Feb 5 2008
Leading Australian renewable energy company, Pacific Hydro, today announced it had signed a deal with India’s largest wind generator manufacturer, Suzlon Energy Limited (SEL) for 27x 2.1 megawatt (MW) wind generators for the Company’s first South Australian wind farm at Clements Gap.
The announcement follows the Federal Government’s commitment to increase Australia’s Mandatory Renewable Energy Target (MRET) to 20% by 2020.
Pacific Hydro CEO, Rob Grant, confirmed that the encouraging policy environment was behind the Company’s investment decision. ”Although the project received planning approval a number of years ago, the lack of a supportive policy environment held back our investment decision”.
“With a clear policy commitment from the Federal Government to increase MRET, we now look forward to seeing the legislative amendments passed as quickly as possible to maintain momentum and ensure further investment can continue.”
Prior to the Federal Government announcement that it would increase MRET; companies like Pacific Hydro had to look more at investing in overseas markets. Pacific Hydro’s investments have increasingly been in Latin America where strong domestic renewable energy policies exist as well as the ability to develop projects under the Kyoto Protocol’s Clean Development Mechanism.
“Business is already responding to the Australian Government’s commitment”, explained Mr. Grant. “A 20% renewable energy target is expected to drive more than $20 billion in new investment across Australia so we are looking to the Federal Government to make the appropriate legislative amendments as quickly as possible to ensure investment momentum is maintained”.”
Suzlon Energy’s Group CEO Mr. Andre Horbach added; “it is positive to see the Australian industry and especially an eminent player like Pacific Hydro increasing their domestic investment in response to the improved outlook for the renewable energy industry in Australia.”
Clements Gap is located toward the north of the Spencer Gulf in South Australia. The 57MW project will comprise 27, 2.1MW Suzlon wind generators, 17 km of permanent access roads, 15.5km of 132kV power line and a 33/132kV transformer. Construction is expected to take up to18months commencing in April 2008