ACT solar power project gets green light

Those with an interest in electricity prices may be curious about how a solar power deal in the Australian Capital Territory may impact the cost of power in the state.

Minister for the environment and sustainable development Simon Corbell made the announcement last Wednesday (September 5) that Fotowatio Renewable Ventures (FRV) has been approved to build a solar power facility in the Tuggeranong district.

The project Royalla 1 is a 20 megawatt facility and will be the largest solar power plant in Australia to date.

Mr Corbell said:"This is an important day for Canberra and I am proud that the ACT labor government is delivering its promise to Canberra, Australia's solar capital.
"This reverse auction process has delivered a solar facility that will produce enough renewable electricity to power approximately 4,400 Canberra homes at a cost of 25c per week per household or $13 per year."

The expectation is that this already low cost will help to further reduce the wholesale electricity prices, and for the cost per household to reduce to approximately $9.50 per year by 2020, he added.

The solar scheme is likely to create 50 construction jobs and has the potential to reduce carbon emissions by approximately 560,000 tonnes over the 20 year life of the project. It is expected to be completed in March 2013.

Posted by Charlie Moore