Oven Mountain Pump Hydro Project

Scope: Conduct Local Market Testing

Industry: Renewable Energy

Project Cost: $1 billion

The Oven Mountain Pumped Hydro Energy Storage project is a $1 billion, 600 megawatt, 'off river' facility located adjacent to the Macleay River between Armidale and Kempsey, in the New England region of NSW. The construction of this major piece of Renewable energy infrastructure is being overseen by Oven Mountain Pumped Storage (OMPS).

Hughes et al (HEA) were engaged by OMPS to assist with a market analysis that was tailored to meet both Australian Industry Participation (AIP) Plan requirements, and key strategies as required under the NSW Electricity Infrastructure Investment Act 2020 No. 44 and as committed to in the terms of the Long-Term Energy Services Agreement (LTESAs).

372 Total Suppliers

85.5% of Manufacturers conduct 50% of their work in Australia

Overview

Hughes et al (HEA) were engaged by OMPS to assist with a market analysis that was tailored to meet both Australian Industry Participation (AIP) Plan requirements, and key strategies as required under the NSW Electricity Infrastructure Investment Act 2020 No. 44 and as committed to in the terms of the Long-Term Energy Services Agreement (LTESAs).

The objective of the market analysis was to consider specialist elements of hydropower-manufactured items, market services, and areas of mutual benefit between the region and the project. The scope also required HEA to implement our “Local Target Calculator” to measure local and regional market capability and capacity to supply goods, services, and workforce.

The utilisation of this tool enabled HEA to undertake assessments on project deliverability and resourcing approaches, which included a sensitivity analysis on market responses to major project investment. A “Point in Time” local market assessment was also undertaken, identifying risks and opportunities.

Following the completion of these assessments, HEA then facilitated working groups within OMPS to develop the ICN Gateway Expression of Interest (EOI) process. Upon agreement on the capability and prequalification’s required under the various work packages, the information was forwarded to ICN NSW for rollout through their ICN Gateway ecosystem in time to support a community engagement roadshow for OMPS, which was supported by ICN NSW’s Regional Manager.

Following the conclusion of the industry EOI response process, HEA worked with ICN to obtain the EOI data, before undertaking validation and input review of the information provided. The review was undertaken utilising pre-determined weighted criteria based on OMPS obligations and requirements. The final market analysis was presented to OMPS with the results and actions also incorporated into the OMPS Industry and Aboriginal Participation Plan (IAPP) to be utilised by OMPS as an artefact in future procurement activities