthworks at the Tantangara intake are complete, involving the movement of 205,000m3 of earth; and 
  • Manufacturing of the six pump turbines has commenced, the first major mechanical component has been shipped and has been transported to site.

Meanwhile, excavation of the headrace tunnel by TBM Florence is now ready to be continued, subject to the receipt of necessary regulatory approvals.

The project currently has a team of approximately 2,700 Australians dedicated to its safe and efficient delivery. An additional 1,500 jobs are forecast over the project’s lifespan.

Hunter Power Project

The Hunter Power Project has experienced similar challenges to Snowy 2.0 and following a comprehensive review the expected cost is now $950 million. Despite the increased cost the Hunter Power Project remains economic.

Construction continues to progress on schedule, with about 460 people working on the project, which remains on track to be delivered by December 2024. 

News

SNOWY HYDRO GROUP SUPERANNUATION REVIEW

29/06/2023

Following a voluntary review of contributions paid to employees’ superannuation funds, the Snowy Hydro Group* has identified some instances of underpayment of superannuation contributions to accumulation funds. Upon finalisation of the review, the Group has undertaken immediate steps to rectify the errors including making all necessary payments to the Australian Taxation Office (ATO) .

The Group apologises unreservedly to the 3,800 former and current employees impacted by this mistake resulting in a net underpayment of $1.1 million. 

As part of the rectification, in addition to the $1.1 million, the Group has also paid the legislated 10%pa interest to the ATO, who will remit all amounts (including the 10%pa interest) to former and current impacted employees’ superannuation funds.

The review was carried out by consultancy firm Ernst & Young, and extended as far back as the Group’s available digital payroll records, from 1 July 2006 to 30 June 2021. 

The outcome of the review showed that:

  • For approximately 80% of the 3,800 impacted employees, the net underpayment totalled less than $200 per individual employee over the 15-year review period; and
  • Total superannuation contribution obligations over this period were $173.7M, compared with $172.6M of superannuation contributions actually paid. This equates to the Group having paid 99.3% of its superannuation contribution obligations over the review period.

Changes implemented following the review for the 2022 financial year onwards have ensured that correct superannuation contributions are paid.  

*Snowy Hydro Group (”the Group”) includes Snowy Hydro Limited, Red Energy Pty Limited, Lumo Energy Australia  Pty Ltd  and Direct Connect Australia Pty Ltd.

Frequently Asked Questions

Are former or current employees required to do anything to receive the superannuation payment?

No action is required. The Group (Snowy Hydro, Red Energy, Lumo Energy & Direct Connect Australia) has made payment and lodged all required paperwork to the Australian Taxation Office (ATO) to facilitate the payment (including interest) into superannuation funds.  

When will payments go into superannuation funds?

While the ATO’s processing times will vary, it may take up to six (6) months for the ATO to transfer the funds electronically by matching Tax File Numbers directly to superannuation funds. If an active superannuation account is not found by the ATO, payment will be placed in the ATO’s holding account. More details are available here: https://www.ato.gov.au/forms/searching-for-lost-super.

Superannuation amounts paid into superannuation funds can be found via your MyGov account.

Why can’t the Group process the payment directly into superannuation funds?

In cases where an employer is required to pay superannuation contributions relating to prior years, the amount cannot be  paid directly to superannuation funds, but is required by law to be paid to the ATO, which will then remit the amount to superannuation funds.

Will any interest on the superannuation amount be received?

The amount owing to superannuation funds is inclusive of the ATO’s set interest calculation at 10% per annum that will be credited to superannuation funds. 

Is there confidence that the amounts owing have been calculated correctly?

This review was carried out by consultancy firm Ernst & Young, which undertook an independent review of our superannuation contributions paid across the 15-year review period of 1 July 2006 to 30 June 2021.

The review was undertaken by subject matter experts within the Ernst & Young Employment Taxes team who have experience in conducting similar superannuation reviews for other large corporate groups.

The end of the  review period was 30 June 2021. Why did it take so long to complete?

Ernst & Young  confirmed that our 15-year review period is one of the most comprehensive historical analysis, in terms of years, undertaken by any of their clients. Tax record keeping requirements placed on companies in Australia require records be kept for only five (5) years and this is the typical voluntary review period undertaken by employers where an underpayment of superannuation guarantee is identified.  

The scope and complexity in reviewing superannuation contributions paid over a 15-year period required an exceptionally high level of analysis and multiple checks to ensure accuracy and completeness. 

The 15-year period required millions of rows of data to be analysed. The sheer volume of data and the intricacy of retrospective calculations made it necessary for the Group to devote considerable time and resources to ensure accuracy of the review. 

