ANNOUNCEMENT 13 Nov 2017
The Australian government-funded Clean Energy Finance Corporation allocated AUD 150 million to Nexif Energy Australia to finance a wind farm in South Australia.
NUMBER OF INTERVENTIONS
Clean Energy Finance Corporation. Media. "CEFC finances new milestone in energy storage in a South Australia energy project" Available at: https://www.cefc.com.au/media/files/cefc-finances-new-milestone-in-energy-storage-in-a-south-australia-energy-project/
Australian Government. Department of Industry, Innovation and Science. Australian Industry Participation. Available at: https://industry.gov.au/industry/IndustryInitiatives/AustralianIndustryParticipation/Pages/default.aspx
On 13 November 2017, the Clean Energy Finance Corporation (CEFC) of Australia announced the allocation of AUD 150 million (USD 114 million) to Nexif Energy Australia for the development of the Lincoln Gap wind farm in Port Augusta, South Australia.
The objective of the debt funding is to speed up the construction of the wind farm and it includes finance towards a 10MW battery energy storage system. When finished, the Lincoln Gap farm will add 126MW of renewable energy to the national electricity grid.
The total cost of the project is estimated at AUD 300 million (circa USD 229 million).
The statutory text, the Clean Energy Finance Act 2012, states that only solely or mainly Australian-based investments are eligible for these resources.
The Clean Energy Finance Corporation financing is subject to the Australian Industry Participation (AIP) policy. This framework states that all programs enclosed in this policy must encourage the participation of Australian companies in major public and private projects carried in the country. In this sense, companies applying for a CEFC credit line must provide an AIP Plan to demonstrate the strategy to maximize opportunities for Australian industry to participate in the project. Therefore, the AUD 150 million (USD 114 million) credit line allocated to Nexif Energy Australia, is subject to local content requirements.