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3 October 2003 - Services and Energy company Transfield Services Ltd will build a A$250 million ($170.88m) 260 MW gas fired power station in Western Australia (WA) next year.

WA Energy Minister Eric Ripper today announced he had given approval for a peaking plant to be built, owned and operated by Transfield at Kemerton Industrial Park.

The power station will provide utility Western Power with electricity at times of peak demand in summer and winter.

Western Power has negotiated a 25-year power purchase agreement with Transfield to come into effect when the power station is completed in late 2005. The present value of the power purchase agreement is about A$320m.

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