AGL Energy Limited (AGL) today received development approval from the NSW Planning Assessment Commission (PAC) for the Dalton Power Project.

The approval is for the construction of up to a 1,000 megawatt (MW) gas turbine power station on rural grazing land approximately 4km north of the town of Dalton, NSW. The first stage of the project is intended to comprise a 500 MW power station. The proposed Dalton Power Project will supply electricity to New South Wales during times of peak demand.

Anthony Fowler, Group General Manager Merchant Energy said, "AGL welcomes the decision of the PAC. The next step will see AGL seek Commonwealth Government approval."

The PAC approval contains over 147 conditions which reflect the commitments made by AGL to address community concerns. The Dalton Power Project has been the subject of one of the most rigorous and thorough assessments of any NSW power station proposal.

The next stage in the project approval process is for the Commonwealth Government Department of Sustainability, Environment, Water, Population, and Communities to consider the Dalton Power Project for approval under the Environmental Protection and Biodiversity Conservation (EPBC) Act.

The Commonwealth Government review will include a number of conditions of approval for the project under the EPBC Act. Part of the conditions of approval for the development of the power project are that, upon development, AGL will permanently put 195 hectares of land on the site into a conservation offset.

Further information about AGL's proposed Dalton Power Project can be found at the Dalton Project website.

About AGL

AGL is one of Australia's leading integrated renewable energy companies and is taking action toward creating a sustainable energy future for our investors, communities and customers. Drawing on 175 years of experience, AGL operates retail and merchant energy businesses, power generation assets and an upstream gas portfolio. AGL has one of Australia's largest retail energy and dual fuel customer bases. AGL has a diverse power generation portfolio including base, peaking and intermediate generation plants, spread across traditional thermal generation as well as renewable sources including hydro, wind, landfill gas and biomass. AGL is Australia's largest private owner and operator of renewable energy assets and is looking to further expand this position by exploring a suite of low emission and renewable energy generation development opportunities.