News

SNOWY 2.0 PROJECT UPDATE – JUNE 2023

26/06/2023

In the June update of the pumped-hydro expansion of the mighty Snowy Scheme, Snowy 2.0’s Alex Woschitzka explains construction progress at the massive Talbingo and Tantangara intakes. The project’s Quality Coordinator also checks in on the transformation of a narrow fire trail through steep terrain into a road suitable for heavy vehicles.

Significant progress has been made at the Talbingo intake, where water will exit the tailrace tunnel when Snowy 2.0 generates power. This is also where water enters the tunnel for pumping.

Construction teams have moved more than 310,000 cubic metres of earth to date, about half the total amount that will need to be moved. More than 24,000 metres of rock bolts have been installed and 8,300 square metres of shotcrete sprayed to support the wall.

As part of quality assurance, the shotcrete must be tested for compressive strength. Samples are taken from the truck and also cored from the face to ensure it meets the intended strength requirements. For the rock bolts, pull-testing is conducted to ensure they have been correctly installed, and meet the design and quality requirements. 

When completed, the total height of the Talbino intake excavation will be 104 metres, with about 31 metres of that below the water level. The concrete intake structure will be an impressive 50 metres in height.

Construction is well underway on an internal access road through mountainous terrain. With the help of Snowy 2.0 subcontractor Leed, a narrow fire trail will be widened into a six-kilometre road to enable heavy vehicles to access a rock emplacement area on Talbingo Reservoir.

Works began from both ends across very challenging terrain, achieving a major milestone recently when the two pioneering fronts joined across the Middle Creek cliffs. A temporary bridge with a 36-metre span has been installed across Middle Creek and is capable of supporting a fully-loaded 80-tonne dump truck.

In another milestone achieved in June, stage one earthworks have now been completed at the Tantangara intake. The first stage involved excavation of about 205,000 cubic metres of earth with a further 78,000 cubic metres of drilling and blasting earthworks expected in the next stage.

To support the excavation, more than 18,000 metres of rock bolts have been drilled and installed, and approximately 6,100 square metres of shotcrete sprayed. The excavation is currently about 26 metres deep and will be extended to a total depth of 55 metres.

Tantangara intake is where water will enter the headrace tunnel when the Snowy 2.0 power station is in generation mode. When in pumping mode, water will exit through the intake and fill Tantangara Reservoir. 

News

SNOWY 2.0 PROJECT UPDATE – MAY 2023

30/05/2023

May was a milestone month for the Snowy 2.0 team with the completion of the emergency, cable and ventilation tunnel, or ECVT – another vital step in the construction of Snowy Hydro’s new pumped-hydro expansion megaproject.

Snowy 2.0 senior project manager Rodd  Brinkmann explains the next stage of the project from his base at Lobs Hole, as preparation for excavation for the underground power station cavern gets underway.

The ECVT is a 2.93 kilometre tunnel that runs adjacent to the main access tunnel and provides alternate access to the site of the underground power station. Tunnel boring machine (TBM) Kirsten recently completed excavation of the ECVT and will soon start tunnelling the inclined pressure shaft. This very steep shaft links to the headrace tunnel from Tantangara Reservoir. 

TBM Kirsten will need to undergo modifications to excavate the 25-degree incline, including installation of a screw conveyor to extract excavated rock from the cutterhead to a sandwich conveyor system. With such a steep incline, construction of the 1.45km shaft with its concrete segment-lined tunnel, will be a world first. 

In the main access tunnel, or MAT, construction of cross passages and construction access tunnels is well underway with 850 metres of drill and blast tunnel excavation completed. Of the five cross passages linking the MAT and the ECVT, two are fully excavated and waiting on breakthrough into the ECVT.  Key construction tunnels are also being excavated to provide access to the machine hall, transformer hall and the top of the tailrace surge shaft. 

Workers have reached the main cavern areas from both ends and will soon commence excavation and support of the cavern crowns or ceilings of the power station halls. The excavation sequence of the cavern crowns is critical, as the in situ rock mass will relax and move inwards as the excavated void increases. These movements will be closely monitored during the process. Geotechnical drilling and plate load tests will measure and confirm the characteristics of the rock geology around the power station.

Dynamic 3D models of the power station caverns are also being used. 3D models are created using digital engineering to transform 2D design drawings and are displayed in the state-of-the-art immersive theatre at Snowy Hydro’s Discovery Centre in Cooma, where Snowy 2.0 engineers can collaborate with power station design experts from around the world. Once construction is complete, the detailed 3D models will be a valuable tool for asset maintenance. 

With so much activity in the tunnels, the current Snowy 2.0 underground workforce will increase by another 200 people in the coming months.  

News

SNOWY 2.0 – PROJECT UPDATE

03/05/2023

Snowy Hydro’s management team is working towards resetting the delivery timeline and budget for the Snowy 2.0 project with its principal contractor, Future Generation Joint Venture (FGJV), as part of an ongoing project review. 

