Port Hedland is one of the infrastructure wonders of the world, Mining and Petroleum and Ports Minister David Michael told a CEDA forum in Perth last month.
Addressing the State of the State forum, Mr Michael said he “unashamedly” tells visiting delegations to visit Port Hedland to witness the activities firsthand.
He said the State’s ports were built mostly around the State’s export needs, supporting WA’s status as Australia’s economic powerhouse, but that “we need to reimagine the model”.
“Otherwise, we won’t be able to import the kit that is needed for wind farms, batteries and solar power and at the scale needed to reach our decarbonisation goals,” Mr Michael said.
“Bigger ports, new roads, new transmission infrastructure, new ways to create energy, new ways to store carbon dioxide, new mining operations, more international investment, new trade links, new skills, working closely with Traditional Owners, thinking smarter, being more efficient, continuing our WA tradition of applying technology and innovation to solve problems. These are just some of the challenges we need to embrace together.”
Most of the WA’s ports remain publicly owned, providing the Government with control over port capacity which was an asset to the State, “particularly as our ports need to evolve for the energy transition”.
The Government is developing a renewable port strategy to get an understanding of capacity to meet future demand.
Port location relative to energy hubs is an important factor, especially for wind turbines.
“We will need to closely coordinate supply chains linking ships, wharves, lay down areas, road corridors and transport operations to manage the import of equipment at the scale envisaged,” he said.
Initial planning had indicated that there could be a dramatic increase in turbines, solar panels, and batteries because of the energy transition.
Currently there is limited capacity at some ports where berths are already busy with other trades.
“Geraldton and Bunbury have already experienced some (demand)with wind turbines, having successfully handled several shipments over the last year or so (but) new berths and lay down facilities will be needed at or near these ports to increase their capacity in line with possible demand,” he said.
“And I just want to zero in here on Port Hedland, the busiest export terminal in the world that currently operates with the precision of a Swiss watch.
“It is undergoing a transformation into a vital import terminal.”
If some of the private and public investment decisions a realised, potential future import demand will increase from about five wind turbines and 8000 containers a year to around 400 wind turbines and 100,000 containers by 2030.
“The gateway for our iron ore industry is about to become a revolving door for decarbonising the resources industry,” Mr Michael said.
Two new, purpose-built wharves the form part of the $650 million Lumsden Point project will be available to handle the large volume of turbines and associated equipment.
Energy, Environment, and Climate Action Minister Reece Whitby told the forum that developing common-user power transmission infrastructure for the Pilbara was vital.
“The Pilbara has never been known for common user infrastructure,” he said. “Last year the former Energy Minister signed a landmark agreement with Rio Tinto, BHP, Fortescue, Woodside Horizon, Alinta, ATCO, among others, to work together on common user electricity infrastructure.
“We realise that common user facilities are the way to go. While the Pilbara is responsible for 20 per cent of Gross State Product, just 2 per cent of its energy needs are met by renewables.
“This has to change. We must ensure the region is properly serviced by common user infrastructure, and this will provide traditional owners and households and businesses in our
State’s north, where we have many energy hungry industries that desire green electrons.
“We want to provide them with an energy system that can provide those clean, reliable, affordable energy options, and it’s how we unlock WA’s future as a green energy superpower.”