Pacific Hydro’s 80MW Crowland’s wind farm, which is currently under construction near Ararat in Victoria, has won key financial backing from two of the big-four Australian banks, NAB and the CBA.
The project’s financial adviser, Planum Partners said the project had reached financial close on $80 million of non-recourse project financing, provided by the Commonwealth Bank of Australia and National Australia Bank Limited.
The 39-turbine project has also been underpinned by a ground-breaking group purchasing model, in which 14 consortium members have committed to buy a total of 88GWh, or one-third of the assumed output of the wind farm, at an undisclosed price.
Big city purchasing power driving investment and jobs in regional Victoria. With 14 partners, Melbourne Renewable Energy Project has enough power for 17,000+ homes @cityofmelbourne @auspost@RMIT @CitywideAus @NAB @unimelb @pacifichydro @FedSquare #CrowlandsWindFarmSodTurning pic.twitter.com/euG0YFQLQ2
— Arron Wood (@ArronWood) March 22, 2018
That consortium, called the Melbourne Renewable Energy Project, is made up of 14 of leading local universities, cultural institutions, corporations and Councils, led by the City of Melbourne. NAB is one of its members.
Pacific Hydro CFO, Robert Spurr said the company was pleased to secure financing for the project, which had been supported by “so many committed stakeholders.”
“We look forward to working further with our financiers, contractors, advisers and the local Crowlands community to successfully deliver clean energy to the Melbourne Renewable Energy Project (MREP) partners in 2018,” Spurr said.
Planum Partners’ Shaun Newing said the company was “delighted” to witness the success of the project, particular over such a short time-frame – the project was first announced in November 2017.
Pacific Hydro is the owner operator of the wind farm and its retail arm, Tango Energy, will supply the once the project is completed, in early 2019.
MREP includes Australia Post, Bank Australia, City of Port Phillip, City of Yarra, Citywide, Federation Square, Melbourne Convention and Exhibition Centre, Moreland City Council, National Australia Bank, NEXTDC, RMIT, University of Melbourne, and Zoos Victoria.
Sophie is editor of OneStepOffTheGrid.com.au and deputy editor of its sister site, RenewEconomy.com.au. Sophie has been writing about clean energy for more than a decade.