Edify announces completed funding for solar farms following investment from BlackRock
Renewable energy company Edify has announced that it has successfully sourced the financing required to undertake the construction and operation of two solar farms in North Queensland, Australia.
The funding has come from US based fund management specialist BlackRock. The investment marks the firm’s first time foray into the Australian renewable energy market with its 90% interest in the solar farms that combined will cover 590 hectares.
Edify will retain the remaining 10% of the equity interest, providing long term asset management of the projects.
“We are delighted to have closed another large utility scale solar PV financing transaction and to be a significant contributor to the renewable energy market in Australia,” said Edify Energy Chief Executive, John Cole.
“Partnering with BlackRock Real Assets, and their first investment into the Australian renewable energy market, is a real coup for Edify and is a major step forward towards mainstreaming solar renewable power in Australia.
“With a pipeline of projects under development, we look forward to playing a meaningful part in the decarbonisation of the Australian energy sector.”
The building of both farms is set to commence in September of this year, with expectations that the combined energy generated from the projects will be enough to power 73,000 homes, marking a significant step forward for the region’s renewable energy development.
“We are very pleased to continue our strong relationship with Edify Energy to deliver these two large-scale solar energy projects generating a combined 240MWp,” said RCR Tomlinson CEO Paul Dalgleish, with the company having been entrusted with the construction.
Drax advances biomass strategy with Pinnacle acquisition
The Group’s enlarged supply chain will have access to 4.9 million tonnes of operational capacity from 2022. Of this total, 2.9 million tonnes are available for Drax’s self-supply requirements in 2022, which will rise to 3.4 million tonnes in 2027.
The £424 million acquisition of the Canadian biomass pellet producer supports Drax' ambition to be carbon negative by 2030, using bioenergy with carbon capture and storage (BECCS) and will make a "significant contribution" in the UK cutting emissions by 78% by 2035 (click here).
This summer Drax will undertake maintenance on its CfD(2) biomass unit, including a high-pressure turbine upgrade to reduce maintenance costs and improve thermal efficiency, contributing to lower generation costs for Drax Power Station.
In March, Drax secured Capacity Market agreements for its hydro and pumped storage assets worth around £10 million for delivery October 2024-September 2025.
The limitations on BECCS are not technology but supply, with every gigatonne of CO2 stored per year requiring approximately 30-40 million hectares of BECCS feedstock, according to the Global CCS Institute. Nonetheless, BECCS should be seen as an essential complement to the required, wide-scale deployment of CCS to meet climate change targets, it concludes.