New electricity initiative to boost Sydney power supply
Property investors with stakes in commercial real estate in the Sydney CBD could be set to benefit from plans to overhaul the city's energy network.
A national inquiry into electricity network regulations has revealed the City of Sydney's intention to install the country's first major trigeneration network in the New South Wales capital - boosting power supply services and reducing prices for buildings in the city.
Allan Jones, the City of Sydney's chief development officer, said: "Trigeneration networks could solve peak power demand problems more cheaply and efficiently than continually upgrading electricity networks and building remote, inefficient coal or gas-fired power stations."
Under the proposed plan, buildings in Sydney's CBD would be supplied with low-carbon electricity and zero-carbon heating and cooling - benefiting those with a commercial property investment in the city.
Running on renewable and natural gases, the proposed network would be significantly more energy efficient than coal-fired power sources, which currently account for 80 per cent of carbon emissions in the local government area.
Mr Jones said electricity prices would continue to soar with increasing network charges from upgrades to the city's power system.
"Network charges now make up half of average electricity bills in NSW and are expected to rise to 60 per cent by 2014," he commented.
"Producing electricity locally and more efficiently, as proposed for the city's trigeneration project, would help reduce the impact of these network costs on electricity prices."