TRUENERGY'S proposed $1.3 billion gas-fired power station for the Latrobe Valley will not start feeding energy into the grid until 2015 - two years later than expected.
The company, which owns the Yallourn brown-coal generator, said the prolonged debate about the government's delayed emissions trading scheme and previously optimistic predictions had caused the setback.
''There is a degree of pragmatism in this timetable,'' said TRUenergy's director of portfolio management, Carlo Botto. ''We know what it takes to permit a site and then construct, so we need to be a bit realistic if we are going to be out there telling people about it.''
The first of the two 500-megawatt units will be in operation in early 2015, meaning TRUenergy could look to retire two of its four units at Yallourn then.
But Mr Botto said that would depend on the company's financial health and the energy demand profile of Victoria.
''If we have an emissions trading scheme and we are in a fit state with regards to our balance sheet and everything points towards a pretty healthy environment to build this first gas power station, then we will consider a retirement trajectory for Yallourn,'' he said.
''Unfortunately, though, you can't just build one and retire the other.''
TRUenergy has filed a referral under the federal Environment Protection and Biodiversity Protection Act but is unlikely to face any problems on environmental grounds.
''The first environmental hurdle is emissions but this plant will be best in class,'' Mr Botto said. ''The second is usually noise but we don't expect any problems there; and the third is around the footprint of the plant. It is really like a large shed, so it is very small.''
