O’Donnell Griffin Grows in Generation-To-Consumption Power Market - Investment opportunities in powe
The Australian power industry is going through a period of massive investment that requires companies to provide a complete solution, from the generation of power through to its efficient delivery into homes and businesses.
In response to this emerging need, O’Donnell Griffin (ODG) has launched a major initiative to offer a single solution to the issues of generation, transmission and distribution. The solution will will provide a “one stop stop” for electrical infrastructure investment.
The strategic move by ODG has been instigated by Mr David Lee, Norfolk’s Chief Executive Electrical and Communications Division. ODG is part of Norfolk, an ASX listed company.
Mr Lee said the power industry is undergoing a transformation not seen since the 1950s when Australia was transformed from an agricultural economy into a modern industrial economy.
“Around $20 billion has been earmarked to spend on power generation in Australia in the next decade, with a further $4 billion to be spent upgrading the transmission system and this investment needs to be harnessed in the most efficient manner possible,” he said.
As a result ODG, one of Australia’s leading electrical engineering groups, has restructured its operations to focus on the new investment opportunities.
The focus of ODG going forward will be the provision of in-house specialists in design, engineering, managing technical detail, construction and installation.
Mr Lee says these opportunities will increase markedly with the introduction of the cleaner power technologies required to meet the expected tough emission targets for 2020.
ODG is positioning itself strongly in all sectors of the power generation-to-consumption market, he said, partly in response to the effects of deregulation over the past decade that has seen service providers needing to adapt to the new market conditions.
“ODG has had to develop relationships with different stakeholders in generation, transmission and distribution, rather than with just one state-owned utility as was the case before power assets were sold off by some state governments as part of power reform,” he said.
This is particularly important given the current level of consolidation occurring in the industry.
“Overall the electrical industry is required to deal with different stakeholders and different drivers across the three sectors and the more the industry is able to deal with a single service provider the more efficient the outcomes will be,” he said.
Mr Lee said ODG’s cross-industry reputation continues to grow, based on its extensive in-house expertise and its completion of multiple roles on major projects.
“We’re doing power work across the country in all various aspects rail, mining and other industries as well as electrical infrastructure.”
A recent ODG appointment is power industry expert, Mr John Roles, who as National Manager Power Generation is focussed on developing new power generation opportunities for the company.
Mr Roles has a significant history in “total design-and-install power stations”, including involvement in Loy Yang A and B stations and more recently, Huntly Power Station in New Zealand, Pinjara co-generation facilities in Western Australia, and Condong and Broadwater co-generation facilities in NSW.
He is a strong advocate of co-generation and biomass-fuelled power plants as part of a multi-pronged sustainable solution to Australia’s surging power needs.
Mr Roles said the next generation investment opportunities in the industry will exceed $20 billion in the next ten years just to maintain the current level of supply.
“If you take into account the costs associated with environmental issues, the potential of carbon-taxing, and the search for reliable clean renewable energy sources, there could be another $20 billion invested on top of that.
“Even without carbon-taxing and environmental issues, about $2 billion a year needs to be spent nationally on designing, maintaining and operating power stations and its associated infrastructure,” he said.
ODG also continues to build on its decades of expertise in transmission and distribution, says its National Manager, Power Industry Solutions, Mr Andrew Cross.
Current industry ODG projects include $36.3 million contracts at the redevelopment of the coal terminal at northern Queensland’s Dalrymple Bay and a $1 million design contract for ETSA Utilities for Oxiana at Prominent Hill, he said.
“At Prominent Hill, ODG is working with the project team and other key stakeholders to work through complex native title issues and restricted land-use issues (the site is near Woomera),” he says.
“The company is involved in a $1 million contract value for tower and line design, developing a suite of towers for a highly variable terrain that includes sandhills and rocky ground, while also ensuring a reliable lifecycle in this environment of extreme elements. ODG will also be involved in ongoing consultation with the construction team.”
ODG is exploring opportunities around the world in the power market, said Mr Cross, with involvement in powerline upgrade proposals in Brunei.
In Australia there is also significant opportunity for ODG to provide services that boost the efficiency of supply via the upgrading of transmission powerlines across the national grid, he said.
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