Mining firm BHP says its Australian, Chilean power tenders could be a ‘game changer’

first_imgMining firm BHP says its Australian, Chilean power tenders could be a ‘game changer’ FacebookTwitterLinkedInEmailPrint分享Renew Economy:Mining giant BHP has put its electricity contracts for its operations on Australia’s main grid and in Chile out to tender, and expects that offers including renewable energy could present the cheapest and most efficient options.BHP consumes about 6 terawatt-hours in Chile, around seven per cent of that country’s annual electricity demand, and it has a 300MW requirement for the operations on Australia’s National Electricity Market, including for the power-hungry operations at Olympic Dam in South Australia.“We are in market in both Chile and Australia for significant amounts of energy,” the head of low emissions technology at BHP, Kirsten Rose, said at the Energy and Mines conference in Perth this week.“The ability to use BHP’s purchasing power in this way is significant…these are technology agnostic tenders by the way, but we encourage innovation and to bring value to the table. We are really interested to see what happens, but we fully expect there will be a significant renewable component to that…and that for us could be game changing.”Recent tenders held by corporates and utilities have underlined the cheaper cost of wind and solar, including the cost of “firming” to ensure consistent supply.Rose says the BHP tender would evaluate cost, reliability and emissions, but she notes that for the first time BHP is putting a strong emphasis on the carbon content of its electricity supply contracts. “We are certainly turning the evaluation on its head from what we have done in the past.”More: BHP energy tender could deliver “game changing” shift to renewableslast_img