CEFC tips in $6.5 million loan for Newcastle solar farm | RenewEconomy

CEFC tips in $6.5 million loan for Newcastle solar farm

CEFC provides loan to finance most of 5MW solar farm to be built on former colliery site near Newcastle, paving the way for batteries and electric trucks.


Newcastle City Council says it has secured a $6.5 million loan from the Clean Energy Finance Corporation to help finance a 5MW solar farm to be built in the heart of one of Australia’s leading coal regions.

The $8 million solar farm, to be built by Lend Lease and Carnegie Clean Energy following a tender win announced last month, will begin construction in June and is expected to slash the council’s electricity bills, which had doubled in the last two years.

It will be built at the Summerhill Waste Management Centre – on a capped landfill site that was once part of the Wallsend Borehole Colliery – and is expected to save the city $9 million over the 30-year life of the plant.

The council’s electricity bill recently doubled to $4 million a year, thanks to soaring grid prices.

The Summerhill waste facility already features a 2.2MW landfill gas generator and a small wind turbine, and the council says this project will pave the way for future battery storage and electric garbage trucks.

Newcastle Lord Mayor Nuatali Nelmes said increasing its renewable energy capability and finding more energy-efficient solutions” is an integral part of our long-term vision to become a smart, liveable and sustainable city.”

“I’d like to thank the Clean Energy Finance Corporation for its incredible support of the City of Newcastle’s sustainability charter,” Nelmes said in a statement.

“We are building sustainability into everything we do after reiterating our commitment last year to generate 30 per cent of our electricity needs from low-carbon sources and cut overall electricity usage by 30 per cent by 2020.

CEFC CEO Ian Learmonth said it was exciting to see Newcastle transition to a “sustainable city of the future”, and noted the numerous towns and cities looking to do the same.

“Councils across Australia administer a vast network of streetlights, community centres, libraries, sport and recreation facilities and other public access buildings,” he said.

“Newcastle is leading the way in financing a solar farm through the CEFC to help it manage the energy costs of these facilities.

“We encourage other councils to also invest in clean energy, which can free up council finance for other community-enhancing projects while locking in longstanding environmental and economic benefits for their communities.”

A total of eight Newcastle City Council buildings host rooftop solar installations, including an art gallery, museum, works depot and libraries.

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  1. Andrew Roydhouse 3 years ago

    Does anyone get the impression that the ‘rush for the door’ has well and truly begun?

    How long until billions in write-offs are demanded by the external auditors for the owners of the poles and wires as well as the long distance transmission grids, not to mention gas pipelines, coal-fired power stations, peaking gas plants etc etc?

    Spurred on by the potential surge in EVs once the Tesla 3 finally gets to large production weekly numbers – a number of US chains have already installed FREE EV charging stations in their car parking. Such as the US (successful) chain Target which is a combination supermarket, pharmacy and department store.

    As more and more Australian companies deal direct and local councils see the financial benefits – the write downs and early closures seen throughout the US will be just as commonplace in Australia. How long until the old Westfield starts installing solar panel shades on all their Westfield Shopping Town car parks in Australia I wonder.

    Last one out please turn off the supercharger!

    • john 3 years ago

      Actually I think the transmission grid will be needed to send power from those distributed RE producers all over the grid.

      I am hearing you about the not exactly forwards looking shopping centers; who have put in zero charge points and i think zero PV on their large roof areas let alone the car park areas.

      Perhaps they will wake up some time soon that they could cut their power bill by at least 25% but unfortunately they obviously are happy to just charge the renters of the space about $3000 a week.

      Guess who pays for this myopic attitude?
      Correct the plebs who shop.

      • palmz 3 years ago

        When your talking about commercial power bills it is not as simple as throw up some solar and save. (demand charges/load profile) also the buildings may need to be reinforced to up up a large system.

        but in many (hopefully most) cases it is a good idea.

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