AGL Energy Ltd : AGL To Develop A$450 Million Solar Project In NSW, Australia
06/11/2012| 07:42pm US/Eastern
By Ray Brindal
CANBERRA--AGL Energy Ltd. (AGK.AU) will develop two large solar projects in New South Wales state at a cost of 450 million Australian dollars (US$444 million) of which A$194.6 million will come from federal and state government grants, the company said Tuesday.
AGL and engineering and construction concern First Solar Australia Pty Ltd. will build a 106 megawatt photovoltaic project at Nyngan and a 53 MW project at Broken Hill.
The projects will be developed from next fiscal year with construction complete in 2015. First Solar will maintain both projects for five years after commercial operation starts, AGL Energy said in a statement.
AGL Managing Director Michael Fraser said the projects provide an opportunity for AGL and the broader solar industry to begin the roll-out of solar power as a meaningful source of generation supply in Australia.
Resources and Energy Minister Martin Ferguson said the projects will be developed with a grant of A$129.7 million from the federal government's solar flagships program and represent "excellent value for money."
"When it comes to developing first-of-a-kind projects it is important that the Australian Government seeks to reduce the risks where possible to give the Australian solar industry the best opportunity to grow," he said in a statement.
The New South Wales state government will provide A$64.9 million in funding for the two projects, AGL said.
-Write to Ray Brindal at email@example.com