27th July 2018

BLUESCOPE SIGNS UP TO OZ SOLAR PPA

Australian developer ESCO Pacific has signed a PPA with BlueScope which will see the steel producer pick up 66% of the energy output from the 175MW (DC) Finley Solar Farm in New South Wales for its first seven years of operation.

The deal – announced on Friday (July 20) – marks the largest corporate PPA negotiated with a solar farm in Australia to date, according to ESCO.

The PPA agreement follows BlueScope running a competitive tendering process for a long-term offtake contract with the assistance of Schneider Electric earlier this year.

BlueScope will realise “significant reductions in their net energy costs by contracting directly with ESCO Pacific’s Finley Solar Farm” the industrial group said.

Construction on Finlay is expected to commence later in 2018, with commissioning scheduled for mid-2019.

ESCO typically sells project equity in its solar PV developments at financial close. Its 130MW Horsham project in Victoria and 55MW Koberinga scheme in Queensland are understood to be at a similar stage of development.

The group in February sold its remaining stake in the 148MW Ross River PV park to co-investor Pallisade Investment Partners in order to re-invest capital in the three-plant, 350MW development pipeline ESCO is believed to be in late-stage talks to sell its 145MW Rolling Stone project in Townsville, Queensland.