Banana Shire Council Targets $40 Billion in Wind and Solar Projects
The Banana Shire Council in central Queensland is setting its sights on capturing a substantial portion of the estimated $40 billion in proposed large-scale wind and solar projects, even as the newly elected LNP government has opted to dismantle the state’s renewable energy targets.
Situated within the Callide Renewable Energy Zone (REZ), the council has unveiled its new Procurement Strategy aimed at positioning the shire to secure a growing share of contracts linked to the extensive projects proposed for the area.
Background on the Callide Renewable Energy Zone
The Callide REZ was one of twelve renewable energy zones introduced by the previous Labor state government in July 2023, as part of a $62 billion initiative to transition away from coal power and achieve 80 per cent renewable energy by the middle of the next decade.
A roadmap for the renewable energy zone outlined a plan to connect 22 gigawatts of new capacity to the grid, with the Callide REZ expected to contribute between 2 GW and 2.6 GW. By September, a community consultation process was already in progress, gathering insights from over 1,000 detailed discussions with local residents.
Current Projects and Economic Impact
As of April this year, there were 25 large-scale projects in development within the Banana Shire, encompassing wind, solar, and battery storage, collectively valued at over $40 billion.
The council officially adopted its procurement strategy during its July meeting, with Mayor Nev Ferrier stating that it highlights the shire’s potential to gain benefits beyond merely hosting these projects. “This is about ensuring Banana Shire receives its fair share,” Ferrier remarked.
He added, “We have the skills and the people. Every local contract translates to more business for local suppliers, allowing them to employ additional staff, who will then spend their earnings in local shops, thereby strengthening our communities.”
Opportunities for Local Businesses
Key insights from the procurement strategy, which can be accessed in full, reveal immediate opportunities in construction and maintenance where local businesses have already demonstrated their capabilities, including welders, builders, plant operators, and technicians.
The report also indicates that fabrication workshops in the shire meet national standards, ensuring that project developers will not face disadvantages when opting for local suppliers.
Furthermore, the shire has identified long-term growth prospects in areas such as solar frame fabrication, battery module pre-assembly, modular substation construction, as well as recycling and advanced assembly.
Challenges Ahead
The Banana Shire Council plans to collaborate with local industries and regional partners to put the recommendations of the procurement strategy into action. However, it may face challenges from the state government, which has recently scrapped the state’s renewable energy targets, reduced emissions reduction goals, and introduced new legislation that could complicate development approvals.
