The 400 megawatt (MW) Stubbo solar farm, one of the biggest in the country, has become the first solar project backed by a NSW state government underwriting deal to reach full production.
The completion of the $760 million project, about 10 kms north of Gulgong in the state’s central west, was announced by the Philippines-owned Acen Australia, along with news that a 200 MW, 800 MWh big battery may also be added.
Acen says it is the first solar project backed by a Long-Term Energy Service Agreement (LTESA) to reach full commercial operation, which it says marks a “turning point” in the state’s clean-energy transition.
Stubbo was one of two solar projects awarded LTESAs in the first auction held by the NSW government under its infrastructure roadmap to replace its ageing coal fired generators with a mix of wind, solar and storage.
The other winner of that first auction was New England solar, also owned by Acen. The first 420 MW stage of that project is complete, but Acen is still working on the second 300 MW stage. The NSW government said at the time that the underwriting agreements were struck below $35/MWh.
Neoen’s 350 MW Culcairn solar farm, which won an LTESA in the next generation tender, is half way through its commissioning process. No price information was released for that tender.
Acen Australia managing director David Pollington said Stubbo has become one of the most significant renewable energy investments in regional NSW.
“As the market evolves, costs are rising, delivery conditions are changing rapidly and market dynamics are shifting – these pressures are real, and they reinforce the importance of partnership between government and industry to ensure policy settings remain responsive, effective and investment-ready,” he said in a statement.
Acen has done well with state and government auctions, also winning a federal government underwriting agreement for its 910 MW Valley of the Winds project in NSW, and a NSW deal for its 800 MW, 11,900 Phoenix pumped hydro project.
Last week, Stubbo announced it would become the first large-scale solar project certified for full circularity, committing to recycling all 930,000 of the project’s solar panels at the end of life under the Circular PV Alliance framework.
The company held a formal ceremony for the opening last Friday attended by NSW energy minister Penny Sharpe.
Acen says the project saw nearly $85 million invested across the NSW economy, including almost $60 million in jobs, supply and contracts awarded within the Mid-Western Regional Council area that hosts the project and the local council areas immediately adjacent.Â
It says the project also invested A$3.2 million with First Nations businesses, and more than A$400,000 in community development initiatives through its voluntary social investment program.Â
The project was built by PCL Construction, while Lumea, was responsible for the connection.
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