Crisafulli Government Flushing Millions to Prop Up Callide B Amid Renewables Rise
Crisafulli Government Flushing Millions to Prop Up Callide B Amid Renewables Rise
24 September 2025
Queensland is on track to replace the retiring Callide B coal-fired power station with renewable energy backed by storage in time for it to close by the end of 2028, according to a new analysis by the Queensland Conservation Council.
The analysis found that over the next three years Queensland is set to build five times its current capacity of grid-scale batteries and double its capacity of solar farms – smashing previous modelling.
By the end of 2028, the Sunshine State is set to install up to an additional 3.5 GW of additional large-scale solar capacity and more than double the large-scale storage that was modelled in 2022 under the previous Labor State Government.
The conservation council is pointing to the findings of the analysis to demand answers from the Crisafulli Government on why they are planning to waste hundreds of millions of taxpayer dollars to keep retiring Callide B online past its scheduled retirement in 2028.
Queensland Conservation Council Senior Renewables Campaigner Stephanie Gray said:
“Queensland’s installation of solar and batteries continues to outpace expectations, and overall we’re set to connect more renewable energy and storage over the next three years than was modelled by Queensland’s former State Government.
“This raises serious questions about why the Crisafulli Government plans to force Queensland taxpayers to pay hundreds of millions each year to keep troubled Callide B operating past its scheduled end of life.
“Callide B was only built to operate for 40 years and the end of its life has always been scheduled for 2028. Our research shows that it could cost up to $420 million per year to keep the clunker on life support past its planned retirement.
“Research shows that Callide B’s two units have been offline for an average of 12 weeks every year since 2020. It’s clear that even if Queenslanders are forking out hundreds of millions there’s no guarantee that Callide will provide reliable power.
“The first year of the Crisafulli Government’s term has been marked by energy policy uncertainty and cuts to renewable energy. Despite this, we still have a strong pipeline of renewable energy.
“But Queenslanders will be slugged hundreds of millions to keep Callide online if the Government continues their clean energy cuts and delays storage coming online.
“We’re calling on Queensland’s Treasurer and Energy Minister, David Janetzki, to be responsible with taxpayer money and release an energy plan that supports renewable energy and storage, and allows Callide B to close on time.”
Despite recent energy policy uncertainty and the Crisfulli Government’s cancellation of two wind farms, Moonlight Range and Forest Wind, the full impact of these decisions will not be felt immediately, given the time it takes for projects to move through the development pipeline.
According to an analysis by Nexa Advisory, closing Callide be would contribute approximately 5 per cent of the progress still required to meet Queensland’s 75% 2035 target.
Media contact: Ellie McLachlan, 0407 753 830
Share
Tweet
Email