The energy development arm of Ayala Corp. (AC) and its Australian partner have reached financial close for the first stage of its New England Solar Farm in New South Wales (NSW).
Filipino firm AC Energy and Infrastructure Corp. and Australian partner UPC Renewables said on Monday that the first 400 MW alternating current of its solar farm in Uralla is now funded through debt financing from Westpac, Commonwealth Bank of Australia, and Bank of China.
This, according to the two groups, is just the first stage of the final 720 MW solar and 400 MWhr battery at the site.
“It’s exciting to achieve financial close on a merchant basis for such a large project, which is the first of many such projects we have in Australia. UPC\AC Renewables Australia views this project fitting into the NSW Government RoadMap and look forward to being engaged in this process to help lower electricity prices in NSW,” said UPC\AC Renewables CEO Anton Rohner.
Officials were not responding to queries on project cost and questions on debt financing.
With this development, grid connection and initial energy production is expected to start by July 2022, while the remainder of the project is projected to be placed in service by around the end of 2023.
UPC\AC Renewables is also planning to install up to a 400 MWh lithium-ion battery storage facility, with the first 50 MWh, which is supported by the NSW Emerging Energy Program, expected to become operational in mid-2022. This battery system will assist with electricity grid stability and provide firm capability to deliver energy at peak periods, lowering prices for consumers.
Once finished, the New England Solar Farm will produce enough energy to power approximately 250,000 typical NSW households each year and will supply energy to the market to help fill the gap left by the expected closure of the Liddell Power Station.
According to AC Energy International COO Patrice Clausse, the New England Solar Farm will contribute significantly to AC Energy’s goal of reaching 5,000 MW of renewables capacity by 2025, towards becoming the largest listed renewables platform in Southeast Asia.
He added that the solar farm is a “major milestone” for the group as it is a first in Australia.
“We look forward to helping Australia achieve and exceed its long-term decarbonization goals by continuing to develop and construct more renewable energy projects in the country,” he said.
Green Light Contractors was tapped for the construction of the solar farm.
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