Victorian Solar Farm and Battery Project Success
A well-known Australian solar company, Recurrent Energy, has achieved a significant milestone in Victoria by finalising the financial aspects of its Carwarp Energy Park project, which includes a 171 MW solar farm and a 120 MW battery energy storage system (BESS).
The project, set to commence operations in 2026, will see the construction of the solar farm followed by the installation of the BESS, with the exact duration of the latter yet to be determined.
Overcoming Challenges in Victoria
The Carwarp Energy Park is situated in a region of Victoria, previously notorious for struggles in connecting solar farms, known as the ‘rhombus of regret’ in the state’s north-west.
Financed by ANZ, Westpac, and Société Générale’s Sydney branch, the project is supported by a long-term power purchase agreement (PPA) with a multinational corporate entity, ensuring the generation of electricity to power around 88,000 households.
Resilience and Adaptation
Recurrent Energy has a rich history in Australia, operating for more than a decade. Acquired by Sharp in 2010, the company amassed a substantial project pipeline in Australia, reaching 1.5 GW.
Despite facing challenges due to policy changes impacting the renewables sector, Recurrent Energy persevered. Following the acquisition by Canadian Solar in 2015, the company continued its operations, with the Carwarp project facing delays attributed to policy inaction.
In 2018, Canadian Solar secured a deal with the Victorian government, guaranteeing revenue for the solar park’s output over 15 years. However, grid limitations in the area led to construction delays and curtailment issues.
Recognising the need for innovation, Canadian Solar received an ARENA grant in 2021 to explore the integration of a BESS into its solar projects. The company, now under Recurrent Energy’s ownership, is actively managing the Carwarp project.
Future Endeavours
Aside from the Carwarp project, Recurrent Energy and Canadian Solar have collaborated on the Suntop Solar farm in New South Wales, which was sold with an offtake agreement with Amazon.
Future plans include the development of a BESS in Gunnedah and the Sundown solar farm, demonstrating a commitment to sustainable energy solutions in Australia.
Rachel Williamson, a science and business journalist focusing on climate change and environmental issues, contributed to this article.
