Loy Yang

The Loy Yang Power Station is a brown coal-fired thermal power station located on the outskirts of the city of Traralgon, in south-eastern Victoria, Australia.

The Loy Yang Power Station is a brown coal-fired thermal power station located on the outskirts of the city of Traralgon, in south-eastern Victoria, Australia. It consists of two sections, known as Loy Yang A (4 units) and Loy Yang B (2 units). Both Loy Yang A and B are supplied by the Loy Yang brown coal mine. The Loy Yang power stations are located in the brown coal rich Latrobe Valley, along with the Yallourn power station.

If Loy Yang A and Loy Yang B are counted together they are the largest power station in Australia, generating 3280 MW of power (however, if counted separately, the 2,880 MW Eraring power station is the largest). Loy Yang A & B are base load power stations, and together produce 50% of Victoria's electricity requirements. Loy Yang also serves as the mainland connection point for the Basslink electricity interconnector cable which runs under Bass Strait, connecting it to the George Town sub-station in Northern Tasmania.

Loy Yang was originally constructed through the 1980s by International Combustion Australia Ltd, who was contracted by the government owned State Electricity Commission of Victoria (SECV). It consists of two separate units, Loy Yang A and Loy Yang B. Constructed in stages, it was originally planned that the Loy Yang complex would consist of eight generating units, of 525 megawatts (704,000 hp) each upon completion. The privatization of the SECV resulted in only six generating units being completed, four in Loy Yang A and two in Loy Yang B. The chimneys were constructed by Thiess Contractors.The Loy Yang complex was privatised in 1995, as were most of the assets of the SECV. Prior to the Victorian Government's privatisations from the mid-1990s, a 49% stake of Loy Yang B was sold to Mission Energy. Later Edison Mission bought the complete plant, and later again sold it to the joint venture International Power Mitsui.

In 1995, Loy Yang B was the world's first coal-fired power station to gain quality accreditation to ISO 9001 and the first Australian power station to gain environmental accreditation to ISO 14001.

In March 2010 it was announced that the operators of Loy Yang A (Loy Yang Power) signed a contract with Alcoa World Alumina and Chemicals Australia for the supply of electricity to power aluminium smelters at Portland and Point Henry until 2036. The Point Henry Smelter ceased operation in 2014 and is now closed. In June 2012 AGL Energy acquired Loy Yang A and the Loy Yang coal mine.In June 2012 AGL Energy acquired Loy Yang A and the Loy Yang coal mine. In 2020, AGL announced plans to build a 200 MW / 800 MWh (4 hours) battery storage power station at Loy Yang A to increase flexibility.Until November 2017, Loy Yang B was jointly owned by Engie (formerly GDF Suez Australia), which held a 70% stake, and Mitsui & Co Ltd with 30%. In November 2017, Engie sold Loy Yang B to Chow Tai Fook Enterprises for a reported AU$1.2 billion, despite some reported that it was acquired by Chow Tai Fook Enterprises' subsidiary Alinta Energy instead.