Stanwell - case study
Stanwell Corporation is Queensland’s largest power generator with a capacity of over 4,000MW. It can provide over 50 percent of the state’s average power demand. Depending on market fluctuation, Stanwell Corporation’s asset portfolio uses differing power generation methods, sells power and trades resources.
Stanwell’s aim is to consistently deliver the safest, low-cost energy sector operations and maintenance in Australia. Considerations need to be made for the following complexities:
- assets vary in scale and process (fuel and systems) requiring specialised management and skilled employees
- industrial relations and workforce sensitivities
- geographical distances, sites dispersed across the length of Queensland present challenges in people and resource mobilisation and costs
Since 2014, UGL has been delivering maintenance services operating across five sites:
- Stanwell Power Station (4 x 365MW), coal fired, located 22km west of Rockhampton
- Tarong Power Station (4 x 350MW) and Tarong North Power Station (1 x 443MW), coal fired, located 180km north west of Brisbane
- Swanbank E Power Station (1 x 385MW), gas fired, located 45km south west of Brisbane
- Baron Gorge Hydro Power Station (66MW), hydro, located 20km north west of Cairns
- Mica Creek Power Station (218MW), gas fired, located 8km south of Mount Isa. Currently in cold storage, however re-commencing supply from mid-2017 to 2020 to a mining project
Stanwell Corporation and UGL have collaboratively formed a strong, sustainable partnership that has resulted in a step change in safety, value-for-money and continuous improvement.
UGL managed approximately 140 employees in asset and facilities maintenance and mobilised an additional 250 employees and subcontractors during nine outages between 2014 to 2017.
UGL performs the following services:
- facility maintenance
- outage maintenance, and
- asset maintenance
UGL has implemented a robust continuous improvement program which leverages and promotes innovation initiatives from the shop floor and connects all UGL sites through a continuous improvement warehouse. This facilitates best practice by leveraging UGL’s cross-sector reach and extensive project experience.
Through targeted leadership development, the introduction of UGL safety systems and increased lead indicator discipline, UGL have managed a positive cultural shift in power generation contractor safety performance which has resulted in measurable performance improvement.
UGL and Stanwell have held ongoing collaborative discussions to challenge the status quo and embrace innovation, resulting in outstanding overall business results which led to a positive step change in safety and commercial outcomes.
- the continuous improvement program implemented from the start of the contract has generated over 5% in savings to the asset and facilities maintenance annual total cost estimate.
- UGL has reduced the total recordable injury frequency rate by 50% in two years.
- UGL fully mobilised maintenance teams totalling 140 personnel at three separate facilities across Queensland in just 6 weeks including full induction and contract alignment workshops. This involved:
- full alignment and integration of safety, workflow, quality and IT systems and processes on each site
- consolidation of supply arrangements from approximately 400 suppliers to less than 100
UGL was granted a contract extension by Stanwell in 2017, testimony to our:
- strong partnership formed
- progress achieved on key contract imperatives
- notable step change in safety performance
- overall value of services delivered and
- success of continuous improvement initiatives