QWN – Firmus – Energy Generation – Contract Terms

Parliament, Questions

QWN – Firmus – Energy Generation – Contract Terms

Legislative Council, Thursday 26 June 2026

Ms FORREST question to MINISTER for ENERGY and RENEWABLES, Mr DUIGAN

Minister, we know that Firmus has signed a three-year contract with Aurora Energy, their energy supply. You’ve clearly stated that there’s an expectation that new load brings new generation. I know it’s not a long-term contract, but once they’re built, if they haven’t brought new generation online directly themselves, somehow, then what does that mean? Does it mean they have to close down until they bring on new generation?

ANSWER

As you say, it’s a short term energy contract that has been provided for Firmus in that case in terms of it being an existing customer of Aurora in St Leonards, which it has been since 2019. But certainly, as I have said and will continue to say and continue to reiterate that substantial new load brings new generations.

Follow-up question:

Ms FORREST question to MINISTER for ENERGY and RENEWABLES, Mr DUIGAN

The question I asked, and I’ll repeat it, was when that contract expires, there is an expectation, the minister’s clearly stated, that new generation will be brought on to provide for new load. Firmus is new load. After three years, when that contract is either up for renegotiation or expires or they have to go to someone else to enter into a power purchase agreement, is there that point that they have to bring new generation on to meet the expectations that you’ve stated? And if they don’t, what then?

ANSWER

As I’ve said, it’s a three-year contract. Firmus would be aware of the requirement on it to continue to supply energy to that site and it would be having ongoing conversations which will require pulling through new generation.

Follow-up question:

Ms FORREST question to MINISTER for ENERGY and RENEWABLES, Mr DUIGAN

If Firmus were to enter into a power purchase agreement with the mainland entity, for example, which they could, they could also seek to enter into one again with either Aurora or Hydro, but after all Aurora is getting the power from Hydro – that’s where it comes from: if they do either of those things, that doesn’t appear to be new generation according to your expectation – what does that mean for the further operations of Firmus?

ANSWER

Firmus would require energy for its site in St Leonards. It’s got a three-year deal to supply energy for it. It will need to, going forward, find new energy, support new generation in Tasmania to supply that new load-

Ms Forrest – It’s to be in Tasmania? Generation in Tasmania? But they can’t enter into a power purchase agreement with the mainland?

Mr DUIGAN – As is the case, all new loads coming into our state.