Rio Tinto embarks on Australia's largest solar venture, the 1.1GW Upper Calliope Solar Farm near Gladstone. The strategic move aligns with Rio Tinto's pledge to halve global Scope 1 & 2 carbon emissions, contributing to the sustainability of its Gladstone operations. Through a 25-year power purchase agreement with European Energy Australia, Rio Tinto secures the entire output of the solar farm, potentially lowering its operating carbon emissions by 1.8 million metric tons annually. This initiative signifies a pivotal step towards a greener future for Australian industry.
In a landmark development, Rio Tinto takes the reins of Australia's largest solar endeavor, initiating the 1.1GW Upper Calliope Solar Farm, situated near Gladstone. This ambitious project not only underscores Rio Tinto's commitment to renewable energy but also serves as a pivotal move towards achieving its climate goal of reducing global Scope 1 & 2 carbon emissions by half.
Under a 25-year power purchase agreement inked with European Energy Australia, Rio Tinto secures exclusive access to all electricity generated by the Upper Calliope Solar Farm. This strategic collaboration positions Rio Tinto at the forefront of sustainable practices in Central Queensland, contributing significantly to the region's industrial landscape.
The Upper Calliope Solar Farm, to be constructed and operated by European Energy, awaits development and grid connection approvals. Once given the green light, construction is slated to commence in 2025 or 2026, with completion expected in two years. The vast 2400-hectare plant, located approximately 50 kilometers southwest of Gladstone, is projected to provide about 5% of Queensland's current electricity demand upon full operation.
Rio Tinto's Chief Executive, Jakob Stausholm, acknowledges the complexity of the task ahead but expresses confidence in the company's ability to provide competitive and firm power to its Gladstone operations. The solar project, once operational, has the potential to reduce Rio Tinto's operating carbon emissions by a significant 1.8 million metric tons per year.
Stausholm emphasizes the critical role of competitive capacity, firming, and transmission in shaping a modern energy system capable of fostering large-scale renewables development in Queensland. The collaboration with European Energy Australia is not merely a transactional venture but a strategic partnership contributing to the sustainable future of Australian industry.
Erik Andersen, CEO of European Energy, highlights the shared vision for a greener future, stating that the Upper Calliope Solar Farm is not just a power project but a testament to their dedication to driving the transition towards renewable energy in Australia. The project sets a new standard for industrial energy consumption, showcasing the potential of solar power to transform the regional energy landscape.
While Upper Calliope marks the first successful application in Rio Tinto's formal Request for Proposals, the company continues to explore additional proposals, solutions, and partnerships to meet the energy needs of its three production assets in the Gladstone region, requiring over 1GW of reliable power for operation.
Rio Tinto's foray into the 1.1GW Upper Calliope Solar Farm signifies a monumental step towards sustainable practices and renewable energy in Australia. The 25-year power purchase agreement with European Energy Australia solidifies Rio Tinto's commitment to reducing carbon emissions and powering its Gladstone operations with clean energy. This strategic collaboration not only positions Rio Tinto as a leader in the renewable energy landscape but also sets a new standard for industrial energy consumption, paving the way for a greener future for Australian industry.