AGL has officially opened its $45 million co-generation facility in Altona, which will provide energy supply and steam for polyethylene producer Qenos.

Built, owned and operated by AGL's Energy Services business unit, a team focused on improving the energy productivity of its commercial and industrial customer base, the plant will cut carbon dioxide emissions by 100,000 tonnes per annum, equivalent to taking 25,000 cars off the road.

Michael Fraser, AGL Managing Director and CEO, said the facility was the largest
investment in industrial or manufacturing co-generation in more than 10 years.

"This project has taken advantage of AGL’s strong position in the gas industry. It has also utilised the skills of our dedicated team of 65 plus engineers and technicians in AGL Energy Services, who are devoted to our industrial and commercial customers’ energy efficiency," Mr Fraser said.

"AGL is well placed to assist the manufacturing industry, through its Energy Services business, to develop co-generation plants. These provide the biggest potential for manufacturers to reduce greenhouse gases and improve energy efficiency."

Jonathan Clancy, Chief Executive Officer, Qenos said: "This project is a further
demonstration of the cooperation achieved between industry, government, employees and the community to provide a secure and long term energy source, and improve the economics associated with the production of polyethylene. This is an investment in real sustainability."