Neoen begins construction of its second biggest solar farm after NSW tender win

French renewable energy and battery storage developer Neoen says it has begun the construction phase of its 350 MW Culcairn solar project in New South Wales after appointing a contractor to build the project.

Culcairm, located around 40kms north of Albury in Wiradjuri country, this week was one of two large scale generation projects that were successful in the state government’s latest tender seeking to accelerate the transition from coal to renewables.

The solar project is backed by a Long-Term Energy Services Agreement, which effecting removes the downside risk if wholesale prices fall to far. Neoen says it expects to get most, if not all, its revenue from the project from long term power purchase agreements.

Neoen has contracted Bouygues Construction Australia and Bouygues Energies and Services Australia under an EPC (Engineering, Procurement and Construction) turnkey contract.

The project includes an option to incorporate a 100 MW battery although the storage duration has not yet been decided.

The solar project itself is sized at 440 MWp / 350 MW (ac), making it  one of the largest solar farms in NSW and the second biggest in Neoen’s portfolio, behind the recently completed 400 MW (ac) Western Downs solar farm at the Western Downs Green Power Hub in south-west Queensland.

Neoen says the project will generate enough energy to power 160,000 homes, more than double the number of dwellings in the Riverina region of NSW and will deliver more than 400 construction jobs and 7 permanent positions once it starts operating.

Neoen says it will provide $10 million towards local community programs over the life time of the project, including an annual Community Benefit Fund and contributions to the Greater Hume Shire Council. The solar farm will incorporate agrisolar in the form of sheep-grazing.

“Culcairn is an essential project for Neoen in NSW and in Australia and we are proud to have been awarded an LTESA contract,” said Louis de Sambucy, the head of Neoen Australia.

“We have developed a strong pipeline of wind, solar and battery storage projects in NSW designed to help accelerate the State’s energy transition, as it moves towards halving emissions by 2030.”