In 1973, the State Electricity Commission of Victoria (SECV) announced that it would build a pair of large brown coal-fired baseload power stations adjacent to a new open-cut mine at Loy Yang, south of the township of Traralgon in the Latrobe Valley region of the Australian state. Each station would have an output of 2000 MW, approximately 1.5x larger than the previous two ‘big’ coal-fired power stations in the ‘Valley, Hazelwood and Yallourn W.
Loy Yang B Power Station in the Latrobe Valley
By the time the last of the four 500 MW turbogenerators at ‘A’ station were commissioned in 1988, the SECV was in dire financial straits. By the time ‘B’ station had finished being commissioned, built as only two instead of a planned four turbogenerators, the SECV ceased to exist as a state-owned monopoly electricity utility. What happened? Why was such a massive, capital-intensive project undertaken in the first place?