31 August 2011

Australia’s first utility-scale PV project to use First Solar modules

First Solar Inc of Tempe, AZ, USA, which makes thin-film photovoltaic (PV) modules based on cadmium telluride (CdTe), together with Western Australian state-owned power utility Verve Energy and GE business unit GE Energy Financial Services of Stamford, CT, have announced that Australia’s first utility-scale solar power project is under way. Output from the 10MW AC project on 80 hectares of cleared land 50km southeast of Geraldton will contribute to offsetting the energy requirements of the Southern Seawater Desalination Plant.

Verve Energy (which owns and operates power stations and renewable energy systems with a total capacity of 2967MW) and GE Energy Financial Services will each own 50% of the Greenough River Solar Farm, with the Western Australian Government providing A$20m (including A$10m from the WA Royalties for Regions program). No debt will be raised to fund the project.

The WA Water Corp (Western Australia’s primary supplier of water, wastewater and drainage services) is building the Southern Seawater Desalination Plant, and has committed to purchase 100% of the solar farm's output under a 15-year contract. Western Australia requires new desalination plants to use power generated from renewable sources. The plant will produce about 50 gigalitres of potable water per year.

First Solar has agreed to supply the project with more than 150,000 PV modules and to provide engineering, procurement and construction (EPC) services, in addition to operations and maintenance support after the solar farm is operational. The agreement is subject to the satisfaction of certain statutory requirements.

The solar farm will be the first utility-scale PV project in Australia, 10 times larger than any other operating solar project in the country. Taking advantage of the area’s vast dry, flat and sunny conditions, it is expected to be fully operational mid next year.

“This announcement demonstrates the significant potential for renewable energy generation — especially utility-scale solar in WA and throughout Australia,” says Jim Brown, who is president of Utility Systems Business Group of First Solar (effective 1 September). 

The project represents GE Energy Financial Services’ first renewable energy investment in Australia, adding to its global portfolio of more than US$400m of solar power equity and debt investments in 42 projects. “This transaction enables us to apply our renewable energy investment expertise to a new market, add to our portfolio of projects with First Solar, and to GE’s broader work with Verve Energy,” says Jason Willoughby, GE Energy Financial Services’ Australia business leader.

Providing affordable and sustainable energy to partially power the Southern Seawater Desalination Plant, near the town of Binningup, the project is expected to create more than 50 construction jobs. Producing energy when it is most needed (during the day), the project should displace 25,000 tonnes per year of greenhouse-gas emissions (equivalent to taking 5000 cars off the road). The project will boost Western Australia’s share of the Federal Government's renewable energy target of 20% by 2020.

Tags: First Solar Thin-film photovoltaic CdTe

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