A total of 20 Australian projects are on track to provide an impressive 6.6 gigawatts (GW) of renewable energy generation capacity by the year 2030, thanks to the latest allocation from the Capacity Investment Scheme (CIS).
The CIS is designed to encourage investment in clean energy initiatives by compensating for revenue shortfalls that fall below a predetermined floor. In exchange, the Federal Government claims 50 per cent of any revenue that exceeds a specified ceiling.
Successful Bids and Project Highlights
In the fourth round of the CIS tender, 84 bids were submitted, representing a remarkable 25.6GW of capacity. The selected projects encompass a mix of wind and solar generation as well as battery storage innovations.
A significant milestone for Tasmania is marked by the Bell Bay wind farm, which is set to develop a capacity of 224MW and is now the state’s inaugural beneficiary of the CIS. Nick Duigan, Tasmania’s Minister for Energy and Renewables, hailed this achievement as a “landmark moment” for the region’s renewable energy sector.
Impact on Local Communities and Job Creation
Duigan emphasized the importance of this development, stating that the allocation is a validation of Tasmania’s robust renewable energy prospects. “The $950 million project is expected to yield 224MW of dependable clean energy, sufficient to power around 104,000 households. Additionally, it will generate approximately 180 jobs during its construction phase and maintain 12 ongoing roles, contributing lasting advantages to local communities,” he explained.
Among the solar initiatives is the Tallawang solar hybrid project in New South Wales, boasting a generation capacity of 500MW alongside a storage capacity of 1000MWh. Queensland’s Punchs Creek solar farm aims for a 400MW generation capacity and can store 1600MWh, while Victoria’s Nowingi solar power station plans for 300MW of generation coupled with 1200MWh of storage.
The first phase of Tilt Renewables’ Liverpool Range wind farm in New South Wales, which can produce 634MW, has also received CIS approval, as has AGL’s Hexham wind farm in Victoria, slated for a capacity of 600MW.
Job Opportunities and Future Plans
Collectively, these 20 projects are anticipated to create over 12,000 jobs during construction and more than 1000 long-term maintenance positions throughout the expected 20-year lifespan of the assets, representing a substantial local investment of approximately $17 billion.
Looking ahead, CIS Tender 7, aimed at adding a further 5GW of generation capacity, is now open for registrations and bids, with submissions being accepted from October 14.
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