The reset will ensure this critically important clean energy infrastructure project is placed on a robust and sustainable footing for FGJV to progress the schedule in a realistic and productive manner. 

While significant progress has been achieved by FGJV on Snowy 2.0, there are delays to Snowy 2.0’s contracted schedule and likely cost impacts beyond the contingency allowed, which remain under review by Snowy Hydro. 

There are four broad categories of factors contributing to schedule delays and likely cost increases: 

  • the mobilisation and resourcing implications of the COVID-19 pandemic; 
  • the effect of global supply chain disruption and inflation impacting the cost and availability of a skilled workforce, materials, and shipping; 
  • a number of design elements requiring more time to complete due to their technically complex nature, with the final design now being more expensive to construct; and  
  • the impact of variable site and geological conditions, with the most impactful being the soft ground encountered that is delaying tunnel boring machine (TBM) Florence’s progress at Tantangara.  

Snowy Hydro anticipates that the timeline for full commercial operation is delayed by a further 12-24 months from the current publicly released dates:

MilestoneEarliestLatest
First Power June 2027 – December 2027June 2028 – December 2028
Commercial operation of all units December 2028 December 2029

Snowy Hydro expects more detail on the budget implications of the project reset around July 2023, and this will be clearly communicated with key project stakeholders.  

Snowy Hydro CEO Dennis Barnes said: 

“Since joining Snowy Hydro earlier this year I have focused on ensuring our major projects are placed on a realistic and sustainable footing, while maintaining construction progress.  

“This project is critically  important to the transition of Australia’s electricity grid and it’s crucial that we are working to a safe, efficient and realistically achievable timeframe to enable orderly planning for all our stakeholders. I am committed to being transparent about our progress and how we are proactively managing the inevitable issues and challenges that arise in a complex project like this. 

“While many other major infrastructure projects have been impacted by the same challenges, Snowy 2.0 continues to make positive progress.

“Snowy 2.0 is providing significant employment and economic benefits both regionally and domestically. There are currently over 2,400 people employed on the project and thousands more jobs generated indirectly through supply chains and support services.

“TBM Kirsten has tunnelled 2.9 km to reach the underground power station cavern complex and we now have access to this site from both ends. We shortly expect to commence the 6km tailrace tunnel that will feed into Talbingo Reservoir and the excavation of intakes at Talbingo and Tantangara are proceeding very well.”

News

ADAMINABY TRUCK PARKING PROJECT

21/12/2022

Snowy Hydro is proud to be supporting a Snowy Monaro Regional Council project providing new truck parking bays in Adaminaby.

Six 3-metre wide and 30-metre long sealed parking bays will be built on the Snowy Mountains Highway in Adaminaby, allowing heavy vehicles to safely stop for logbook, food and drink breaks.

Acting Snowy Hydro CEO Roger Whitby said a $188,000 contribution from Snowy Hydro would assist council in delivering an important improvement for the town.

“We are extremely pleased to be partnering with Snowy Monaro Regional Council on the truck parking bays project,” Mr Whitby said.

“There is a lack of heavy vehicle parking areas between Cooma and Tumut, along with increased numbers of heavy vehicles passing through Adaminaby with the Snowy 2.0 project. So this is an opportunity to help with a really good legacy initiative that will benefit the town’s economy,” Mr Whitby said.

“Truck drivers taking a break in Adaminaby on their trips through the Snowy Mountains will have fit-for-purpose, sealed and lit bays to park their vehicles in. 

“This improves safety for them and other road users, and means heavy vehicles will no longer need to park in residential areas of the town.”

The truck parking project, which is being conducted in consultation with Transport for NSW, will get underway early in 2023.

A temporary repair has been carried out to the area in front of the Big Trout statue in Adaminaby for long vehicle parking in the short-term.

In addition to the truck parking initiative, a separate council project will provide permanent parking facilities in Adaminaby that accommodate long vehicle parking for cars towing boats and caravans, along with recreational vehicles.

The two projects are scheduled for completion by April 2024, weather conditions permitting. 

The Adaminaby parking projects are proudly funded by the Bushfire Local Economic Recovery (BLER) Fund, which is part of the $4.5 billion bushfire support program co-funded by the Australian and NSW governments for bushfire recovery, response and preparedness in NSW.

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SNOWY HYDRO STATEMENT ON CLOUGH – UPDATED 16 December 2022

16/12/2022

Snowy Hydro welcomes the announcement by Webuild that it has reached an agreement with Clough Limited administrators to acquire Clough’s share of the Snowy 2.0 project contract and its related workforce.

Our priority remains ensuring the wellbeing and continuity of Clough’s workers on the project and the smooth progress of Snowy 2.0 construction.

We will continue to work closely with Webuild and the administrators throughout the acquisition process.