CEFC provides $30 million debt finance for NSW’s largest solar farm

New South Wales’ largest large scale solar project has reached financial close, with the Clean Energy Finance Corporation (CEFC) stepping in to provide debt finance for the project. The two organisations have now worked together to develop 260 MW of renewables in regional NSW.

January 25, 2018 Jonathan Gifford

Neoen recently adjusted the boundaries on the Coleambally project.

Image: Neoen

The CEFC is continuing to play a crucial role in fostering large scale solar development in Australia. The latest project to receive a boost towards financial close is the 150 MW Coleambally Solar Farm being developed by Neoen.

The government financed renewables lender hit the 1 GW milestone, in terms of projects funded, in December. It now reports to have provided funding to 1.3 GW of renewable generation capacity.

The Coleambally project will be the largest solar farm in NSW when completed. It is located in the NSW Riverina district.

Asides from the Coleambally Solar Farm, Neoen has tapped $150 million of CEFC financing for solar parks in Dubbo, Griffith and Parkes. The projects at the latter two sites have completed construction and are currently being commissioned.

While the CEFC is playing an important role in providing debt finance to projects without PPAs, thereby assisting them to reach financial close, the Coleambally project already has a PPA with EnergyAustralia – for 70% of its output.

“We are pleased to support Neoen’s investments in the construction of new solar generation in New South Wales,” said CEFC Large-Scale solar lead Monique Miller, in a statement. “As well as driving lower emissions and regional employment, these investments are delivering renewable energy to large population centres.”

The Coleambally array is being funded by the CEFC along with German commercial banks NORD/LB and KfW Ipex.

Construction of the 150 MW PV power plant is expected to take nine months. It will employ 300 people during construction.

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